3 ms·

Here is my imprecise calculations comparing a Google Engineer nowadays to GM, the biggest company in 1950's Profit GM em 1955: 1 billion http://content.time.co

by neves 9y ago

Here is my imprecise calculations comparing a Google Engineer nowadays to GM, the biggest company in 1950's Profit GM em 1955: 1 billion http://content.time.com/time/magazine/article/0,9171,807967,.. http://content.time.com/time/magazine/article/0,9171,807967,.... 1955 today: $9,042,397.00 https://www.dollartimes.com/inflation/inflation.php?amount=1.. https://www.dollartimes.com/inflation/inflation.php?amount=1.... GM Employees in 1955: 576,667 http://247wallst.com/investing/2010/09/21/americas-biggest-c.. http://247wallst.com/investing/2010/09/21/americas-biggest-c.... Google employees in 2015: 57,100 https://www.google.com.br/search?q=number+google+employees&i.. https://www.google.com.br/search?q=number+google+employees&i.... Google operating income in 2015: $23 billion http://www.businessinsider.com/alphabet-google-q4-2015-earni.. http://www.businessinsider.com/alphabet-google-q4-2015-earni.... The numbers: * GM profit/employee: 9 Google profit/employee: 403,000 * So a Google employee would have a wage 45,000 times that of a 1955 GM engineer. I couldn’t find an amount for the wage of an engineer in 1955 to get a final result. It is an unfair calculation. Google workforce proportionally has a lot more engineers than GM in the 50’s. Their wages would be way bigger than this.

gshubert17 9y ago
Typo? GM's profit in today's dollars is $9 billion, not $9 million. Hence GM's profit per employee is $9,042,397,000 / 576,667 = $15,700, not $9. The ratio between Google and GM is closer to 25 times. Which, I think, is an indication of how much more automation there is now compared to 1955.
- neves 9y ago
  Sure, my mistake. It shows how much of the profits goes for the labor force or for the Capital owners. We are more productive, but now earning more money.

3 ms·

Here is my imprecise calculations comparing a Google Engineer nowadays to GM, the biggest company in 1950's Profit GM em 1955: 1 billion http://content.time.co

by neves 9y ago

gshubert17 9y ago
Typo? GM's profit in today's dollars is $9 billion, not $9 million. Hence GM's profit per employee is $9,042,397,000 / 576,667 = $15,700, not $9. The ratio between Google and GM is closer to 25 times. Which, I think, is an indication of how much more automation there is now compared to 1955.
- neves 9y ago
  Sure, my mistake. It shows how much of the profits goes for the labor force or for the Capital owners. We are more productive, but now earning more money.