Citing revenue declines, Airbnb cuts 25% of workforce

Re:Citing revenue declines, Airbnb cuts 25% of workforce by _dps on Tuesday May 05, 2020 @06:45PM (#23086013)

This is in practice just a deferred salary scheme. Since the mandate attaches an unavoidable additional liability to every year of employment, that will get rolled into the total cost of employment by accountants.

So yes, when you collect the deferred salary it feels generous. But you were getting less salary up until that point in order to make the system solvent.

One may well prefer this arrangement, but one can't evaluate the generosity of the payment without also accounting for the cost that made it possible.

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Re:Citing revenue declines, Airbnb cuts 25% of workforce by lonelappde on Tuesday May 05, 2020 @07:02PM (#23086135)

How is it unavoidable? If the employee leaves on their choice, is severance paid?

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Re:Citing revenue declines, Airbnb cuts 25% of workforce by dgoldstein0 on Tuesday May 05, 2020 @07:18PM (#23086241)

I think they mean unavoidable from the company's point of view - they can't make you quit, so when they hire you, they have to assume if they ever need to lay you off, they'll need to afford your severance.

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Re:Citing revenue declines, Airbnb cuts 25% of workforce by _dps on Tuesday May 05, 2020 @08:29PM (#23086683)

Yes — I was slightly incomplete in my description, but you are exactly correct about what I meant. Company liabilities include things you are obligated to pay under uncertain future circumstances, so accountants have to make sure that such liabilities can be handled if they ever arise.

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