Comment by dgunay
Why didn't companies just grant raises more aggressively? Was the ease of poaching engineers not a clear market signal?
Why didn't companies just grant raises more aggressively? Was the ease of poaching engineers not a clear market signal?
some places like Amazon operate around the churn. Keep everyone anxious and they won't try to collectively bargain nor ask for raises. They won't be around long enough anyways.
Generally I understand the missing factor to be a control thing.
Th power structure that makes up a typical owners-vs-employees company demands that every employee be replacable. Denying raises & paying the cost of churn are vital to maintaining this rule. Ignoring this rule often results in e.g. one longer-tenured engineer becoming irreplacable enough to be able to act insubordinately with impunity.
A bit bleak but that's capitalism for you. Unionization, working at a smaller companies, or at employee-owned cooperatives are all alternatives to this dynamic.
When I worked at a very small company we were extremely concerned about this, and so we paid people well enough that they didn't want to leave. All I can figure is that the bean counters just don't understand that churn has a cost.