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by smcphile 2190 days ago
> But the arguments I see from Facebook and in this article are about cost of living. That's wrong. Price it based on value created by the employee.

Salaries aren’t based primarily on the value created by the employee and never have been. Salaries are based on supply and demand. Workers are in a market and they sell their time and skills to the highest bidder. They’re in competition with other workers capable of doing the same work.

Of course not all workers are equally capable of doing the same work, so in that sense the value created by an employee does come into play when determining what they’ll be paid. But if two equally skilled and competent workers are competing for the same job, the one who will accept a lower salary will get the job. This will tend to favour employees living in an area with a lower cost of living.

1 comments

You should take this argument to the H1-B thread.

Would love to see the reactions.