Good luck with all of that.
That said there’s probably a bunch of laws around faking residency for tax purposes which id imagine has some hefty consequences.
Google pays for cost of labor, not cost of living. While related, it isn't the same: for example, Google London pays much less than NYC, and Tokyo even less than that; yet Pittsburgh pays only slightly less than NYC despite being far and away the cheapest of the 4.
I believe Google's competitors tend to follow this model more than cost of living, especially internationally.
Falsifying this, to my knowledge, is not only a bad idea, but could easily be a termination-level offense and could be illegal.
While I certainly don’t think it’s ethical to do so, I did wonder the same thing - would companies start putting measures in place to verify you’re working from the same general area as your initially provided address? Eg, sifting through VPN log files to geo locate IP addresses etc.
What's stopping people is largely that
a.) if you aren't in the office, you miss out on critical opportunities, and if you aren't in the office too much, your boss may decide you're not worth keeping. (Officially, Google has a "if you don't show up for 3 days in a row without telling anyone you're considered to have voluntarily resigned". Unofficially this gets bent by high-performers all the time, but legally they can do it.) This is also why ambitious people at the satellite offices - NYC, Pittsburg, Seattle - move to Mountain View, because the high-priority projects require facetime and rarely go to remote employees.
b.) Hopping on a plane to make a meeting gets old really quickly, and also pretty expensive if you aren't pre-IPO. I know people who would commute from LA -> MTV, Uganda -> MTV, Seattle -> MTV, or do frequent business trips from Zurich or Sydney -> MTV. They hated it. You think the commute on 101 sucks, try adding the TSA to it.
If you introduce any amount of latency by executing the encoder/decoder pair, you'll have to subtract double the latency from your ping-allowance.
If you try to have correctly-lipsynced audio in a video call, I only know of one setup to offer similarly-low video latency: a rolling-shutter in the camera, a line-by-line display (CRT should do well), and up-to a few lines algorithmic delay for e.g. running non-buffering JPEG (8x8 DCT and an online entropy coder (no pre-analysis for optimal Huffman tables or such) to save like 80-90% bandwidth). Analog TV camera+screen hardware should also work, but it's really inefficient and not easy to emulate with digital hardware.
The other companies, who pay on value of output, will agree with that statement. As far as I know, most companies fall under cost of life approach rather than value of output.
I think most companies fall under "what's the minimum we can get away with?"
>what is needed to retain employees and keep churn rates down to acceptable rates
Ultimately, this value depends on the location. Assuming identical salaries, it is more expensive to retain someone for 5 years in NY than in Nebraska, because the person in Nebraska making $200k+ lives like royalty, and whereas NY would be a different story.
Is your employer really going to decrease your salary after the fact? Can you file taxes in your lower cost of living state after you lock in your high SF comp package and never notify your employer but still pay your taxes in the state you moved back to?
Note: I don't condone illegal behavior just thinking of edge cases that benefit us tech workers.