[HN Gopher] IBM sued for age discrimination by former global sof...
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       IBM sued for age discrimination by former global software director
        
       Author : belter
       Score  : 185 points
       Date   : 2023-05-13 11:19 UTC (11 hours ago)
        
 (HTM) web link (www.theregister.com)
 (TXT) w3m dump (www.theregister.com)
        
       | clnq wrote:
       | Age discrimination is all over tech. But what's the argument for
       | age discrimination after 40? What's the mindset that someone who
       | is _for_ this discrimination would have, no matter how immoral or
       | unethical? Is there a defensible view that supports
       | discrimination at all?
       | 
       | EDIT: Sorry for creating a downvote hole for some of you who
       | respond. There are good responses immediately downvoted. It is
       | important for us to understand the arguments behind these biases
       | to effectively fight them. It is not productive to silence this
       | discussion.
       | 
       | Thank you for those who responded seriously and helped me
       | understand the situation better.
        
         | Dalewyn wrote:
         | Age is an undeniable factor when it comes to learning new
         | things[1], whether any of us like it or not.
         | 
         | Ultimately, the question to you as an employee is whether you
         | can do the work demanded of you. While it would be nice for
         | everyone to be judged on an individual basis, I can understand
         | there needs to be some level of generalization to maintain a
         | certain level of efficiency within an organization.
         | 
         | [1]: https://news.ycombinator.com/item?id=35595846
        
           | belter wrote:
           | You are providing a case of airline pilot training. It's hard
           | to believe a experienced and high quality software engineer
           | with 20 year of experiences, will not learn a new programming
           | language faster and better, than a freshly graduated 22 year
           | old child :-)
        
         | belter wrote:
         | Getting rid of expensive employees.
        
           | rightbyte wrote:
           | No I think it is more due to implied seniority due to age.
           | The older the engineer the less BS he eats from management.
        
           | d0mine wrote:
           | Is it really that value/price becomes worse with age or the
           | companies are just being short-sighted?
        
         | yaseer wrote:
         | I think the way you've phrased your question will invite
         | negative responses.
         | 
         | Perhaps a better way would be "I'd like to understand why age
         | discrimination exists in tech. What motivates companies to do
         | this?"
        
           | xtiansimon wrote:
           | > "I think the way you've phrased your question will invite
           | negative responses."
           | 
           | And?
           | 
           | If you see nuance, and rephrasing the OP can help make your
           | response on point, then please share. Otherwise I find this
           | browbeating and condescending. You're just telling us how you
           | want to hear the argument framed. Geez.
        
             | yaseer wrote:
             | Perhaps the tone and context were not clear.
             | 
             | > And?
             | 
             | A set of negative responses tends to make the quality of
             | Internet discussions deteriorate. I thought there was an
             | interesting discussion to be had, so suggested an
             | alternative phrasing.
        
           | clnq wrote:
           | My earlier words weren't liked and got downvotes fast. But,
           | we need to look at all sides of tough topics to really
           | understand them. This includes the best reasons people give
           | for discrimination, even if they go against what's moral,
           | ethical, or legal. We can only substantially argue against
           | these views if we first understand them.
           | 
           | Even though age discrimination is very often illegal and
           | probably always (maybe depends on the culture) unjust, there
           | might be some sense to it from a managers point of view. For
           | example, people with more experience often demand higher
           | salaries. This is something we can't overlook when we're
           | trying to reason about the ageism bias. And we can't really
           | combat it substantially and directly if we ignore the
           | strongest arguments for it -- steel-manning is a very
           | powerful tool in changing minds.
           | 
           | I probably could have phrased it better.
        
         | serial_dev wrote:
         | One argument (though, very cynical) for getting rid of 40+ yo
         | people in tech: they cannot be so easily manipulated into
         | blindly following company directives, and they are more likely
         | to actually push back against bs rules/guidelines, whereas
         | young people either don't know better, or they are more
         | agreeable.
        
         | christophilus wrote:
         | Yeah. I'm over 40, and I expect a high salary due to my
         | productivity and experience. You could replace me with 3 folks
         | from around the world, and it's arguably a reasonable business
         | decision.
        
