Re:Pay transparency: which states have laws and do they work?
by erik_seaberg on Monday November 22, 2021 @11:10PM
(#29314506)
Cost of living is only a small part of the pay differential. Strong candidates with large scale prod experience are concentrated in markets where these skills are most valued and attainable. You can fill headcount for less by hiring out of smaller markets, but not if you want the same candidates big tech is competing for.
If everyone goes remote-first someday, market rates everywhere will equalize, but this hasn’t happened yet.
Re:Pay transparency: which states have laws and do they work?
by disgruntledphd2 on Tuesday November 23, 2021 @03:03AM
(#29315624)
Then why are London FAANG salaries so much lower then US ones?
Re:Pay transparency: which states have laws and do they work?
by erik_seaberg on Thursday November 25, 2021 @04:32AM
(#29339738)
I’m under the impression that London’s tech market isn’t particularly hot apart from finance.
Re:Pay transparency: which states have laws and do they work?
by disgruntledphd2 on Thursday November 25, 2021 @09:12AM
(#29341494)
> I’m under the impression that London’s tech market isn’t particularly hot apart from finance.
This is because FAANG refuse to benchmark against finance, because it would cost them too much money. Like they wanted me to move from Dublin to London when I was at one, but the salaries were identical, but the living costs definitely were not (salaries were the same, but a FAANG salary in Dub puts you much closer to the top of the local income distribution than one does in London).
If you are in say NYC and a company is trying to hire specifically in NYC you can expect to be paid enough to live in NYC. It doesn't matter that the company could get the work done for 1/4 the cost if they were OK with the work being done in Smallville, Kansas. You aren't competing with the Smallville programmer. Your only competition also demands NYC level pay.
When the company doesn't care where the work is done other than broad limits like "should be in the US" then you are competing with the Smallville programmer for the job. And with some dude in Hooterville. And in Lake Wobegon. And in Mayberry. You are in a market with a lot of people who will accept less than NYC salary.
Actually this isn't all that different than how companies handle pay within metropolitan areas now. For example a company in downtown Los Angeles isn't going to have a different pay scale for their employees that live in Compton and the ones that live in Malibu.