| The issue no one here seems to be talking about is that paying people according to tenure is anticompetitive for the company on both sides. If you pay people more because they've been at your company longer (the way the follow-up post by Ethena describes[0]), you're explicitly choosing to pay them more than they can get elsewhere. You don't want to pay more than you have to for talent, so this is a hard sell to whomever manages the budget. On the flip side, if you're attempting to pay people in proportion to their worth to you as a company, you're going to be paying less than the competition, because the competition front-loads this money. A new engineer takes a few months or more to ramp up, so if you're making an attempt to pay engineers based on their impact, you will be outcompeted by companies willing to give sign-on bonuses and extra comp to convince people to switch. That's built into the plan of the four-year cliff - you pay them a lot to start with and hope you get the savings on the other side when they don't spend the effort to switch jobs later. Lastly, turnover isn't as much of a negative for the company as everyone seems to ascribe. Being forced to keep up with industry best practices and technologies to be able to recruit talent, to onboard new devs when someone leaves, and to retire unmaintainable legacy cruft when the creator leaves are not strictly negatives - they are risk reduction. That's not mentioning the benefit of fresh eyes and fresh ideas. (Honestly, I think all of this discussion on both sides ascribes too much rational decision-making to what is essentially cargo-culted hiring processes. The biggest companies copy decisions from each other to the point that it's literally collusion[1], and everyone else follows suit because they are smaller and don't have the economies of scale to make researching alternatives positive expected value. People at the top setting policies don't have lines of communication to front-line managers to be able to determine whether their particular company needs extra focus on retaining developers for business continuity reasons, so to the extent that it's a conscious decision at all, it's based on industry-wide studies or company-wide turnover statistics.) [0]: https://www.goethena.com/post/a-public-and-transparent-formu...
[1]: https://www.theguardian.com/technology/2014/apr/24/apple-goo... |