Google employees who want to continue working remotely may have their compensation cut, depending on where they reside. The search-engine giant rolled out a new calculator to show what workers will be paid if they work in different locations.
Facebook founder and CEO Mark Zuckerberg said about remote work, “We’re going to be the most forward-leaning company on remote work at our scale.” While this sounded noble and magnanimous, there was an underlying threat to workers.
At first blush, Facebook, Twitter, Square and other employees who’ve been offered the chance to work remotely were delighted that they don’t have to commute, deal with annoying co-workers, endless in-person meetings and their bosses glaring at them. Some say that it's not worthwhile to live in San Francisco, Silicon Valley or other cities where rentals and houses cost a fortune. The taxes and cost of living are also too high. Many will leave the cities and move to places that offer more affordable housing, along with a better quality and higher standard of living. This can be a boon for many suburbs and warm, sunny low-tax states and a detriment to the cities that throngs of people escape from.
Here’s the Facebook catch: employees will have to tell their boss if they move to a different location. According to Zuckerberg, those who flee to lower-cost cities “.” He ominously added, “We’ll adjust salary to your location at that point. There’ll be severe ramifications for people who are not honest about this.” Zuckerberg can now scout for talent all over the country and world. This could be the worst trend for workers, as CEOs arbitrage the best, cheapest job seekers globally.
According to a Google spokesperson, “Our compensation packages have always been determined by location, and we always pay at the top of the local market based on where an employee works from.” The company representative added that pay will differ from city to city and state to state.
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