           | skylanh wrote:
           | We're dealing with extensive loss of localized institutional
           | knowledge in my workplace. The specific area I work in has
           | one technically astute resource with experience dating back
           | further than six years. There are other resources with that
           | time-frame--but their knowledge is limited.
           | 
           | This has been compounding the normal, expected resource
           | churn.
           | 
           | It's a qualitative stance, but a Big Brain with 10 years in
           | an established area is worth more than three "fast brains"
           | with 1 year of local, institutional knowledge.
           | 
           | I might take the "fast brains" (especially if they have
           | limited commitments) if we were in a different situation such
           | as starting up.
        
             | eitally wrote:
             | I find it amusing when I hear people make statements
             | assessing short durations like 6 years to be significant.
             | Six years in many industries is enough to reach mid-tier
             | level expertise, but it is absolutely not mastery level.
             | I'm making this comment from the perspective of someone who
             | cultivate an engineering management role in high-tech
             | manufacturing over the course of 15 years (where I was
             | reporting direct to C-level when I left, with a team of
             | close to 150 around the world) before joining a FAANG,
             | where I had the rug pulled out from under me (new
             | leadership killed my team in the first six months and I had
             | to find a new role or be on the street, and the new role
             | was unlike anything I'd ever done before). I spent 8 years
             | starting a new career before being summarily dumped in the
             | RIFs of this winter/spring, and have subsequently begun a
             | third career at a different company.
             | 
             | The experience builds, and my experience is that the sweet
             | spot is frequently hiring people in their 40s who have ~20
             | years of practical experience in the domain or a related
             | area, and who know how to avoid a lot of the pitfalls
             | fresher employees might encounter while also _creating_ a
             | lot of shortcuts by virtue of their experience  & networks.
             | It was interesting: over the course of my career, the teams
             | I was managing had ever-increasing average ages, ranging
             | from mid-20s when I was leading my first team of developers
             | to late-40s over the last few years in big tech. Different
             | functions (business vs technical), but while I appreciate
             | the enthusiasm so many new grads demonstrate, the self-
             | sufficiency + competency of mid-career folks is worth its
             | weight in gold.
        
           | cmrdporcupine wrote:
           | It's maybe only a "good" business decision if you have very
           | short-termist thinking.
        
             | Mistletoe wrote:
             | Unfortunately most companies, shareholders, and execs care
             | about the stock performance the next quarter and that's
             | about it.
             | 
             | A neat compensation package for a CEO would be "What will
             | the stock price be in a decade?" But you could never get a
             | CEO to commit for a decade because they know like we all do
             | that job hopping is how you make more money and get raises.
             | The system is messed up all the way down.
             | 
             | https://hbr.org/2019/11/the-ceo-life-cycle
             | 
             | > For instance, when we asked CEOs about the ideal tenure
             | for the role, many mentioned the widely touted seven-year
             | average. When we surveyed directors, they said that CEOs
             | generally should leave the job after 9.5 years--a point at
             | which, many believe, performance typically plateaus. Why
             | these expectations? No one has a compelling or evidence-
             | based answer. They are simply conventional wisdom.
             | 
             | The graph in that linked article is particularly telling as
             | it shows performance increases all come after ten years.
        
               | dangwhy wrote:
               | Do CEO's really job hop though? I am looking at top tech
               | companies and they seem to have been there for a long
               | time and none of them are job hoppers.
        
               | clnq wrote:
               | Yes in large tech outside of FAANG. But that is only half
               | the story. A lot of decision-making often falls on vice
               | presidents, presidents, or heads assigned to subsidiaries
               | or projects. They job hop a lot, more often than every 7
               | years in my experience.
               | 
               | Phil Harrison is a known FAANG example, but in smaller
               | companies, there are tons of Harrisons. Stephen Elop is a
               | FAANG-adjacent example, having been the CEO of Nokia in
               | its downfall and now job-hopping quite a lot.
               | 
               | As a completely unrelated side-note, I love this quote
               | from Elop's Wikipedia page:
               | 
               | > In his first speech at a Telstra conference in
               | September 2016, Elop cited Nokia as an example of a
               | "great" company that can self-assess and "transform" when
               | necessary, referencing its success as a networks
               | equipment supplier. He said that Telstra was also needing
               | a necessary transformation to become more of a technology
               | company. Elop was dismissed from Telstra as part of its
               | restructuring on 31 July 2018.
        
             | clnq wrote:
             | Yes, the institutional knowledge lost would cost more than
             | the difference of that salary a year in most cases. But
             | companies definitely do not value institutional knowledge
             | as much as black-on-white figures on their financial
             | statements.
             | 
             | Short-termist, but a lot of business decisions are very
             | short-termist, so I think the argument is good. Someone
             | might think that.
        
