Summer Rerun: Geographic Differentials

08/19/2020 CHRC

Summer Rerun: Geographic Differentials

Back in May when we first warned of the quicksand that awaited employers flirting with basing pay on where people lived, we approached it from a technical compensation perspective.  When I came across this article last night, I knew we had to revisit the topic from the right point of view—corporate strategy.

I had never heard of this CEO or company before, but looked up both after reading this article.  Ian White has many quote-worthy quips in this article, but up front he reminds ALL employers that:

Companies have a responsibility to pay their employees fairly and on time, but that’s where their control ends.  The manager who chooses to move into an expensive high-rise downtown doesn’t deserve to make more money than their peers who choose to buy a modest home in the suburbs or live with their parents to save on rent.

He echoes many of the sentiments we made back in May, but most importantly he reminds all of something that we often stress—don’t copy a practice that another company is doing if it doesn’t fit with your culture. Read More Here