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Remote Employees Shouldn’t Be Paid Less Based on Geography

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Re: Remote Employees Shouldn’t Be Paid Less Based on Geography

#3
Hot topic nowadays. I have also given it a lot of thought but couldn't come to any conclusion.

It's true, living in SF/NYC and India, you will have a significant difference in monthly expenditures. But does it make sense to pay differently to persons who bring the same value to the company just because they are living in different locations?

IMO if you are a fully remote company, it shouldn't make any difference. People can choose to work from wherever they are and should get paid equally. If you have an office and hire a remote worker, it would make sense if you are paying lower to remote workers working from countries with lower wages.

Re: Remote Employees Shouldn’t Be Paid Less Based on Geography

#4
post #3

Hot topic nowadays. I have also given it a lot of thought but couldn't come to any conclusion. It's true, living in SF/NYC and India, you will have a significant difference in monthly expenditures. But does it make sense to pay differently to persons who bring the same value to the company just because they are living in different locations? IMO if you are a fully remote company, it shouldn't make any difference. Peo…

A clear example is GitLab: they proclaim themselves full remote, but they pay salaries based on location.

Why an Engineer in SF can earn $200K / year, while you'll earn less than half of you live in Buenos Aires?

What about performance? Is the SF Engineer better than the BA one?

Having this huge paygaps based on location is bogus

Re: Remote Employees Shouldn’t Be Paid Less Based on Geography

#5
post #3

Hot topic nowadays. I have also given it a lot of thought but couldn't come to any conclusion. It's true, living in SF/NYC and India, you will have a significant difference in monthly expenditures. But does it make sense to pay differently to persons who bring the same value to the company just because they are living in different locations? IMO if you are a fully remote company, it shouldn't make any difference. Peo…

A clear example is GitLab: they proclaim themselves full remote, but they pay salaries based on location. Why an Engineer in SF can earn $200K / year, while you'll earn less than half of you live in Buenos Aires? What about performance? Is the SF Engineer better than the BA one? Having this huge paygaps based on location is bogus

Yeah, I had GitLab on my mind when I wrote my comment. I do think it's unfair for a fully remote company but they have their reasons. Its unfortunate developers with the same skill set can have a massive gap in salary because they live in different locations even though they bring same value to the company.