| Will Walker | Tuesday, November 26, 2019 - 04:48 pm 
Presently when a country experiences a large shortage of workers, all businesses will shed workers at the same rate, regardless of salary level.
This flies in the face of the effects of salary level generally, where workers move to higher paying jobs.
While vast shortages disrupting even the best paying jobs makes sense to a point, that those effects are equal for a Salary Index 400 corporation as they are for a Salary Index 30 corporation stretches plausibility.
I propose that during severe shortages what happens instead is the lowest salary corporation in the nation is impacted to the maximum extent (a new higher maximum if necessary to maintain the desired rate of worker loss), and corporations with higher salary levels are impacted proportionately less such that a corporation with double the salaries of the lowest corporation loses half as much of its workforce.
The maths on this are easy, I'm happy to give you a formula if you'd like. |
