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It’s easiest to understand when you realize that the company is not going remote to pay SF salaries everywhere, they’re going remote to pay rock bottom salaries
by ponker 6y ago
It’s easiest to understand when you realize that the company is not going remote to pay SF salaries everywhere, they’re going remote to pay rock bottom salaries everywhere. Geographic pay is a temporary patch to give extra to people in SF while they wait for SF engineers to decamp to the boonies or be replaced by people who do.
- dasil003 6y agoLowering salary costs is one reason. The other potential reason is to vastly increase the talent pool. If it's only about the first reason then management will cut salaries as deep as possible, if it's only about the second then they'll keep salaries at the same level and just change the job description. I suspect for most companies final pay scales depend on the weighting of two reasons. A lot of companies will try to have their cake and eat it too with location-based pay, but that approach will neuter the benefits of opening up for remote work, and its efficacy will only degrade further over time.