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Why do companies continue to under pay employees in lower cost of living areas by not paying them as much as their counterparts in higher cost of living areas?
by ensignavenger 9y ago
Why do companies continue to under pay employees in lower cost of living areas by not paying them as much as their counterparts in higher cost of living areas?
- hajile 9y agoThe real key is to unify all the smaller markets into one big market. When everyone has to compete with everyone (rather than being the big company in the small market) salaries will go up everywhere except high-cost areas due to market pressure. Both negative (taking away) and positive (adding) responses are beneficial to devs. If if a company chooses to raise everyone's salary, Awesome! Now companies that lower salaries must compete. If a company chooses to lower everyone's salary, Awesome! Devs in high-cost areas will be forced to move which will unify the market at which point devs in traditionally lower-wage areas will now be able to compete in a larger market and negotiate for more pay.