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“businesses in San Francisco when their highest-paid managerial employee earns more than 100 times the median compensation paid to their employees in San Franci
by stanrivers 6y ago
“businesses in San Francisco when their highest-paid managerial employee earns more than 100 times the median compensation paid to their employees in San Francisco.“
I'm slightly concerned that you are going to see them just shift jobs out of SF... isn't that logical? May be harder for some businesses, but they will all do a cost-benefit analysis of raising median wages in SF, paying the tax or moving the SF jobs somewhere else?
I think you can't pay the executive less... the executives that land in this level of pay are paid based on what they could get at another company (that is not based in SF... there are not really cost-of-living adjustments at this level...), speaking generally and in broad strokes. So you shouldn't see any changes to the top end of the equation (which isn't want they are going for... they are going for raising the less paid workers' wages, so they did that right.)
- m0zg 6y agoReminds me of an old Soviet joke. The government made vodka more expensive, so son walks up to his alcoholic dad and says, "Gorbachev made vodka more expensive, dad, so you'll now drink less!" To which dad responds, "No, son, you'll just eat less". The CEOs that don't move out of SF will just reallocate some employee promo budget to executive comp budget to make up the difference. It's a populist measure that at best will do nothing, and at worst will reduce the SF tax base.