Fundamentals of Human Resource Management 6th Edition by Raymond Noe, John Hollenbeck, Barry Gerhart,Patrick Wright

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Parkland Health Rethinks Entry-Level Pay Rates
Parkland Health and Hospital System, located in Dallas, has about 230 employees earning its lowest rate of pay. Most of these employees hold positions in dietary, environmental, and linen services. Until recently, they were earning $8.78 an hour, which is above the Texas minimum wage of $7.25 per hour (equal to the federal minimum wage).
Parkland Health has a new top management team, which has been leading a turnaround since a management shakeup in response to federal government criticism of quality and safety at its facilities. As part of that effort, Parkland's leaders considered how they could improve employee morale. They identified entry-level wages as a place to start because $8.78 is less than a "living wage." The executives decided to raise the lowest pay rate to $10.25 per hour. Employees already earning more than $8.78 would see their wages boosted so they continue making more than the lowest rate at Parkland.
Parkland estimated that the wage increase in the first year would cost $350,000. To find the money to cover this, the executive team looked at the funds budgeted for their bonuses, to be paid if they met specific goals. Parkland expected that in the next quarter, its top 60 executives would divide up $750,000 to $1.2 million among themselves. The executives agreed that the additional entry-level pay could be taken from those funds. They would accept smaller bonuses as a way to motivate their entry-level workers. Jim Dunn, Parkland's chief talent officer, said the decision is a way to "break down any gaps or anything between the top leaders and those who are closest to our patients," adding, "We feel like it's the right thing to do."
Do you agree with Jim Dunn's assertion that these pay decisions were "the right thing to do" Why or why not