Superb move. It's just a psychological tweak - if you have a high main wage, you don't care about performance, because no matter how good you perform, you will still get the same wage.
I am an entrepreneur and I see this daily how higher main wage affects employees' performance and my financial metrics. Higher performance means higher wages for the employee and more income to employer. I feel it's the only way forward, because it skips the mandatory every day motivational talk, as they have their inner motivation created with a new wage structure.