4 ms·
>What happens next? More importantly, what should happen? >So, we punish Ann for moving by reducing her salary? I don't see a problem with reducing Ann's pay.
by amlgsmsn 11y ago
>What happens next? More importantly, what should happen?
>So, we punish Ann for moving by reducing her salary?
I don't see a problem with reducing Ann's pay. If rent is only $300 instead of $3000 the pay should reflect that.
If that sounds like a problem, imagine that the company pays rent or for hotel stay for visiting employees. If hotels cost $400 a night in SV and $40 a night in Argentina, should the company pay $400 a night in Argentina in order to 'equalize the pay'?
- solidsnack9000 11y ago> I don't see a problem with reducing Ann's pay. It does seem odd that an employer can use a person's lifestyle as a basis for adjusting their pay. Almost a violation of privacy.
- jacquesm 11y agoIt is and it wouldn't. An employer that would adjust their rate downward if someone's living conditions change would lose their best people rapidly. If you want 'presence' in a certain location you'll be paying market rates and those already factor in what it costs to live there.
- iopq 11y agoSomeone in silicon valley might have local job offers for said $170,000 which will not be there if she moves away (let's say those offers are NOT remote work)
- johnnyo 11y agoI was surprised they explicitly paid more based on the number of dependents. That seems odd, since it seems completely irrelevant.
- rtpg 11y agoIt does look bad in the "reducing salary" aspect, but if you're asking someone to come to SF I sure hope there's a major premium so you can afford your half-an-appartment
- solidsnack9000 11y agoIf you're asking them to move to SF, yes. But if they choose to move to SF...should they get a raise?
- mikeash 11y agoWhy should the pay reflect a change in rent? Would the same thing apply for moving to a different neighborhood of the same city? A different apartment/house in the same neighborhood? Gaining or losing a roommate?
- iopq 11y agoIt's not a change in rent, it's a change in what the competition is offering.
- mikeash 11y agoThe comment I replied to said "If rent is only $300 instead of $3000 the pay should reflect that."
- iopq 11y agoThey have to offer more because nobody would work in a job that doesn't pay the bills.
- mikeash 11y agoHuh? The question is what happens when you move from an expensive place to a cheap place. If your bills go down, should your pay go down?
- iopq 11y agoOf course, because your local competitors pay out less. Everyone in a cheaper place gives a smaller salary. Even inside the US, Texas pays less than Silicon Valley. If you move to Texas, and your company says "we will pay you less because of your location" you can't really argue against that logic. Because if you tried to find a job in Texas, you'd get paid the same amount your old company is offering you.