4 ms·
Because a huge part of their compensation both to themselves and their employees is floated stock.
by ikiris 4y ago
Because a huge part of their compensation both to themselves and their employees is floated stock.
- pas 4y agoThat doesn't explain it. It might be a factor, but it's not a big factor. FAANG jobs pay extremely well and then there's the stock on top. Is the vast majority working at these companies (with years of vesting, no?) so shortsighted? Especially the higher ups? Is it a requirement at these companies that you have to be 10000% in debt and living paycheck-to-paycheck to be a SVP/VP/director/whatever so you have to be hyper-focused on that stock comp? It's just ridiculous. (And note, I'm not saying it's not a factor, it might be, but it's just not the full picture.)
- danaris 4y agoIt's taken on a life of its own at this point. The idea that the quarterly stock price is The One And Only Metric That Matters arose for various reasons related to what was mentioned, but over the years it's become so ingrained in the minds of executives and other wealthy people that even when those conditions don't specifically apply, they still act as though they do.
- htrp 4y agoAmazon cash comp was capped in the low 100s IIRC.
- sangnoir 4y ago> FAANG jobs pay extremely well and then there's the stock on top. When excluding RSUs, FAANG jobs are not extreme in any way. RSUs are not a cherry on top but an important component of remuneration. Often for mid-level and above (roughly TL/staff engineer and Manager-II), the value of RSUs is more than 50% of total compensation.
- pas 4y agotech/IT salaries are very high compared the median income of the country/region. and FAANG base salaries are top of that, so ... I would say they are infact extreme. and then there's stock on top.
- ikiris 4y agoThe stock is not just on top. The stock is a large portion of the pay if you aren't just a nameless minion.