this post was submitted on 07 Oct 2023
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I think you're oversimplifying the "supply" of salary, companies have budgets they allocate for salaries. One employee getting a better salary thans someone else doesn't always mean that there's no room to give a raise for that someone else, it all depends on the budgeting.
I do agree that negotiating together is better, I generally also think just talking about salaries is good (among coworkers), don't know why it's a taboo in the US.
Yes, you will find singular examples where the rule fails. But on average, over long timescales, what you say means what I said.
I guess you're right that there is an upper limit. I'm just thinking about very successful companies where millions go to the top management, which isn't common.
Ah, top management! Yes, theoretically, that's another option. They could pay you more, at the expense of their bonus. But managers being involved in that process and more powerful will probably come out on ... top. And find someone else to foot that bill.