London Daily

Focus on the big picture.
Friday, Mar 13, 2026

Would you accept being paid less to work remotely?

Would you accept being paid less to work remotely?

New plans could see Google employees who choose remote working paid less according to their location and cost of living.

The COVID-19 pandemic has forever changed work habits and brought working remotely firmly into the mainstream. It has also spurred on an exodus of workers leaving large cities for a better work-life balance.

But for employees of tech giant Google, the choice to "work from home" indefinitely means making certain calculations before signing an amendment to their employment contract, according to Reuters.

Google has made a calculator available to its employees to estimate their future salaries based on their place of residence.

The difference in pay between large metropolises and suburban cities can be significant to the point that some employees may be forced to opt to return to the office.

Effectively a pay cut


"What's clear is that Google doesn't have to do this," Jake Rosenfeld, a sociology professor at Washington University in St. Louis who researches pay determination, told Reuters.

"Google has paid these workers at 100 per cent of their prior wage, by definition. So it's not like they can't afford to pay their workers who choose to work remotely the same that they are used to receiving," he added.

Reuters found that an employee in Google’s New York office who chose to move an hour by train away to Stamford, Connecticut, would be paid 15 per cent less if he chose to work remotely.

A San Francisco employee living near Lake Tahoe would lose 25 per cent, according to the calculator.

On the other hand, an employee at either headquarters in San Francisco or New York who teleworked from their home in these metropolises would be paid the same salary as their colleagues who physically go to the office.

"Our compensation packages have always been determined by location, and we always pay at the top of the local market based on where an employee works from," a Google spokesperson told the news agency.

Employees work in pods at the Google office in Sydney, Australia.


A new trend across Silicon Valley?


After the pandemic was officially declared, Google worked on a number of ideas to adapt to lockdown and remote working.

"At Google, we’ve been an advocate of flexible working for our employees for some time and there are a number of practices we’ve put in place to establish a successful flexible working approach across our business that encompasses all employees," the firm claimed back in May 2020.

"We worked with Timewise, a leading flexible working consultancy, to shape our approach and policies".

The company recently estimated that 20 per cent of its 140,000 employees worldwide will opt for full-time teleworking and as many again will request their transfer to another office.

Yet, this new situation could mean that many employees tempted by teleworking will think twice about it.

According to Reuters, some Google employees who had considered teleworking by moving away from cities have already given up on their plan.

Google is not the only company to implement such a policy of wage differentiation, Reuters reported.

Facebook, Linkedin, and Twitter would like to do the same but without providing an online calculator.

Recently, Morgan Stanley CEO, James Gorman, also expressed his wish to see employees come back to the office or face wage cuts.

On the other hand, smaller tech companies such as Reddit or Zillow ZG have decided not to adjust their remote employees’ pay.

Newsletter

Related Articles

0:00
0:00
Close
Asian Energy Security Tested as Strait of Hormuz Disruption Threatens Oil Supplies
Iran Sets Three Conditions for Ending Regional War as Diplomatic Efforts Intensify
Tesla Secures Approval to Supply Electricity Directly to Homes Across Britain
Prince William Delivers Tribute to Australia’s Naval Alliance Amid Renewed Royal Spotlight on the Country
UK Foreign Secretary Travels to Saudi Arabia to Reinforce Support for Regional Allies
Putin’s ‘Hidden Hand’ May Be Assisting Iran in Conflict With Trump, UK Defence Secretary Warns
UK Sets April Deadline for Tech Platforms to Strengthen Online Protections for Children
Elon Musk Moves Into Britain’s Energy Market as Tesla Wins Licence to Supply Power
UK Watchdog Warns Fuel Retailers Against Profiteering Amid Iran War Price Surge
Report Claims Iran Used UK Charity Network to Expand Influence
United States and United Kingdom Establish Joint Standards for Counter-Drone Technology
Iran May Be Laying Naval Mines in Strait of Hormuz, UK Warns Amid Escalating Gulf Tensions
US Deploys Bunker-Buster Bombs to UK Airbase as Iran Conflict Intensifies
British Troops in Iraq Intercept Iranian Drones Targeting Coalition Base
Release of Mandelson Files Raises Tensions as UK Seeks Stable Relations With Donald Trump
UK Documents Reveal Starmer Was Warned About Mandelson’s Epstein Links Before Ambassador Appointment
Nearly Five Hundred UK Mortgage Deals Withdrawn in Two Days as Market Volatility Forces Lenders to Reprice
Three Cargo Ships Hit Near Iran as Attacks Spread to Strategic Strait of Hormuz
Why British Police Repeatedly Declined to Investigate Jeffrey Epstein’s UK Links
UK Parliament Ends Hereditary Seats in House of Lords, Closing Chapter on Centuries of Aristocratic Lawmaking
EU and UK Urge Israel to Act Against Rising West Bank Settler Violence Amid Regional Tensions
US Senator John Kennedy Says Keir Starmer Should Not Be Trusted for Military Advice Amid Iran War Debate
UK High Court Rejects Attempt to Revive Terrorism Charge Against Kneecap Rapper
Revolut Secures Full UK Banking Licence After Multi-Year Regulatory Wait
Kentucky’s Bench Boost Powers Wildcats Past LSU in SEC Tournament Opener
British Couple Die After Being Pulled From Water at Australian Beach During Family Visit
Global Energy Agency Announces Record Release of 400 Million Barrels to Stabilize Oil Markets Amid Hormuz Disruption
British Airways Suspends UK Repatriation Flights as Middle East Travel Disruption Deepens
US Forces Prepare Ordnance at RAF Fairford as Strategic Bombers Deploy for Middle East Operations
Nigel Farage Faces Criticism After Saying Britain Should Stay Out of Iran War
Landmark UK Trial Begins Over Sony’s PlayStation Store Pricing
UK High Court Rejects Bid to Challenge Britain’s Chagos Islands Agreement With Mauritius
Finnish Duo Triumphs in England’s Annual Wife-Carrying Race, Winning a Barrel of Ale
How U.S. and UK National Security Strategies Are Reshaping the Global Business Landscape
Green Party Gains Momentum as Labour Shifts Toward the Political Centre
Royal Navy Destroyer HMS Dragon Sets Sail for Eastern Mediterranean as Regional Tensions Rise
UK Homebuilder Persimmon Warns Iran Conflict Could Dent Property Buyer Confidence
Roman Abramovich Signals Legal Fight if UK Seeks to Seize Chelsea Sale Funds
UK Ready to Back Emergency Oil Reserve Release as Middle East Conflict Pushes Prices Higher
Study of 40,000 Articles Sparks Debate Over Alleged Anti-Muslim Bias in UK Media
US and UK Army Chiefs Strengthen Cooperation on the Future of Armored Warfare
Britain’s Search for the Next ARM Intensifies as Startups and Investors Target the Semiconductor Frontier
Three US Strategic Bombers Arrive at RAF Fairford as Iran Conflict Intensifies
Cancer Death Rates in the UK Fall to the Lowest Level on Record
UK Government Bond Yields Retreat Slightly After Sharp Spike Triggered by Middle East Conflict
UK Chancellor Warns Middle East War Could Push Inflation Higher
UK Prime Minister Warns Iran Conflict Could Drive Up Prices and Threaten Economic Stability
Trump Declines UK Offer to Deploy Aircraft Carriers to Middle East Amid Iran Conflict
Prince Harry and Meghan Markle to Return to Australia After Seven Years for Philanthropic and Business Engagements
UK Government Signals Independence From Washington as Cooper Says Britain Does Not Agree With Trump on Every Issue
×