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‘This is cruel’: Rush Limbaugh rips Microsoft for plan to cut pay of workers who relocate

Microsoft with its evolving response to the COVID-19 pandemic and the way and the place it is going to enable staff to do their jobs. Conservative radio persona Rush Limbaugh was amongst these weighing in, as he seized on the notion that some workers would find a way to relocate elsewhere within the nation as half of Microsoft’s “hybrid office” plan.

The Redmond, Wash.-based tech large knowledgeable staff that new pointers would enable extra flexibility when it comes to working from house half of the time and that managers may approve relocation for staff who may do their job from a distinct metropolis or state.

How a lot these relocated staff can be paid is half of a bigger debate occurring at firms resembling Microsoft, Fb and others. that location impacts compensation — a software program engineer who lives in San Francisco and opts to transfer away from that metropolis’s excessive price of residing and actual property prices would take a pay cut to do the identical work from a metropolis resembling Omaha, for instance.

Within the steering it launched final week, Microsoft additionally talked about how staff who transfer throughout nation for distant work may face a change in compensation and advantages relying on the corporate’s geography-based scale.

And the additional reported Sunday on the development and the tensions it’s inflicting throughout the tech panorama between some of probably the most worthwhile firms on the earth and expert staff who take pleasure in excessive salaries — particularly because the pandemic reshapes distant work into a bigger scale, long term apply.

“You’re hiring an individual and the abilities they carry,” one tech CEO informed the Journal, calling tremendous worthwhile tech giants “hypocritical.”

In a , Limbaugh used Microsoft as half of his reply when responding to the query, “If these Democrats love their states and their cities a lot, why are they leaving?” The listener from Connecticut added, “What are they gonna do? Come to my state and screw up my state now?”

Limbaugh stated that’s precisely what the plan is, to deliver their politics and “corrupt your state.” However he defended these who are transferring towards the practices of their giant employers, calling out a “fascinating story” of how “lots of liberal Democrats” who work at Microsoft are leaving “high-tax states the place Microsoft has places of work.”

Washington state, the place Microsoft is headquartered and employs greater than 50,000 folks, has no state revenue tax however its gross sales tax price is among the many highest within the U.S.

“You understand what Microsoft is doing? Chopping their pay. Microsoft is lowering their salaries commensurate with the tax financial savings they’ll discover once they get to their new states. I’m not making it up. Not making it up. This is merciless, it is punishment, ‘Oh, you suppose you’re gonna depart us and do higher financially? Nicely, watch this.’ And so their pay, their wage, is being cut in order that the tax cut at their new state won’t be seen as extra discretionary revenue or take-home pay, if you’ll. I imply, that’s the low of the low. You speak about get-even-with-’em-ism.”

The rub, as Limbaugh and others see it, is whether or not the pay cut would cut back any of the profit of transferring to a spot with a decrease price of residing.

Within the Journal story, human sources researcher Brian Kopp of Gartner Inc. stated that price of residing often falls greater than the paycheck, and a San Francisco software program engineer who takes a ten% or 20% pay cut can nonetheless “stay a much more lavish life” in a metropolis resembling Nashville.

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