Earlier quoted context omitted.
> Paying postdocs private sector hourly salaries will probably resolve the issue What's the actual issue, though? Is there something bad that this effect is causing?
Salaries are basically limited to $50-70k a year with 50-60 hour workweeks. If you did a PhD in Biochemistry, you could make $100-200k a year plus stock working 40-50 hours a week at most working for Pfizer in Cambridge MA instead of earning around $60k working 50-60 hours as a Postdoc at a regional Boston based program like BU or Northeastern - you have to pay the same amount for rent and groceries, but you earn hal…
I was recruited pretty heavily relative to my peers, when I finished up my biochem PhD. Clearing $100k was actually a pretty tall order without a postdoc. There are jobs out there, and I managed to get one of them, but they were very competitive. With a postdoc, $150k was on the low end, but also still competitive. Basically no one is hiring at $200k in biotech, beyond director roles.