“Our compensation packages have all the time been decided by location, and we all the time pay on the high of the native market primarily based on the place an worker works from,” a Google spokesperson informed CNN.
But it surely’s outrageous that an organization is reducing the salaries of employees who’re more likely to be extra productive and cheaper than individuals working within the workplace.
Because of this, if something, Google ought to be paying its staff who make money working from home extra. Not solely may they be extra productive, however in addition they save the corporate the expense of workplace house. Distant employees pay for his or her work areas themselves — together with not simply the price of the house of their properties but additionally electrical energy, air-con, Web service and cleansing. Within the mixture, this financial savings for the corporate stands to be huge. In response to Google, about 10,000 staffers have utilized to make money working from home or change areas since June, and 85% of the requests have been accredited.
Let’s additionally bear in mind who’s extra more likely to transfer away from the workplace to the suburbs, and subsequently take a pay lower: households. Whereas it is true that actual property could also be cheaper exterior cities, individuals with kids must pay much less for housing than their city counterparts in an effort to afford extra space, childcare and the opposite huge bills that come together with elevating youngsters.
Households in all probability did not plan on having their salaries slashed after they, for instance, took out mortgages on their properties or enrolled their youngsters within the native Montessori preschool. For a lot of, these sorts of pay cuts may very well be calamitous.
Some might query if it is honest not to chop staff’ pay in the event that they transfer to a inexpensive metropolis, notably if employees initially primarily based within the much less expensive location have been making much less cash. It is a cheap query, and I perceive why geography performs a task in wage. (In response to Google, the corporate has all the time adjusted the salaries of staff who relocate, relying on the place they go.) However the issue is that staffers who as soon as opted for lengthy commutes and lived exterior the cities the place their workplaces have been positioned may very well be topic to pay cuts in the event that they go 100% distant — even when they have not moved. That is not honest.
Now, as Google and different tech firms lower salaries in a aggressive job market, they might quickly discover that their staffers’ search phrases embody new jobs.