COMP NEWS – PwC announced that over 40,000 employees will be offered the ability to work remotely. If an employee meets certain conditions, they will be offered the opportunity to move anywhere they want and work from home. However, their compensation will change based on location.
In what may be a game-changing announcement in the accounting, tax, audit and consulting sector, PwC announced that around 40,000 professionals in the U.S. will work virtually outside the office. The generally white-collar workers could live anywhere they’d like for the foreseeable future.
There is a catch. If an auditor or tax accountant decides to relocate from New York City, for example, and relocate to a lower cost location, the person will suffer a pay cut to match the current compensation levels where they now reside. Similarly, Facebook, Twitter, Google and other companies have instituted location-based pay dependent upon where a person lives. Other companies are location agnostic, such as Zillow, the large online real estate marketplace.
During this pandemic-induced labor shortage, companies have been trying to find ways to attract new talent, as well as keeping the employees they already have. In addition to compensation bonuses and flat-out pay raises, working from home is a large incentive for new and current employees.
We are in the midst of the ‘great resignation’ and companies are battling the war for talent to attract and retain key personnel. A completely remote working outside of the office approach is the big weapon. Workers in this sector who dread commuting three hours a day into an office, fell in love with the autonomy associated with operating independently at home, developed a comfortable routine and experienced a better, more well rounded lifestyle may elect to jump ship and join PwC.
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