         | cmrdporcupine wrote:
         | I honestly think it's mostly a set of connected biases along
         | the lines of:
         | 
         | a) "Progressivism", a bias towards thinking of "good tech" as
         | the "novel/new tech". Or believing that success rides on quick
         | adoption of new things, along with
         | 
         | b) A bias that believes that that the older you are the less
         | likely that you have engaged with new novel tech.
         | 
         | c) A bias that believes that if you're still "just" an engineer
         | and not management, there must be something wrong with you.
         | Younger staff will accept "grey hairs" at the executive level
         | but sometimes be bewildered by it at the individual contributor
         | level.
         | 
         | d) A bias against more expensive talent generally.
         | 
         | e) A bias (among some) against talent that cannot be easily
         | manipulated
         | 
         | f) A bias (among some) against people with
         | children/families/mortgages/elderly parents, etc. that might
         | "slow things down." (This one is maybe the trickiest because it
         | can express itself in ways that are not at all intended to be
         | malicious but end up with bad effects. E.g. organizing team
         | offsites and gatherings which are hard for parents or committed
         | spouses to engage with because of their obligations. And the
         | older we get the more likely we are to have such obligations)
         | 
         | Most people who hold these biases hold them unconsciously. I
         | personally look (or sometimes act) younger than I am, and get
         | "surprise" from people when I tell them my age. Likely because
         | they have bias about what that age should/could imply.
         | 
         | Age bias is mostly "correctable" in most decent human beings.
         | Where it gets malicious is when it gets in the hands of
         | management who have a cost focus.
        
           | rightbyte wrote:
           | > a) "Progressivism", a bias towards thinking of "good tech"
           | as the "novel/new tech". Or believing that success rides on
           | quick adoption of new things, along with
           | 
           | So much this. However, "progressivism" is hopefully getting
           | out of fashions as things have got worse due to
           | cheapification the last 20 years, I feel.
        
           | clnq wrote:
           | Thank you for taking my question seriously. These are all
           | illuminating points.
           | 
           | To continue on point e... I also think that older people tend
           | to be more difficult to manipulate with long work hours,
           | unreasonable deadlines, or incompetent management. With
           | enough experience, we learn to recognise these things and we
           | set some boundaries. Someone might dislike that and say that
           | the more experienced people don't fit into the corporate
           | hustle culture, without examining the reasons in-depth.
        
             | eitally wrote:
             | This is the sort of statement that isn't wrong, but which
             | illustrates the echo chamber that is HN (or tech in
             | general). There are plenty of industries and even more
             | companies where "hustle culture" just isn't a thing, and
             | management don't devolve into a default of employee abuse.
             | 
             | Also, besides growing a spine and looking out for #1
             | increasingly as they gain age & experience, most people
             | also start realizing that their time is finite and they
             | need to actively prioritize where to spend it. For many,
             | this realization comes with relationships & children,
             | something most white collar professionals don't experience
             | until they've been working 7-10 years.
        
         | op00to wrote:
         | Old people are more expensive. That's it.
        
           | wongarsu wrote:
           | They will also push back on your plan to replace the existing
           | system with a microservice data-lake using event sourcing
           | with Kafka, using a service-mesh on a Kubernetes cluster on
           | the distributed cloud. Either because they haven't kept up
           | with the latest tech, or because they have the experience to
           | tell beforehand that your vanity project may sound cooler but
           | increases complexity for no real technical advantage.
        
           | tyingq wrote:
           | They are also less likely to cave into pressure to work long
           | hours. Or to buy into silly kool-aid movements.
        
           | gedy wrote:
           | [flagged]
        
         | HPsquared wrote:
         | Neuroplasticity is supposedly on a constant decline after
         | childhood. Also processing speed, working memory, long-term
         | memory. Offset by increased experience, of course.
        
           | nibbleshifter wrote:
           | That can be somewhat fixed.
           | 
           | Not if your employer does drug tests though...
        
         | belter wrote:
         | The above post should not be down voted. Although as others
         | mentioned, it could have been phrased differently, it was clear
         | the post was about understanding the reasons behind age
         | discrimination, not about endorsing or justifying it.
        
       | walterbell wrote:
       | 1000+ comments on age discrimination in tech,
       | https://hn.algolia.com/?dateRange=all&page=0&prefix=true&que...
        
