Preferences

I'd answer but it seems you didn't read the first part of what I wrote or even the second part (I never said 500m/year). So not much point.

Okay, you're right, I grabbed the wrong number. Sub in $1.5m/year or $500m/5 years and replace "bottom line this year" with "bottom line over the next 5 years".

The exact numbers don't matter, the point is the same: with only a few exceptions, no employee contributes the average per-employee output to the company. If they did, you could pick up your laptop and go to any other company and start earning them $N/year for whatever value of N you prefer.

First of all, Pareto Principle, so some employees contribute a ton and many contribute less. Second of all, having been in tech individual employees do drive projects that wouldn't have happened without them for a decent amount of time. In aggregate that moves the bottom line a ton

As for your second point, that's a straw men argument that assumed companies are omnipotent. The employees who drive the bottom line cannot truly prove this to a new employer so their value is diluted by those who don't. The general solution is to go into management (more visibility and no cap on comp), or to create (or join) your own startup (which doesn't have a rigid interview process and you can use "references"). Which many do given how many startups exist in the Bay Area. Companies also may give out large bonuses in RSUs to keep those employees.

> First of all, Pareto Principle, so some employees contribute a ton and many contribute less.

Correct. But with very few exceptions I don't believe that any one person contributes $500m in value over 5 years.

> Second of all, having been in tech individual employees do drive projects that wouldn't have happened without them for a decent amount of time. In aggregate that moves the bottom line a ton

In aggregate, yes. But it's the systems that aggregate the contributions of the employees and turn them into profits.

> As for your second point, that's a straw men argument that assumed companies are omnipotent. The employees who drive the bottom line cannot truly prove this to a new employer so their value is diluted by those who don't.

I'm assuming you mean omniscient, and no, I'm not assuming omniscience because I'm not actually talking about a company's ability to attribute value creation, I'm talking about the employee's ability to attribute it. Any random Google employee who thinks that they contributed $500m over 5 years can't just pick up their laptop and go work for a startup and expect that startup to make $500m over the next 5 years. It's not happening. The only way that their project made $500m was as a project embedded in the enormous money-making system that is Google, and absent that system they don't make that much money for the company.

Doesn't Sundar pull down $250MM / yr?
And as the CEO he's one of the few people who can reasonably make the claim that he's instrumental in creating the money-making system that is Google. We can argue about whether or not that perception is accurate in his case, but CEO pay being totally out of line with most employee compensation is based on the idea that I'm talking about: the system makes money, employees contribute to the system, and the more systemic your role is the greater your contribution to the system.
Just to be clear, your assertion was that NO EMPLOYEE contributes more than $1.5m/year to the company.

> no employee contributes the average per-employee output to the company

> Sub in $1.5m/year

Are you standing by that or is your new assertion now that no employee contributes $500m but that many do contribute $1.5m/year?

The back and forth is getting a bit confusing so trying to make sure we're on the same page.

edit: You do realize that a non-trivial number of employees including ICs are paid more than $1.5m/year. So even Google disagree with your assertion.

I'm not interested in engaging with you further because you've now twice ignored the main point of my argument in favor of nitpicks and out of context quotes asserting that I said things I didn't say. There's no point in engaging with that style of argument. Have a nice day.
The main point of your argument is materially different if you mean $500m or $1.5m. I agree there's no point in responding if you're just going to flip flop to whichever is more convenient to that particular response and then get upset when called out for it. Either make a consistent argument or deal with it when called out.

edit: There's also a material difference between no one, a few, many and the majority. You made a specific claim that no employee provides more then $1.5m of value. I disproved that with Google's own comp. Not my problem you're butt hurt about being called out for being wrong with quotes you said yourself.

This item has no comments currently.

Keyboard Shortcuts

Story Lists

j
Next story
k
Previous story
Shift+j
Last story
Shift+k
First story
o Enter
Go to story URL
c
Go to comments
u
Go to author

Navigation

Shift+t
Go to top stories
Shift+n
Go to new stories
Shift+b
Go to best stories
Shift+a
Go to Ask HN
Shift+s
Go to Show HN

Miscellaneous

?
Show this modal