Are companies being foolish cutting the wages of homeworkers?

There appears to be a trend if news stories in the press are believed that companies like JP Morgan and Google are going to cut homeworkers wages. For me this is a rather silly and shortsighted move. Skimming the surface of this issue there are three reasons why this is a foolish idea: Companies should value, Talent moves quickly and staffing if going global 

Value Labour not Location

Labour is Labour whether it is done in the backwoods of Montana or the Fjords of Norway. If the role and solutions provided by a worker have value continue to pay for that value.

You hire talent for productivity, not a GPS coordinate.

Talent moves quickly

Companies that do not value the Labour of WFH workers will cut wages and will lose staff to those that do. Very quickly.

Maintaining pay levels will be a sign to workers they are as valuable as the office workers. This is only going to help improve morale and retention of home workers.

Cutting wages will lead to highly prized talent moving on. Fast.

Staffing is going global (at least nationwide)

Homeworkers now have far more options regarding jobs as it is becoming the new normal. You are in competition for talent nationwide and in some industries globally.

Act accordingly because your workforce will.

Will cutting homeworkers wages work?

In the short run, cutting homeworkers wages might save a few pounds, dollars or euro's but in the long run, this is a false economy that will either lead to less productivity in the office or a higher staff turnover.

Will business leaders listen? Time will tell.

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