Reply to Employees reveal Google has cut the pay of WFH staff

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[quote=Anonymous][quote=Anonymous]I always thought pay was determined by two factors: 1) level of skill needed; AND 2) local cost of living. I thought employers did this to attract high skill workers to cities like NYC, SF, LA, DC, Boston, Seattle etc.

I'm originally from Detroit. VERY FEW jobs in that area pay the $225k I make in DC. According to COL calculators, $140k in Detroit area is roughly the equivalent of $225k in DC. I would also say this is about right. My mortgage equivalent alone would be 62 percent less in the Detroit area.

I would never expect my organization to continue paying me $225k to live in the Detroit area. As long as I pull  the equivalent, I'm good. Of course I'd love it if my org paid me $225k to live in Michigan. I could literally live like a millionaire on that DC. salary.

I have nothing against people that WFH. I just think folks should be a bit more realistic and flexible with expectations. I say as long as your purchasing power is still the same or slightly better, then what is there to complain about? Before the pandemic people were literally taking 20% salary cut for lower cost area and were super happy about it because they still did better than these high cost of living cities.

[/quote]

Fair point. I made $185k in DC and moved to San Antonio, TX in October 2021. My salary was adjusted to $161k. I'm definitely doing better financially in SA than in DC even with the $24k decrease. For reference - I purchase a 922 sq ft (1 bed / 1 bath) condo in DC in 2018 for $630k. I sold my Condo in September 2021 for $717k.

I bought a DETACHED 1800 sqft 3 bd home in SA for $337k. My mortgage is nearly 50 percent less and overall everything else in SA is so much cheaper than DC. So I'M DEFINITELY winning. So I don't care that my salary was reduced to the local equivalent. My purchasing power is still better than DC. [/quote]

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