Thoughts on salaries (we’re in an interesting time)

Nov 17, 2021 28 Comments

I work for MSFT and previously a FANG (I’ve dropped Amazon from that acronym and I encourage others to do the same). I live in a low cola area and work remote.

At a neighborhood poker game a recruiter more familiar with the local tech scene kept trying to start a conversation with me. I was polite, but I understand how my salary differs from someone in my area (say a self-described J2EE developer who works on contract for a bank or hospital ), so I usually keep talks with ‘local’ recruiters short.

The next day he grabs my email from a mutual friend and shoots me a message. Apparently a big 4 consulting firm is hiring a “Director of DevOps”, this position is responsible for technical direction of “the program”. This will be a manager of managers who will have a total headcount of more than 30 people reporting to them.

I’m intrigued by this- I’m an IC and have never been a manager for context. I call the recruiter just to get some more info. He sells the role hard and then says, “ the salary will be at the very top of the pay scale, this will pay 200-210k”. I’m polite and professional, but I explain that number is significantly less than I make now and close to entry level for several large tech firms.

It made me think: what if we are actually in an insane bubble? This big, reputable-ish, company is hiring a director with a tech background and trying to pay 200k. They’ll probably be able to fill that with someone somewhat competently.

============update==================

Glassdoor says that the average partner at kpmg makes ~590k/ year with a range up to 1M/year.

This is comparable to staff/principle engineer at FANG. It’s less than sr manager/ Director 1 at FANG.
Which path is easier to hit I ask??

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TOP 28 Comments
  • Google
    owqJ68

    Go to company page Google

    owqJ68
    Software companies make insane profits per developer, and if they don't other software companies will start poaching them.

    It's part of the winner take all nature of tech because of the lack of direct human interaction. Many other business don't scale like this and this can't pay like it.

    This fact will only accelerate, so I don't see a change soon.
    Nov 17, 2021 2
    • IBM
      rLeI77

      Go to company page IBM

      rLeI77
      I think in terms of bubble correction it’s coming. But the point is that companies now are making so much profits it doesn’t make sense for them not to invest it right away.

      And they invest it in people. Now is the time they have extra money to grow their headcount, start working on more stuff = more profits. It’s a positive feedback loop.
      Nov 17, 2021
    • New
      zsAk33

      New

      zsAk33
      Exactly. If this was a DevOps team at a consultant firm, the scale is still limited by the money the consultants bring in. Whereas at a tech firm, the scale is what the product brings in.
      Nov 17, 2021
  • Amazon / Eng
    mmfoo

    Go to company page Amazon Eng

    mmfoo
    In my experience working at Midwest Fortune 500, the ICs could never hope to pass a FANG college hire interview no matter how much they prepped. The few who could all left for FANG within a year of joining out of college.
    Nov 17, 2021 2
    • Amazon
      Kicwb

      Go to company page Amazon

      Kicwb
      That's because FANG interviewers only hire people like them. If they had to bust their ass LCing why shouldn't the next chum go through that useless pain?
      Nov 17, 2021
    • VMware
      r2v

      Go to company page VMware

      r2v
      These roles are already highly competitive, so why would we allow even more qualified engineers through?

      Doing so would just decrease TC for everyone. Simple supply and demand.

      Better to have a fake bar that can be used to justify such ridiculous salaries. Do you think hiring top earners in other industries is somehow different?
      Nov 22, 2021
  • 200k for director? What do they pay new grads, like 100k? How are people even working for them 😂
    Nov 17, 2021 7
  • New
    gigachad69

    New

    gigachad69
    The bubble will pop when they lower their interview standards, until then, there will always be a shortage of LeetLords. Salaries will continue to rise. Regular boring corps are raising salaries since everyone asks LC and 99% of corp devs fail to trap rain water, you'll be making 300k at Kroger before you know it.
    Nov 17, 2021 1
  • New
    WjVI82

    New

    WjVI82
    Yikes, 200k for 30 direct reports and responsible for the technical direction of the company? That sounds more like at least a VP role. Can you imagine the poor chap who takes this role? Especially considering that no prior management experience is required 😳😂
    Nov 17, 2021 2