So COVID-19 is fucking startups as VCs are changing their investmenr decisions and those who may need more funding later this year are going to have a hard time raising capital relative to the market pre-COVID-19. layoffs are ensuing at companies that lack strong balance sheets. and for the most part FAANG compensation match is set by each other. Some observations among this cohort - Netflix pays top if market but attrition can be high in cuthroat environment - Google lowballs unless there is a competing offer from “worthy” competitor - Amazon can compete but its RSU’s are backloaded while cash signon bonus makes up for it - Apple doesnt typically pay as much up front as FB and Google but their refreshers make it close on a longer time horizon -Facebook has had to pay more to in recent years based on reputation hit since Cambridge Analytica -Microsoft (i dont know enough about to generalize) all of these companies have had seen talent leave for Uber, Lyft, Airbnb who were able to pay competitively but Uber has already had to do layoffs pre-COVID. airbnb likely cant go public this year because travel is among the worst hit sectors and they sided with travelers instead of hosts in offering refunds when COVID came. these three companies likely have to adjust there hiring plans to stay on course to their profitability schedules. so without the upward pressure on FAANG+ Microsoft from -ULA, which company would be the domino to start lowering tech compensation across the industry?
Microsoft is already a big step below the others you mentioned
Tech TC not coming down. I think it’s going to keep going higher for another 20-25 years till tech becomes commodity
FAANGMULLA ( LinkedIn and Lyft)
Flawed premise.
Uber/Lyft and Airbnb are different. FANGs are more inclined to compete with companies that are public than a company that hasn't IPOed
As long as companies like Google and Facebook print money, they can continue to drive up salaries. If anything SWEs are still underpaid.
I don’t think Uber / Lyft / Airbnb drive salaries that much. They simply don’t hire enough people compared to the big companies hiring 10k people a year to really impact the market. In my org at FB, most of the time if we lose a candidate it’s to Google. EDIT: I guess to answer the actual question though, I think if there is a correction it will be from FB - ads will get hit hard and we hire way more people than Netflix, so candidates won’t be able to take the (usually pretty high, especially for junior engineers) FB offer and shop it around.
We definitely had to react to salaries rather than drive them. Had to offer higher TC to get talent to leave these companies.