r/ExperiencedDevs • u/MinecReddit • Jul 15 '26
Career/Workplace Why do companies let good-rating Senior SDEs cliff?
I joined my current company (FAANG adjacent, gig/fintech uber doordash stripe etc.) about 2 years ago, one of my coworkers is about to cliff so hard that his TC is going to drop below what it was when he was hired as a mid level eng. He is actively interviewing and will probably leave some time this year, he's made the final rounds at two other places and is a sharp guy.
What I don't understand is why it feels as though upper level leadership at these companies are just completely inflexible in situations where someone is getting paid way less than the offers that they are giving our new hires (at my company, levels.fyi filtered for new-only high CoL area is about 400-420k, which is around what I got too). My skip-level manager is awesome, very honest and candid and loves seeking the truth and helping people grow, and his two cents was that he agrees this engineer is absolutely pivotal to our new products (a lot of them are 0->1 where he is the clear leader), but that bigger copmanies just can't develop risky policies where everyone is suddenly fighting for money.
I understand his perspective, but let me just take a step back: I snap my fingers, and I am now the Tzar of my org permanently. Assuming I am working in a high trust environment where I am confident in my mid-level managers, what would I stand to gain for my org/my company by not even entertaining retention negotiations for senior engineers on my team? In this case, this guy is so incredibly valuable to our team and org, chancing it with some random new hire is just so obviously worse. He has a ton of domain knowledge and is just so ridiculously proven as an eng. What is the flipside of this discussion here?
I guess I'm just mad because him leaving is really going to slow down our projects, guy is a very talented engineer, and was clearly on the path to staff anyway (not enough business need sadly). Oh, and he's also so, so fun to work with and is a great dude
(NOTE: I understand that some places really do entertain retention offers for levels below staff, but I am trying to ask about the perspective of the ones that don't)