While we're at it though, letting employees set their own salaries is stupid. It seems like a short term gimmick, absolutely plagued with problems as a company grows. I don't even believe it's true - you'd end up leading people to the number you require, and it's like declaring the organization is flat, then leading it with subtle manipulation and hidden cliques.
In a weird paradox, startup CEOs love to avoid leadership, blog about it, and say it's a hip new approach.