A company basically pays you for your cost of living. That's why pay is high in the Bay Area or NY, and why you take a massive pay cut when you move out. If you choose to work remotely or sign up for shitty work conditions, they are not going to reimburse any of the costs you just saved them.
That's the essence of another issue companies are forcing with remote work. It puts the lie to any claim that compensation is based on business value. Do I not provide the same value to the business if I live in Omaha, Nebraska rather than San Jose, California?
But, the company has offices in Menlo Park, you're more valuable because you're closer to them, you say? But the company also has offices in Omaha, and a dozens other places around the world.
This isn't theoretical: companies have already said that pay scales for remote work will be tied to location, regardless of the contribution a person makes to the company.
Employers are going to have to reckon with the fact that if I can chose to live more comfortably, I can also choose to expect to compensated for my contributions rather than my postal code. Am I worth a six-figure salary or not?
it simply is bonkers they've tried to pull that line out.
Companies are terrified that employees will flex some of these desires and flexibilities as not benefits, but open to as many jobs as possible. It removes their ability to keep employees focused on groveling in appreciation to be allowed to be in their presence.
If they let this go, employees may begin looking around and realizing why are the top 1% being paid ridiculous salaries with millions of shares given annually while whinning to unions, employees and anyone who can hear they have to continually cut benefits, pensions (what are those?) to barely keep profitable. (Question how can foreign companies continue to pay good benefits, have employee long term retention, etc. and not have it cause such damage to company profits?)
Employees have been trained and brainwashed for so long that only a scant few find the behvior described above as bonkers. Rather most have grown numb and believe it is normal for companies to tell them they deserve only what the company decides to toss their way.
It is bonkers they are pulling that line out, unfortunately it works very time.
Note, I am from Ukraine, and I am speaking from personal experience moving to the USA. My American friends eat out all the time, buy very expensive home appliances, and tip extremely generously.
I live a frugal life since this is the standard of living I am accustomed to from my homeland. I was also willing to accept the lowest salary legally possible just to get into the country, which is already a huge upgrade to my income.
I also can't then change jobs easily, since the visa is tied to my employer.
If Tech workers want to maintain this state of demand, they should really oppose immigration from poor countries, such as requiring that the H1B visa has a maximum cap of 10% from any one country, which will have the effect of limiting the number of Indians who enter. Setting an additional maximum cap of 49% males from any one country would also be good to encourage gender diversity, instead of flooding in male migrants and then forcing companies to do it.
- Visa workers paid less for a job with a higher rate of lay is illegal. The paperwork and justification to offer jobs to visa workers clearly makes the company liable for Fraud, Illegal Hiring, etc, etc. problem is to stop it things just happen:
- they must be turned in
- the US Govt must stop turning a blind eye
- companies at fault and convicted must face real consequences (fining a company $5 to $10M for this when savings over multiple positions over time has saved them 10x, 100x or more than the fine is useless
- CEO, CFO, etc jailed no less than 10 years per instance (10 year min time served)
- company fined out of business on 2nd or 3rd instance
NEXT…- Americans can leave on lower lifestyle cost but refuse (tech high pay jobs, obviously not everyone) - Americans need to be educated in jobs as well. Many times positions go infilled as no available US worker or the $150k per year doesn’t allow to live and eat in places like the Bay Area and Americans while forced to share housing here couldn’t imagine to share a room with 4 or 5 or 6 others.
Yes visa worker process needs to be massively reworked and politicians need to stop screwing Americans for lobbyists pouring money, etc at them to bend to the business needs. But a lot is also caused by Americans keeping up appearances and government allowing the cost of housing and living to be so out of control.
I think the added cost may be worth it, but I'd be surprised to find majority agreement.
> A company basically pays you for your cost of living
I'd argue that companies generally pay market rates for employees, which in a well-functioning market will be well above the cost of living.
And agree on the last statement, I had over-simplified that, though I did add the word "basically".
Wait, you get cubes? That would be an upgrade compared to the open offices I am talking about. I mean open-plan offices, where each worker gets a flat surface, a rolling filing cabinet, and a power outlet.
I'd almost go back to one job where I had a cube, because the cubes there were maybe 8' (2-1/2m) square, high-walled, enough desk space to spread out, and even a personal coat closet/locker with a door. Make it another foot or two high, put on a cover and a door that closes and I wouldn't care that it was made out of cheap fiberboard covered in ugly carpet.
Source in case you don’t believe me: https://www.squarefoot.com/leasopedia/dollars-cents-much-cos...
And - personally - I might even take the $10k/yr pre-tax deduction for a nice private office. Certainly much cheaper than trying to do it at my own place.
https://www.joelonsoftware.com/2008/12/29/the-new-fog-creek-...
An opposing perspective: note that the cost for private offices is very high vs. cubes. Assuming Class A space in a premium location is around $85/sq.ft. per month [1]:
6' x 6' cube: 36 sq.ft. * $85 = $3,060/mo
8' x 10' office: 80 sq.ft. * $85 = $6,800/mo
10' x 12' office: 120 sq.ft. * $85 = $10,200/mo
What would most people choose: upgrade from cube to desk, or add $3,500/mo to their paycheck?
[1]: rental rate chart at https://www.squarefoot.com/office-space/ca/san-francisco