Re:GitLab Made $10.5M in Revenue with Every Employee Working...
by dragonwriter on Tuesday November 13, 2018 @03:41PM
(#18444687)
> In the case of Gitlab, employees in hotter job markets have more leverage because they could more easily find a high paying job where they live.
That's not real leverage. Leverage is provided by the minimum salary demands of the cheapest alternative supplier of labor that provides an adequate substitute. That you can walk away from an offer isn't leverage if I have someone else I can hire for the same salary and get the same benefit from employing.
Location has no relevance (it may be that desirable skill correlates with location, but then paying for that doesn't require a separate location adjustment.)
Now, for on-premise worker a worker in a higher CoL area may have more leverage because the minimum demand substitute workers is higher, but that doesn't apply to remote work where the employer can hire people from elsewhere.
That's not real leverage. Leverage is provided by the minimum salary demands of the cheapest alternative supplier of labor that provides an adequate substitute. That you can walk away from an offer isn't leverage if I have someone else I can hire for the same salary and get the same benefit from employing.
Location has no relevance (it may be that desirable skill correlates with location, but then paying for that doesn't require a separate location adjustment.)
Now, for on-premise worker a worker in a higher CoL area may have more leverage because the minimum demand substitute workers is higher, but that doesn't apply to remote work where the employer can hire people from elsewhere.