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Is that Facebook's problem to solve? Part of the Bay Area's trouble with affordable housing has to do with their heavy handed rent control policy (another side

Is that Facebook's problem to solve? Part of the Bay Area's trouble with affordable housing has to do with their heavy handed rent control policy (another side of price-fixing), which squashes supply.

Kalium 9y ago
It's a mix. It's Facebook's problem to suffer, which means people are going to push them to solve it, even if it's a local government problem.
sp332 9y ago
Yeah, I would say Facebook should get involved in policy because it directly affects their employees and their ability to do business. Also there's a homeless encampment across the street, so it wouldn't be out of line to invest a little in the community they are reshaping. https://www.cnbc.com/2017/07/07/facebook-and-google-are-building-affordable-housing-in-silicon-valley.html https://www.cnbc.com/2017/07/07/facebook-and-google-are-buil... https://www.bizjournals.com/sanjose/news/2015/02/06/exclusive-facebook-buys-56-acres-in-menlo-park.html https://www.bizjournals.com/sanjose/news/2015/02/06/exclusiv...
- ryandrake 9y ago
  In what way does this affect Facebook's ability to do business? They seem to be doing business just fine with the status quo.
  - sp332 9y ago
    They're trying to expand their campus. They wouldn't do that if it wasn't going to improve their bottom line. Facebook engineers have asked Zuckerburg if the company could subsidize their housing. Employees are leaving because of this problem. https://www.theguardian.com/technology/2017/feb/27/silicon-aa-cost-of-living-crisis-has-americas-highest-paid-feeling-poor https://www.theguardian.com/technology/2017/feb/27/silicon-a...
    - ryandrake 9y ago
      For every employee that leaves over something like this, there are 10 lined up who would be thrilled to work there.
      - deleted 9y ago
        [deleted]
      - sp332 9y ago
        If Facebook wanted those 10 engineers they would have hired them first. High housing costs are reducing FB's ability to offer competitive wages.
      - HillaryBriss 9y ago
        but, the ones who are leaving now -- weren't they initially thrilled too? retention can be pretty important.
runT1ME 9y ago
Well, if FB doesn't want to do massive wealth transfer to real estate developers and current land owners it would benefit them to get involved. Part of the reason salaries are immensely disproportionate to the rest of the country is cost of housing.
eli_gottlieb 9y ago
That's not rent control, it's Proposition 13. It incentivizes city councils to build offices (which they can tax) while rejecting housing (which they basically can't, over the long term).
- HillaryBriss 9y ago
  but at some point housing scarcity causes additional housing unit prices to skyrocket. so the property tax basis for those new high priced units must look pretty good to city councils. i mean, don't city councils also find it highly revenue-enhancing to encourage the replacement of older housing stock and long time owners with new, high priced, units?
j45 9y ago
If Facebook is paying the high end salaries that cause housing/rents to rise, they certainly are contributing, however indirectly one may believe, to the problem. The point remains that both groups of workers are essential to have in close proximity. It may not work for everyone, but where housing is in short supply, and the demand for labour is great, a working dorm/camp setup for those forced to be working homeless might be helpful. You can make $150/hr, if your living expenses work out to $140/hr you're not making (or keeping) much. Like co-working, maybe other setups like co-housing setups might need to come up. They obviously may not work for everyone including families.

Kalium 9y ago

It's a mix. It's Facebook's problem to suffer, which means people are going to push them to solve it, even if it's a local government problem.

sp332 9y ago

Yeah, I would say Facebook should get involved in policy because it directly affects their employees and their ability to do business. Also there's a homeless encampment across the street, so it wouldn't be out of line to invest a little in the community they are reshaping. https://www.cnbc.com/2017/07/07/facebook-and-google-are-building-affordable-housing-in-silicon-valley.html https://www.cnbc.com/2017/07/07/facebook-and-google-are-buil... https://www.bizjournals.com/sanjose/news/2015/02/06/exclusive-facebook-buys-56-acres-in-menlo-park.html https://www.bizjournals.com/sanjose/news/2015/02/06/exclusiv...

ryandrake 9y ago
In what way does this affect Facebook's ability to do business? They seem to be doing business just fine with the status quo.
- sp332 9y ago
  They're trying to expand their campus. They wouldn't do that if it wasn't going to improve their bottom line. Facebook engineers have asked Zuckerburg if the company could subsidize their housing. Employees are leaving because of this problem. https://www.theguardian.com/technology/2017/feb/27/silicon-aa-cost-of-living-crisis-has-americas-highest-paid-feeling-poor https://www.theguardian.com/technology/2017/feb/27/silicon-a...
  - ryandrake 9y ago
    For every employee that leaves over something like this, there are 10 lined up who would be thrilled to work there.
    - deleted 9y ago
      [deleted]
    - sp332 9y ago
      If Facebook wanted those 10 engineers they would have hired them first. High housing costs are reducing FB's ability to offer competitive wages.
    - HillaryBriss 9y ago
      but, the ones who are leaving now -- weren't they initially thrilled too? retention can be pretty important.

runT1ME 9y ago

Well, if FB doesn't want to do massive wealth transfer to real estate developers and current land owners it would benefit them to get involved. Part of the reason salaries are immensely disproportionate to the rest of the country is cost of housing.

eli_gottlieb 9y ago

That's not rent control, it's Proposition 13. It incentivizes city councils to build offices (which they can tax) while rejecting housing (which they basically can't, over the long term).

HillaryBriss 9y ago
but at some point housing scarcity causes additional housing unit prices to skyrocket. so the property tax basis for those new high priced units must look pretty good to city councils. i mean, don't city councils also find it highly revenue-enhancing to encourage the replacement of older housing stock and long time owners with new, high priced, units?

j45 9y ago

If Facebook is paying the high end salaries that cause housing/rents to rise, they certainly are contributing, however indirectly one may believe, to the problem. The point remains that both groups of workers are essential to have in close proximity. It may not work for everyone, but where housing is in short supply, and the demand for labour is great, a working dorm/camp setup for those forced to be working homeless might be helpful. You can make $150/hr, if your living expenses work out to $140/hr you're not making (or keeping) much. Like co-working, maybe other setups like co-housing setups might need to come up. They obviously may not work for everyone including families.