Bay Area companies among those that pay the most
SAN JOSE — Several Bay Area tech companies, including search giant Google and cloud software firm VMware, are among those that pay employees the highest wages, according to a Glassdoor.com survey.
Palo Alto-based VMware, which is owned by Dell Technologies; San Francisco-based Splunk; San Jose-based Cadence Design Systems; Mountain View-based Google, an Alphabet unit; Menlo Park-based Facebook; Santa Clara-based Nvidia, Sunnyvale-based Juniper Networks, Mountain View-based LinkedIn, a Microsoft unit; San Francisco-based Salesforce; Mountain View-based Synopsys; and Redwood City-based Informatica were among the highest-paying Bay Area tech companies to make the list of 25.
Other Bay Area tech firms on among the 25 were San Francisco-based Visa, San Francisco-based Twitter and Santa Clara-based Palo Alto Networks.
All told, 15 of the top 25 companies on the Glassdoor list have their headquarters in the Bay Area. Two more on the list, Amazon’s Lab 126, Walmart eCommerce and Microsoft, have major operations in Silicon Valley.
“This report reinforces that high pay continues to be tied to in-demand skills and higher education, which in part, is why we see several companies on this list among the consulting and technology industries,” said Andrew Chamberlain, Glassdoor’s chief economist.
The companies were ranked by median total compensation, which is a combination of base salary, commissions, tips and bonuses.
Using that methodology, the top companies on the list are two management consulting firms, Chicago-based A.T. Kearney and San Francisco-based Strategy&.
“Salaries are sky-high at consulting companies due to barriers of entry in this field, which refers to employers wanting top consultants to have personal contacts, reputations and specialized skills and knowledge,” Chamberlain said.
The tech sector was also well-represented, with 21 of the 25 slots.
“In technology, we continue to see unprecedented salaries as the war for talent is still very active, largely due to the ongoing shortage of highly skilled workers needed,” Chamberlain said.
A.T. Kearney, the consulting firm at the top of the list, provided workers with median total compensation of $175,000.
Among Bay Area companies, Strategy& paid $172,000, VMware paid $167,050, Splunk $161,010 and Cadence Design paid $156,702.
Google paid $155,250, Facebook paid $155,000 and Nvidia paid $154,000. Lab 126, the Amazon unit with major operations in Silicon Valley, paid $152,000 in median total compensation, Glassdoor reported.
Several Bay Area companies paid $150,000 in median total compensation, according to Glassdoor: Juniper Networks, LinkedIn and Salesforce.
Cupertino-based Apple didn’t make the list of the top 25, Glassdoor reported.
“Tech companies have to pay a lot because it’s so expensive to live here in the Bay Area,” said Russell Hancock, chief executive officer of San Jose-based Joint Venture Silicon Valley, a private-public partnership. “That is just the reality what companies have to pay.”
The companies that were on the list are also in a hiring mode, according to Glassdoor.
The high pay also is part of the culture of the tech hubs of the Bay Area, Hancock opined.
“Companies want to be generous with their employees,” Hancock said. “There is a culture in Silicon Valley that we should do great work, we should hire the best people and they should be compensated well to do great work.”
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