New York tech workers stung by expensive housing market
09 February, 2018, 10:18
Mehul Patel, the chief executive of Hired, said lower salaries meant London was at a big disadvantage when trying to recruit top talent for United Kingdom roles.
Bay Area companies still pay the highest wages-Hired found the average annual tech salary there was $142,000-but they lag behind when adjusted for cost of living.
New York City tech workers are making more money than they did past year, but they're still being stretched thin by a sky-high housing market. The report found that unsurprisingly, tech workers in San Francisco are paid the most, followed by other large "knowledge hubs" like Seattle, Los Angeles, and NY.
Last year, NY tech workers' salaries rose around 6 percent to an average of $129,000. In Austin, the $118,000 salary can pay for a $202,000 lifestyle in San Francisco. Hired also surveyed tech workers on what city tops the list of places they wish to relocate to. Black tech workers earned the least in every category of managerial and director-level jobs, while Asians/Pacific Islanders earned the most. The top 5, in order, are: Seattle, Austin, Denver, Chicago, and Atlanta. "But New York is not keeping up", he added, "considering the cost of living".
But there is a kind of silver lining here: Employers don't have to pay as much to attract talent, relative to the cost of living, because the city is a place where people already want to live.
In the end, black tech workers ended up with average offers of $130,000, while whites received $136,000. Patel says that's because black workers set their preferred salary at the low end, at $124,000, compared to whites, who started out asking for $130,000.
Silicon Valley may be the epicenter of the tech industry, but Austin is a more attractive location for workers eager to increase their earning power.