Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
But it's not a zero-sum game. A majority of those jobs are likely to be relocations - especially the upper half of salaries - and there's the distributed cost of the city subsidies.
Plus the long-term Seattlization of those cities, which is only a good thing for property owners. Very few of those "1.6 jobs per job" will be able to live anywhere nearby, but who wants to live next to a bunch of waitresses and barista anyway.
I won't say it's a bad thing. But it boils down to mildly interesting third page of the business section news, really.
The area around D.C. has been unaffordable for all but the rich for decades, Amazon is not going to make it any better or worse. Price homes in Alexandria.
Wow, I just can't wait to move to a place with 50% higher cost of living for a minor pay raise and increase my hours worked by about 2-3 per day and my commute by the same amount.
Nothing says living like leaving the house at 6AM, getting home at 7PM....wow, now that's what I call a success!
P.S. Amazon has the reputation of a Chinese Iphone factory. Best of luck to you, hopefully they keep the nets in good working order.
Everybody who already lives and works in/near NYC already has that commute and high COL, but not all are getting $150,000 a year. NYC is not for everyone, I would hate it, but a lot of people like that lifestyle.
To put things in perspective, $150,000 salary does not mean upper management in NYC when it comes to the tech sector. For a large company like Amazon, this is the average salary for a non management engineer at mid to senior level experience.
Amazon's N. Virginia HQ: they will hire 25,000 and the average salary will be $150,000.
Another 25,000 in New York - with an average salary of $150,000.
Don't get too excited, these areas are hotbeds of other high paying jobs, too. Doesn't matter if everyone was making $50,000 or $150,000... it's going to bid up the prices of houses in the area and if you're not on the upper end of the area's income spread, you'll soon be hurting more than you are now.
Unless you're planning on selling and moving to a cheaper area after the uptick, most people don't stand to benefit.
Plus, Amazon has a company-wide salary cap at $160k. How do you think you'll fare against a DC or NY attorney? Or better yet, a couple who are both attorneys?
Unless I missed it, I see nothing indicating jobs in the +$100k range. This is an operations center, a 1M square foot warehouse and staging facility. A worker-bee level facility of which Amazon has built... many in the last decade. "Good paying" thus means $50k jobs. Nice for Nashville, I guess.
The retail giant also announced a smaller, third investment in Nashville, Tennessee, where it will build an east coast operations hub and create 5,000 jobs.
In all three locations, the average salary for new employees will exceed $150,000 per year, Amazon announced. That six-figure salary looks very different in Nashville, though, where $150,000 will stretch much further than in New York City or Arlington.
Plus, Amazon has a company-wide salary cap at $160k.
Really? I did not know they capped salary. They must offer outstanding bonuses and RSU's and/or options. If they don't offer a lot more in terms of compensation, they are not going to attract top talent. Especially in the DC or NYC area.
Plus, Amazon has a company-wide salary cap at $160k.
In terms of base salary only, not total compensation. After that you get more through bonuses and stock grants. $160k is not the net total you can ever make in a year.
Land locked? What map are you looking at?! NYC, with the exception of the Bronx, is made up of islands. There's direct access to the Atlantic Ocean and two pretty major rivers.
I wouldn't say we have a housing problem, so much as a housing COST problem. Plenty of units, they're just expensive. People getting these Amazon jobs won't have an issue. Of course, what that does to the lower income folks is a different story, but they can't afford those units anyway.
Unless am misunderstanding your post, only two island make up the four boroughs of NYC; Staten Island and Manhattan. Bronx, Brooklyn, and Queens are all part of mainland USA. Queens for all intents and purposes is an extension of Long Island, and Brooklyn borders that borders that borough.
Really? I did not know they capped salary. They must offer outstanding bonuses and RSU's and/or options. If they don't offer a lot more in terms of compensation, they are not going to attract top talent. Especially in the DC or NYC area.
Wall Street/finance, lawyers in firms (mostly always partnerships), to a host of other well paying employment largely use some sort of salary and bonus structure. This also may include (depending upon nature of firm's business) compensation in terms of stock options and or shares.
The base salary may be generous by most standards, but the big money comes at end of year when bonuses are handed out. This can be in form of money, stock options/shares and or combination of both.
For decades high level/key employees and of course CEO's and so forth of major companies have received stocks and other compensation while often drawing comparatively low salaries. Tech firms simply carried on this age old custom.
Where tech has made an impact is in the often huge valuations which make stock options worth far more than many multiples of annual salary.
Elton Musk, Mark Zuckerberg and countless other tech billionaires got their money via stock options.
Early employees of Apple, Microsoft, PayPal, and other tech companies who went to work for these places often for low to average wages but got stock options largely all became millionaires (some many times over) all thanks to stock options.
Everyone and their mother now wants to get in on ground floor of a tech start-up in hopes of getting stock options, holding on until company goes public (IPO), which hopefully will bring in a huge valuation so they can cash out.
All this does come with strings. Stock options can act to bind an employee or whatever to a company, that is if they leave before being vested, they get nothing. Also if share price tanks, then obviously they are worth less if sold.
Voters in those cities and states absolutely should question their elected representatives. I suspect Amazon would have selected those locations with far fewer subsidies, and maybe even zero subsidies - after all, Bezos clearly wanted a location close to Washington DC & the Washington Post, and he also needed something close to NYC. NYC & DC are the power centers of the USA.
Don't know about Virginia, but governor of NY and mayor of NYC held press conference today announcing the deal with Amazon, and by extension justifying the nearly $7 *Billion* in taxpayer money (subsides) being given. Rationale is that the state/city economies will feel the multiplier effect of Amazon for years which should give an excellent ROI.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
