8 ms·

I will one day write a piece about how the tech industry accidentally invented the superior business model. Pay workers higher and they're less likely to unioni

I will one day write a piece about how the tech industry accidentally invented the superior business model. Pay workers higher and they're less likely to unionise. They're more productive (lest they lose their jobs). They don't want to leave. This works for the tech industry because technically they're not paying workers higher to be generous, it's just a different way to invest the profits back into the business, like how a car company would invest into steel infrastructure. Software doesn't need to do that, their infrastructure is employee's brains. As it turns out, the more ethical solution tends to work better for businesses, I think. If CEO's took a cut out of their salary and the profits and reinvested it into worker salaries I am willing to bet this would make any business more productive. You might say software employees leave and unionise anyway, but they only leave to go to better companies and their unions aren't very popular. Time will tell on that second point though.

foolmeonce 6y ago
I don't think that is the case. Tech companies engaged in illegal collusion to keep salaries down, as usual the penalty for doing so was far less than their benefit.
- greatgirl 6y ago
  What don't you think is the case? I'm reading your sentence and it doesn't contradict anything I've said.
  - foolmeonce 6y ago
    You seem to be saying paying workers more than they are worth is an innovation of tech. They are paying less than they would have without the wage fixing scandal and its ineffective settlement. The union is clearly a result of many abuses of workers by the tech industry.
- e9 6y ago
  Now it will be easier to do that. With unions you only need to bribe several people who are already political by nature(who else would want to run the union?).
  - foolmeonce 6y ago
    I'd say dealing with an employer through HR without a union is as stupid as representing yourself because "lawyers are crooks" and then getting advice from the opponent's council. My comments refer to documented evidence that HR will participate in criminal acts against you and any incentive they were given can be indistinguishable from their legal bonuses.
    - e9 6y ago
      Ok that’s fair. I take back my comment. I’ve had that happen to me. I was sent offer from one of the major social media companies. I signed the offer. Rejected other offers. We chose the starting date etc and 3 days later they rescinded the offer. HR lied to me etc. Would have been easier to deal if there was union.
olau 6y ago
I see where you're heading, but I think this is an odd comment. From a market perspective, the few big companies can afford to pay really high wages because of a monopoly-like situation that they are under investigation for, while still having profit margins that would be deemed absurd in more competitive businesses, like the car business. The lack of competition is hurting the rest of society. The way you keep your employees is by making sure they're treated well. This includes, but is in no way limited to, salary. Unions are a solution to not being treated well. Hiring someone is a bit like marrying them, IMHO. Maybe I'm an outlier.
s1artibartfast 6y ago
If CEO's took a cut out of their salary and the profits and reinvested it into worker salaries I am willing to bet this would make any business more productive. Im highly skeptical. Sundar Pichai reportedly earned 280 million in 2019, while google has 100+K employees with a median salary of 260K.[1] IF you took the entire CEO pay and split it up, it would be about a 1% pay bump. I dont think that would make a significant change in your googler's productivity. https://insights.dice.com/2020/08/28/google-ceo-sundar-pichai-salary-crushes-median-employee-pay/ https://insights.dice.com/2020/08/28/google-ceo-sundar-picha...

foolmeonce 6y ago

I don't think that is the case. Tech companies engaged in illegal collusion to keep salaries down, as usual the penalty for doing so was far less than their benefit.

greatgirl 6y ago
What don't you think is the case? I'm reading your sentence and it doesn't contradict anything I've said.
- foolmeonce 6y ago
  You seem to be saying paying workers more than they are worth is an innovation of tech. They are paying less than they would have without the wage fixing scandal and its ineffective settlement. The union is clearly a result of many abuses of workers by the tech industry.
e9 6y ago
Now it will be easier to do that. With unions you only need to bribe several people who are already political by nature(who else would want to run the union?).
- foolmeonce 6y ago
  I'd say dealing with an employer through HR without a union is as stupid as representing yourself because "lawyers are crooks" and then getting advice from the opponent's council. My comments refer to documented evidence that HR will participate in criminal acts against you and any incentive they were given can be indistinguishable from their legal bonuses.
  - e9 6y ago
    Ok that’s fair. I take back my comment. I’ve had that happen to me. I was sent offer from one of the major social media companies. I signed the offer. Rejected other offers. We chose the starting date etc and 3 days later they rescinded the offer. HR lied to me etc. Would have been easier to deal if there was union.

olau 6y ago

I see where you're heading, but I think this is an odd comment. From a market perspective, the few big companies can afford to pay really high wages because of a monopoly-like situation that they are under investigation for, while still having profit margins that would be deemed absurd in more competitive businesses, like the car business. The lack of competition is hurting the rest of society. The way you keep your employees is by making sure they're treated well. This includes, but is in no way limited to, salary. Unions are a solution to not being treated well. Hiring someone is a bit like marrying them, IMHO. Maybe I'm an outlier.

s1artibartfast 6y ago

If CEO's took a cut out of their salary and the profits and reinvested it into worker salaries I am willing to bet this would make any business more productive. Im highly skeptical. Sundar Pichai reportedly earned 280 million in 2019, while google has 100+K employees with a median salary of 260K.[1] IF you took the entire CEO pay and split it up, it would be about a 1% pay bump. I dont think that would make a significant change in your googler's productivity. https://insights.dice.com/2020/08/28/google-ceo-sundar-pichai-salary-crushes-median-employee-pay/ https://insights.dice.com/2020/08/28/google-ceo-sundar-picha...