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High profit per employee leads to a higher divergence in salaries - same as it does for industries like financial trading and research. If profit per "average"
by MagnumOpus 9y ago
High profit per employee leads to a higher divergence in salaries - same as it does for industries like financial trading and research.
If profit per "average" developer is $1 million, then the company is way better off paying $100k extra (i.e. double) to get developers that are 20% more productive than the average - and if the company doesn't do that, then their best people get poached by companies who do.
And while it is impossible to hire the mythical "10x developer", it is not all that hard to find the "1.2x developers" if you are willing to pay double to get them...