Yawn. Go back and read more about network effect.
Good, you see the network effect would ensure WFH would be ubiquitous
tech labor could end up increasingly commoditized and underpaid.
Less overpaid? Less inflated pay? No more geographical restrictions. Hence larger pool to select from, more competitive and ultimately lower pay.
This emphasis on cognitive ability is combined with high-powered incentives, such as large salaries and options, to drive performance; all sorts of weirdness are tolerated if accompanied by intellect and a focus on results.
This model, which has served tech firms (and us) well, is in danger.
Model doesn’t have to be fossilized like @manch thought. Every time when things change, life won’t be the same but doesn’t mean worse. 1984 won’t be Like 1984
If Twitter, Facebook and other tech companies shift toward everyone working from home, it will mean less reliance on esprit de corps and morale to ensure performance, and more management using direct financial incentives and project- and output-based monitoring.
Now you’re thinking.
There is some evidence that when employees work at a distance, they don’t put in extra hours or extend themselves for the benefit of co-workers. That probably means a better work-life balance for many people, but perhaps also inferior performance from a lot of companies over the longer haul.
Who help fellow colleagues for free??
Ofc, better work-life balance
Your puny brain can’t fathom how life adapt. Not that I can but I am confident that life will find its way.
Forgot to ask you what your concrete prediction is. Are you also saying 20% of SV payroll will be remote in 5 years?
Doesn’t matter. People are buying in the exburbs right now. I have seen a major increase in demand and tenant quality in Tahoe. Lowest sfhs inventory ever. The city desirability myth has been been busted wide open.
My friend from SF is visiting tomorrow. Lives in a rent controlled apartment on Potrero Hill since the seventies. He said what is the point in living in the city when everything is closed down. He just spent 11 weeks in Mexico collecting unemployment. Now traveling and sponging off his friends. Total liberal originally from NYC. Doesn’t see the hypocrisy of rent control or the moral hazard of giving everyone free money. Woodstock forever man. Damn hippies
@manch It seems you’re the only blogger who think CA governance won’t affect startups and hence RE prices.
A computer screen can’t match the physical office when it comes to opportunities for social bonding, managerial oversight, mentorship and support, and random collisions between colleagues that lead to new ideas.
Workers don’t have to waste time or resources commuting. And they can live where they want. Companies can save money on commercial real estate, which is insanely expensive in places like Manhattan and Silicon Valley (side note: this also shifts the cost of real estate to workers, but that’s another discussion). A virtual office offers a virtually unlimited labor pool for companies to recruit from. In econ jargon, there are better “matching” opportunities. “You get to tap into the best people wherever they are,” Brynjolfsson says. Moreover, he argues, this shift is pushing companies to focus on performance and output as opposed to just “clocking hours.”
you can always get the best people rather than a fixed set of people.
In 2013, the CEO of Yahoo, Marissa Mayer, even banned working from home.
Where is she now? Where is Yahoo!?
But this grand experiment of remote work, he says, is forcing companies to rethink their operations, drop an outdated mindset, and discover more efficient ways of working. He believes many of these changes will stick once the pandemic ends.
You calling Steve Jobs monkey now?
Are you a Chinese? Steve Jobs born in the year of the
The guy whose ex wife sold me my farm wrote a few books on Steve Jobs. Wasn’t very flattering. His career and fortune collapsed with the death of Jobs. His wife got the farm. Apparently the neighbors hated both of them.
Kumar says that flexible workspace will not only push employees out of major city centers like New York and San Francisco, but bring prospective employees priced out of those markets, back into the recruitment pool, expanding opportunities.