Business & Tech

Google Employees Could See Pay Cut If They Work From Home: Report

Google employees told Reuters that the cut could be as high as 25 percent for remote workers who leave San Francisco.

In this Oct. 20, 2015 file photo, signage sits outside Google headquarters in Mountain View, Calif.
In this Oct. 20, 2015 file photo, signage sits outside Google headquarters in Mountain View, Calif. (AP Photo/Marcio Jose Sanchez, File)

MOUNTAIN VIEW, CA — Google employees who opt to work from home permanently may receive a pay cut, according to a report by Reuters.

Citing screenshots of Google’s internal salary calculator, Reuters reported Tuesday that employees would receive pay cuts of between 5 and 15 percent depending on where they choose to live and work remotely. Google employees told Reuters that the cut could be as high as 25 percent for remote workers who leave San Francisco for areas like Lake Tahoe.

The reported decision could lead to other companies in Silicon Valley and other industries following suit, as workers slowly return to the office. But Google, like other tech companies, has stated in plans that it would allow a portion of employees to work from home permanently.

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Facebook and Twitter have also reduced pay for employees who relocate to less expensive areas, according to Reuters.

A Google spokesperson told Reuters that compensation has always been determined by location, and “we always pay at the top of the local market based on where an employee works from."

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Read the full report by Reuters here.

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