Underwritten by Tristan James Jr.
Google has rolled out a new internal calculator to explain potential pay cuts to employees who choose to work remotely — and the early results suggests it will penalize its suburban staffers.
Screenshots obtained by Reuters show that Google employees who previously commuted an hour to Google’s Manhattan offices from nearby Stamford, Conn., for example, would see their salaries slashed by 15 percent if they choose to continue working from home.
“Google is slashing pay by up to 25% for some employees who choose to work remotely forever”
NYPOST
Google employees who move even farther away from the company’s offices have been warned they could face even harsher pay cuts.
A worker who left San Francisco for Lake Tahoe, another expensive area of California, would have their pay cut by a whopping 25 percent.
That would mean an employee with a $150,000 salary would suddenly make less than $112,000 per year.
“News of the Google tool comes amid a broader debate at tech companies about remote work and compensation.”
NYPOST
Facebook, Twitter and LinkedIn have all warned employees who plan to leave expensive cities like New York and San Francisco that their pay will be slashed while smaller tech companies like Reddit and Zillow say they’ll pay the same regardless of where employees live.
The calculator states it uses US Census Bureau metropolitan statistical areas, or CBSAs. Stamford, Conn., for example, is not in New York City’s CBSA, even though many people who live there work in New York.
Jake Rosenfeld, a sociology professor at Washington University in St. Louis who researches pay determination, said Google’s pay structure raises alarms about who will feel the impacts most acutely, including families.
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