No, I think she is saying that if 20% of the software we develop is important lets stop working on the 80% that isn't and instead work 1 day per week on the imp

No, I think she is saying that if 20% of the software we develop is important lets stop working on the 80% that isn't and instead work 1 day per week on the important stuff and get paid the same amount. In theory this makes sense, but I think it is a massive oversimplification.