As employees quit at record rates, even the biggest tech companies are struggling to retain talent. Tech companies like Amazon, Shopify, and DoorDash have changed how they pay employees. But tech workers say companies are still dismissive about pay increases and flexibility. Employees are quitting at record rates, and tech companies are scrambling to manage the turnover. This problem is even hitting tech's biggest firms, which have long been magnets for talent. Employees at companies like Google, Amazon, and Microsoft told Insider they feel undervalued and underpaid compared with new hires scoring bigger compensation offers in the red-hot job market. This market dynamic is sparking tensions among teams and a ripple effect of departures, as well as forcing companies to rethink how they hire and pay. The e-commerce firm Shopify recently addressed attrition woes in a town hall, while Amazon more than doubled its salary cap on base positions, to $350,000. Google sped up its hiring process, and DoorDash drastically changed how it compensates employees through equity in an attempt to stay competitive in the tough talent market. But employees at various tech companies say these efforts don't go far enough, saying that pay remains unfair and that management has been dismissive of complaints about low compensation. At the same time, managers trying to move the needle say they're being met with pushback from higher-ups and struggling to maintain morale on their teams. More from the article in comments #tech #tonedeaf #norecognition #resignation
Stop being whiny overpaid US workers. Cut jobs from US and outsource to get higher quality work and at the same rate
Whoa! Not just US, engineers in India are extremely well paid to put them in the top 1% of the earning bracket. I’m sorry if you’re in Europe.
Higher quality you said? Lol
Upcoming recession solves this problem
We are a bunch of spoiled brats.
Context is everything. When you provide enough value to help a CEO become a billionaire and make many millions, or even SVPs making over a million. Are we spoiled? Who actually does the work? Not management.
They have all these issues and to top it all that, it takes them 60+ days to get a new offer out!!
as a tech worker i sympathize with this effort. as an economically literate individual, i worry that this rapid wage increase will only solidify inflation as wage costs to firms become realized. any wage concession will quickly be nullified by inflation.
Don’t live in a bubble please. Your salary and mine and all of the Bay Area are a tiny tiny fraction of the problem.
What TF!? You think Bay Area salaries contribute to the growing financial debt in the USA and the world!? Please don’t do drugs at such a young age!
This is exactly why I left Salesforce
How was your experience there? How long did you stay there for?
I was there a year and a half. I felt awful there. That entire company is a bloated corporate junk show. If you want your life to have no meaning and have your entire existence be based on corporate ladder climbing and back stabbing, then Salesforce is the place for you.
This is why software developers need a union... Because without unions... You're going to keep getting low balled regardless of how much effort you make. This will probably be hated on for political reasons, but that's fine.
It'll be debated by people on both sides who have never been in a union. As a former union member myself, I have mixed feelings. Unionizing is definitely an option. Another option would be actually enforcing the federal Equal Pay law.
Engineers don’t need unions. LC Hard and you win. Survival of the fittest. I wouldn’t want to work with people who cannot do LC Hard lol
It’s fun job hopping. I do not share any values the companies work for. It’s a lie if people say they do. The moment they have 20% or higher comp, it’s bungie jumping.
You don’t have to share any values. You make money for the company, you get paid. That’s the transaction. There are snowflakes at Salesforce who were up against Salesforce initiating the NFT marketplace product. Mofos went to Thomson Reuters saying it’s against sustainability and shit. They’re the same ones who’d get naked to buy some shitcoins the moment it’s up 5%
lol
As long as people sell their soul to the lowball offers by Google (and many others) and stay at a company just to coast, things aren’t changing
How do you think people would show off to their neighbors if they don’t work at Google?
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What happens when most of your team is Indian?
Some say pay increases are being applied unevenly, causing massive disparities between employees in similar roles. "My team saw that our software kept growing, but our salary wasn't growing to match," one former Salesforce manager, who recently left the company and asked to remain anonymous because he wasn't authorized to speak to the press, told Insider. "When new hires make more, it's a slap in the face, and it kills morale." While companies like Amazon have overhauled their pay structures, some employees and hiring managers say pay increases are not applied evenly within tech firms. One engineer who works at Amazon previously told Insider that despite Amazon's attempts to stay competitive, their pay was $127,000 and they'd had three managers in the past year. Since the company's pay-cap announcement in February, Amazon employees have described uneven pay increases — some said they got raises of 60% or even 90%, while others said they got single-digit pay bumps barely keeping pace with inflation. At a recent all-hands meeting, CEO Andy Jassy dodged employees' concerns about pay. An Amazon spokesperson previously told Insider total compensation, which consists of base pay and equity-based pay such as restricted stock options, is based on an employee's role and level and informed by location, performance, and other factors. The spokesperson added that employees and candidates had choices about where they work and that the company regularly reviewed its compensation and benefits to ensure pay stayed competitive.
The issue isn't specific to Amazon. Other tech workers say upper management has continually dismissed their complaints of low pay. One manager at a large UK tech firm said a key member of his team quit after the company didn't raise her $120,000 salary to meet a competing offer — but when the manager backfilled the role after she left, the company offered a new candidate with less experience $200,000. Similarly, the former Salesforce manager, who worked at the company between 2019 and 2021, told Insider that across his 25-person team he received multiple complaints that tenured employees were being paid considerably less than new hires. He said new hires in 2021 were paid on average $4,500 more than employees who'd worked at the company more than a year. For example, he said, one employee hired in 2021 was offered a $72,000 salary while another employee who had been in the same role for over a year made only $63,000. He said that when he went to human resources to negotiate higher raises across his team, he was consistently shot down for "budget reasons," adding that management was prioritizing competitive hiring rather than increasing wages for current employees. He said that as employees started discussing pay in light of the job market, the disparities pushed three team members to leave for other companies. Salesforce did not respond to a request for comment. "I was told by management that employees specifically have to come out and ask for a raise, and they have to give you a number; you cannot just offer them a raise. Yet requests were tied up in so much red tape," the former manager told Insider.