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> are you arguing the Wikipedia should hire cheaper developers because they are a non-profit? > You are disparaging a CEO for making 350k/year for one of the h
by mithr 5y ago
> are you arguing the Wikipedia should hire cheaper developers because they are a non-profit?
> You are disparaging a CEO for making 350k/year for one of the highest trafficked sites in the world
The root of the question is: what determines compensation at companies? FAANG and SV startups are able to offer huge salaries not because they are "the highest trafficked sites in the world". It's because they rake in billions of dollars in revenue, by monetizing their users, and/or because they are VC-funded. If that wasn't the case, their employees' -- and certainly their executives' -- salaries would not be this high.
When your company makes billions of dollars a year, and you can make the case to your board that you can increase or maintain that number, that's when your salary becomes high -- when the tradeoff to shareholder value between paying you a lot of money and the company making a lot of money tips your way. You don't just automatically get a high salary for running (or working in) a large company, if that company does not make this much money.
The WMF is a nonprofit. It does not make any money aside from donations. When running its donation campaigns, it does so from the perspective of keeping internet knowledge alive, rather than saying "we think it's important to keep ourselves in the top 10% worldwide salary bracket". It's absoluetly fair to say that they need to raise a certain amount of money in order to keep the foundation going, and in order to maintain and develop it. But saying that it's "insane" to argue that a nonprofit should not be able to compete against a multi-billion dollar organization salary-wise is... strange?
Most of the world's companies, startups or otherwise, in fact can't afford SV salaries, and so they look elsewhere -- there are many, many great developers, executives, and other folks around the world (and in the US, outside of SV) who work for less than FAANG salaries. This doesn't meant they aren't well-compensated, it just means that maybe they don't live in SV, and that yes, it's possible that FAANG will poach some of them. That's just something you have to live with when you don't make infinite amounts of money, like 99% of the world's companies.
> For perspective, Zuckerberg's net worth places him at an effective salary of 3B/year ...
For perspective, Facebook's revenue was about $85B last year. Using the world's fifth-richest person, who heads a fortune 150 company that is the F in the only five-lettered FAANG acronym that's frequently used as the barometer for high salaries, "for perspective", is also strange. The only perspective that Zuckerberg's salary offers is "what does the top 0.1% of the top 0.1% make?"
> it's your kind of attitude (why should a burger flipper get paid $15/hr) that is actually suppressing wages in this country
It's disingenuous at best to connect a nonprofit's executive staff making large salaries with raising the minimum wage. In fact, that's precisely the discrepancy that is making folks talk about the salaries at WMF: the foundation is soliciting donations from the folks making $15/h in order to pay its CEO $300k+ a year.
- nemothekid 5y ago>The root of the question is: what determines compensation at companies? So let's say I start a company selling cars. I decide to sell my cars for $1. It's a terrible business model, and I don't make much money. So according to you, because my company makes no money, I should be allowed to pay my staff way under market. This doesn't make sense to me, despite being obviously illegal. The amount of money you paid for labor is decided by a market. Just because I have a horrible business model of giving away cars for free does not entitle to me to underpay for labor. And conversely, if I am a good engineer working for Wikipedia, and FB offers me a much better paying job, I will probably jump ship to FB. Employee retention is a problem for any company. Now I'm not saying Wikipedia is completely justified in paying the exact same pay grade as FAANG, but it's ridiculous to me that there are so many tears about an executive member of Wikipedia making the same amount of money as a middle manager at Facebook. We are not even comparing directors, we are comparing rank & file to the CEO of another company and people still have a problem with it. >It's disingenuous at best to connect a nonprofit's executive staff making large salaries with raising the minimum wage I don't see how the argument is different. I don't think engineers working at Wikipedia should make 300k because they work at Wikipedia. I don't think cashiers working at McDonalds should make $15/hr because they work at McDonalds. You are removing the value of their work simply based on where you think their social status should be,
- mithr 5y agoIt has little to do with social status, and everything to do with your implicit assumption that SV salaries are the tech world's equivalent of minimum wage. In reality, SV salaries are the highest in the tech world, not the lowest. Not paying SV salaries is not equivalent to "paying your stuff under market", because SV is not the market -- it's the highest-paying corner of the market. The better analogy here is GoldBurger, which is a very successful burger chain that sells gold-plated $200 burgers and pays its employees $100/hr. Would it then be reasonable for my local mom-and-pop burger joint, where the most expensive burger costs $5, to compete with GoldBurger on salary? Would the cashiers making only $20/hr at my local joint be paid "way under market" just because GoldBurger exists? The fact that GoldBurger exists and can create very well-paying jobs for its cashiers doesn't mean that suddenly the entire base of the market rises up to match it. It just means that, all else being equal, it's entirely possible that potential employees will go with GoldBurger rather than my local joint, if given the choice, and the local joint will have to hire other folks. If every burger joint was like GoldBurger, my local joint would be in trouble. But that doesn't tend to be the case, and it isn't the case in the tech world, either.