Re:“About one-third of Basecamp employees accepted buyouts t...
by Sebb767 on Friday April 30, 2021 @08:58PM
(#27001762)
> So, the message that is very easy to take from this (since the employees know they work for a profit maximizing firm) is that Basecamp's own expectation of its future profitability was that the 10% profit sharing was likely to be less expensive than the benefits it replaced.
Or that they thought providing a monetary benefit, which each employee is free to spend as they wish, is a more attractive packet and/or better due to the reduced management overhead. Also, depending on how much the benefits cost them and how many employees used them, this might still be a better option for both sides.
Re:“About one-third of Basecamp employees accepted buyouts t...
by dragonwriter on Saturday May 01, 2021 @12:07AM
(#27002992)
> Or that they thought providing a monetary benefit, which each employee is free to spend as they wish, is a more attractive packet and/or better due to the reduced management overhead.
Sure, that's also an easy to reach interpretation. Unlike the other, not one that explains people being more likely to accept a buyout because of the change, so not relevant to the discussion, though.
So, the message that is very easy to take from this (since the employees know they work for a profit maximizing firm) is that Basecamp's own expectation of its future profitability was that the 10% profit sharing was likely to be less expensive than the benefits it replaced.
So, yeah, its quite possible that explains some part of the departures as much as the workplace speech code. But its all part and parcel of the same thing: "We're taking away your amenities, more tightly restricting your behavior, and exposing your to more risk" is quite a package.
> It’s unclear how much money the 10% profit sharing is worth, except that now it’s 50% better for the 2/3 of remaining employees.
Assuming the 1/3 that left, including many highly placed, had no role in producing profits. Which would be kind of weird.
And assuming the fact of the mass exodus has no impact on the perception of Basecamp and its product independent of the actual impact the employees had on profits, which would also be weird.