The dark side of techie paradise

Tech start-ups are supposedly a paradise for “talent”, with their “nap pods”, Cordon Bleu chefs and yoga classes. But not everyone benefits from the “pay-and-perks arms race” under way in Silicon Valley. Indeed, last year a survey of 5,000 tech workers found that many feel “alienated, trapped, underappreciated and otherwise discombobulated”: only 19% said they felt happy in their jobs. Lavish perks tend to disguise the fact that the tech economy is “a ruthless meritocracy”. While the most talented workers can command “princes’ ransoms”, the merely good are “expendable”. Attracted by the promise of share options, “they work like dogs” in the hopes of making a fortune when the firm goes public – but tech firms often use multiple classes of shares to ensure that the biggest gains are preserved for “insiders”, while ordinary employees get “common stock” that can easily lose value. And with many so-called “unicorns” – tech outfits valued above $1bn – turning out to be “subprime”, a lot of middle-rankers are facing disappointment. “If there is another tech bust, it will be the employees who will be hurt most.” (Schumpeter,The Economist)

What people forget is that they, like the rest of us, grow old and older. The tech industry is a young man’s world. By the time you are 40 (maybe 35?) you are too old – young whizz kids are more up-to-date and are snapping at your heels. You have other responsibilities, and your energy is less. So what do you do when they “let you go” in the disagreeable American phrase? New jobs get more and more difficult to find, and that figure of age on your CV is a killer. Moral: loyalty in places like Silicon Valley may not be rewarded. Give it ten years and get out. Companies have no longer any loyalty to you.

Epicureanism opposes profit at any cost and dumping employees, often at a time when older employees have the burden of education costs. There are rewards for companies who look after staff with experience and greater wisdom. They don’t at the moment get the point.

One Comment

  1. I had no idea about any of this, thank you for such an enlightening post! I totally agree, it’s wrong to fire loyal employees after years of service. I think flexible labour markets are generally a good thing, but America could do with the kind of job security Europeans enjoy. While this may make the labour force slightly less dynamic, the costs will be more than offset by the gains in happiness and security as a result of a ban on unfair dismissal. Being able to fire someone for whatever reason puts unnecessary stress on people and gives corporations far too much leverage over their employees. This is often how workplace bullying occurs, which particularly affects women and part-time workers.

    I’m also increasingly sympathetic to your view on technology. I understand that because I’m young, I’m used to it. But if you’re older, you may find this new world bewildering. I don’t really understand what it’s like to see the world change so dramatically But when I find out, I may be more inclined to be sceptical of change than I currently am.

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