NUMBER OF THE DAY
The Price Tag of Going Remote, by the Numbers
Stripe will cut salaries for employees who move to less expensive cities, but will soften the blow with a one-time bonus
$20,000: That’s how much Stripe, the San Francisco-based payments processing company, is offering employees as a one-time bonus if they choose to relocate outside the Bay Area, New York City, or Seattle and take a cut in their base pay of up to 10%, according to Bloomberg.
Ever since the pandemic spurred mass remote-work policies, white-collar workers have started fleeing the expensive cities their employers are based in. A recent survey commissioned by the Manhattan Institute found that 44% of NYC residents earning six figures or more have considered leaving the city since the pandemic began, and 37% said it was at least somewhat likely they would not be living in the city in the next two years. Many have already moved: An August report from Zillow indicated that home values in Manhattan and San Francisco dropped by 4.2% and 4.9% relative to last year, with both markets flooded with new listings.
When the pandemic hit, Facebook was among the first companies to encourage its employees to work remotely, even stating in May that it planned to more actively hire…
