Live data from Hacker News

Zuckerberg says employees moving out of Silicon Valley may face pay cuts

cnbc.com

11–20 of 233 posts

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#11
post #2

This is one of the things that's always bothered me. Let's say you hire me for your company in San Francisco and pay me $150K. You've made a calculation: my value to the company is greater than $150K, and $150K is a price you're willing to pay to leverage that value. In other words, the company will (eventually) make more than $150K per year off my contributions to the company. But now if I decide to move to Tulsa, O…

90k for an Oklahoman is a bit overpriced if you ask me ;-)

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#13
post #2

This is one of the things that's always bothered me. Let's say you hire me for your company in San Francisco and pay me $150K. You've made a calculation: my value to the company is greater than $150K, and $150K is a price you're willing to pay to leverage that value. In other words, the company will (eventually) make more than $150K per year off my contributions to the company. But now if I decide to move to Tulsa, O…

employers pay their employees based on supply and demand, not based on value. the supply and demand is historically based on a geographic locale.

one could argue this is how you make your own purchasing decisions.

now, with remote workers, this becomes interesting and not as clear cut.

i'm not making a judgement on whether this is fair or not (that's a whole other topic), but rather just pointing out how the calculus is generally made today.

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#14
post #3

In other words you can work remotely but stay close to home base? Imagine how a Facebook developer could live in a place like Detroit or New Orleans? Have you seen the house you can buy for under a $1 million in Detroit! https://detroit.curbed.com/maps/most-expensive-homes-sold-de...

the unit tests I could write from home there... oh my god.

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#15
post #7

People should be warned that working remotely has been career suicide for as long as I've been in tech. Being "out of sight, out of mind" from management generally means you're passed over for promotions, and often the first to get cut during layoffs. It's just human nature. It's easier to layoff the person that's been working from across the country (or another country) than it is to layoff the person at the desk ne…

i think therse a good subset of people who dont really care that much about their careers. atleast from my experience working at fang. they just like the high pay and WLB and dont seem to care about being promoted or advancement.

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#16
post #2

This is one of the things that's always bothered me. Let's say you hire me for your company in San Francisco and pay me $150K. You've made a calculation: my value to the company is greater than $150K, and $150K is a price you're willing to pay to leverage that value. In other words, the company will (eventually) make more than $150K per year off my contributions to the company. But now if I decide to move to Tulsa, O…

Someone probably used the argument that "you can reduce costs due to salaries" when pitching this to Zuck. They should have cited the rental savings instead.

> Likewise, Twitter and Facebook will be competing against each other in the lower COL areas like Oklahoma!

The market should recover when this new reality matures. Lots of engineers are currently willing to relocate and the current market is still incredibly competitive. Good talent is hard to find and easy to lose. That will not change.

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#17
post #7

People should be warned that working remotely has been career suicide for as long as I've been in tech. Being "out of sight, out of mind" from management generally means you're passed over for promotions, and often the first to get cut during layoffs. It's just human nature. It's easier to layoff the person that's been working from across the country (or another country) than it is to layoff the person at the desk ne…

Except the case when you are considerably cheaper than the people working at the desk next to your boss.

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#19
post #2

This is one of the things that's always bothered me. Let's say you hire me for your company in San Francisco and pay me $150K. You've made a calculation: my value to the company is greater than $150K, and $150K is a price you're willing to pay to leverage that value. In other words, the company will (eventually) make more than $150K per year off my contributions to the company. But now if I decide to move to Tulsa, O…

Maybe presence in the office, to teach others in the office, is (supposedly) work $60k in the example above? (Seems silly to me, but that's what the management could claim.)

Re: Zuckerberg says employees moving out of Silicon Valley may face pay cuts

#20
Facebook and Palantir both used to pay people up to $10k/year to live within a mile or so of the office, since the cost of living in SF & Palo Alto & Menlo Park was so much higher than the rest of SFbay. I don't know if they still offer that perk, but I can attest that the increased costs of rent within a mile of those offices would, at that time, burn up that entire $10k and then some, relative to the rest of SFbay.

Are they right to do this, given that it's probably a contributing factor to increased rents? Probably not. But I bet it was negotiated with the cities to try and reduce emissions and parking requirements, too.

Post reply on HN