Re:Ask HN: Location based pay is killing my motivation, how ...
by robertlagrant on Monday September 05, 2022 @04:22AM
(#32721794)
I think it's 3 - the role has to be valuable enough to pay for:
MIN(cost of your replacement, what they think you can get elsewhere, your value to the company)
Re:Ask HN: Location based pay is killing my motivation, how ...
by smileysteve on Monday September 05, 2022 @01:31PM
(#32726852)
In this case, 3 is proven as long as the company is actively hiring in the higher paid location
Re:Ask HN: Location based pay is killing my motivation, how ...
by robertlagrant on Monday September 05, 2022 @02:46PM
(#32727743)
Hmm yes. I think this is also evidence that the company values the person being in that location more than the other one, which might translate to higher (3).
Re:Ask HN: Location based pay is killing my motivation, how ...
by spullara on Monday September 05, 2022 @05:02AM
(#32722036)
they can't calculate 3 so it doesn't come into the conversation
Re:Ask HN: Location based pay is killing my motivation, how ...
by robertlagrant on Monday September 05, 2022 @05:24AM
(#32722196)
If they can't calculate 3 then how is there budget to hire you?
Re:Ask HN: Location based pay is killing my motivation, how ...
by spullara on Monday September 05, 2022 @05:28AM
(#32722225)
i don't know if you have worked in these organizations but they don't know.
Re:Ask HN: Location based pay is killing my motivation, how ...
by robertlagrant on Monday September 05, 2022 @05:44AM
(#32722335)
I don't know to which organisations you're referring.
Re:Ask HN: Location based pay is killing my motivation, how ...
by tasuki on Monday September 05, 2022 @07:41AM
(#32723216)
Companies? They might know the averages, but no company ever knows how valuable which employee is.
Re:Ask HN: Location based pay is killing my motivation, how ...
by robertlagrant on Monday September 05, 2022 @08:33AM
(#32723563)
I have worked in companies.
Re:Ask HN: Location based pay is killing my motivation, how ...
by Beltiras on Monday September 05, 2022 @05:21AM
(#32722166)
As a remote worker I have to disagree. My value is the local value for the employer. I could decide (and recently did) to move countries and it might change taxation and labor laws but for the most part they don't care about where I am situated. What they care about is the speedy resolution of feature requests and trouble tickets.
That's not quite true.
The cost of hiring your replacement is only the maximum they'll accept to pay you. But they will pay you only slightly above what they think you'll find elsewhere. So your pay is the MIN(cost of your replacement, what they think you can get elsewhere).
That explains location-based pay for remote jobs. Because they take into account that your alternatives are mostly local, so they only have to compete with local rates. The only way out of this is to be willing to relocate, or convince them you're getting enough good remote offers that they have to compete with that.