       | ncphil wrote:
       | Think about the level of executive stupid you're dealing with
       | when a spinoff continues using the same literal playbook -- with
       | identical terminology and resources (linking to former parent
       | company servers) -- in executing a painfully obvious employment
       | discrimination strategy. Well, either stupid or lazy. Either way,
       | it's a situation that screams out for punitive damages. Here's
       | hoping these cases send at least some of IBM's top management to
       | an early retirement themselves.
       | 
       | Going to say it again: feudal power structures are no way to
       | organize 21st century business. Time for people (_especially_
       | young people) to consider alternative arrangements like worker
       | co-ops. If you're not an owner with a real decision-making vote,
       | you're on the menu for these guys.
        
         | [deleted]
        
         | ravenstine wrote:
         | > Time for people (_especially_ young people) to consider
         | alternative arrangements like worker co-ops.
         | 
         | Are there any known businesses that have engineering teams and
         | work this way? I'm just curious. It's not something I've really
         | thought about before.
        
           | jlokier wrote:
           | Igalia comes to mind. They do quite a lot of work on all the
           | big three browser engines, Blink, WebKit and Gecko, among
           | other things.
           | 
           | https://www.igalia.com/
           | https://en.m.wikipedia.org/wiki/Igalia
        
         | [deleted]
        
         | bell-cot wrote:
         | > ...feudal power structures are no way to organize 21st
         | century business.
         | 
         | Sadly - if you are organizing humans, at non-trivial scales,
         | over time - the alternatives all have profound problems. Feudal
         | power structures (whether or not a social anthropologist or
         | medieval historian would officially certify them as "feudal")
         | are so common because human nature very much favors such
         | arrangements.
        
           | eternalban wrote:
           | This empirical data was gathered in context of poor
           | connectivity in society. So the 'default' that you propose, I
           | assert, is a default for a specific societal regime.
           | 
           | As an abstract model, I propose _hierarchies of patronage &
           | loyalties, capital & force, and service_ as the fundamental
           | organizing principle of 'feudal' systems.
           | 
           | We assume that there is -- it's an implicit in your stated
           | view -- a natural system level emergent order that defaults
           | to 'feudalism'. Looked at another way, we could ask the
           | question as to why the substantial majority of people put up
           | with crap all these centuries and in all these different
           | places?
           | 
           | I think PL-CF-S order optimizes for (information/)control in
           | the 'super-organism' for long term viability. (This is simply
           | focusing on society as a system, disregarding the subjective
           | experience of individual members.)
           | 
           | Why was hierarchical 'control' (think command and control) so
           | fundamentally important to human societies (to date)? Per
           | above sketch, I assert it has to do with _marshalling of
           | resources in a 'poor' energy, tech and i/o environments_.
           | 
           | You need a hierarchy if any significant action requires high
           | level control of a huge mass of people. You need a huge mass
           | of people if your making and killing tech requires 'hordes'
           | of peasants, workers, and soldiers.
           | 
           | You do -not- need a strict (and non-delegating) control
           | hierarchy if significant societal action requires minimal
           | human resources (the 'S' in PL-CF-S model), and operates in
           | an environment of 'abundant' energy and amplifying
           | technology.
           | 
           | Two trends are now opposing each other in that model. Certain
           | technologies seem to require centralization (thus the 'old'
           | model will apply) and other tech is getting in the hand of
           | the plebes (aka the people history ignores or forgets that is
           | almost _all_ of us). Now the  'old' order is resisting
           | getting tech to the 'edge' of society. It is deemed
           | "dangerous" and it fairly is that.
           | 
           | IFF we assume that the hierarchical model is in fact a relic
           | of a capability poor past of humanity, and that a new sort of
           | 'human history' should begin, then we need to address the
           | issue of technologies that tend to centralization. Possibly a
           | combination of socialist ownership of those sectors and
           | market enterprise at the 'distributed edge' could work.
        
           | the_only_law wrote:
           | > Sadly - if you are organizing humans, at non-trivial
           | scales, over time - the alternatives all have profound
           | problems.
           | 
           | How come our societies haven't reverted to a feudal structure
           | then. I'm sure most countries are organizing people at a much
           | larger scale than most businesses
        
             | pjmlp wrote:
             | Only a few countries around the world have proper
             | democracies at all levels, same applies to most companies.
             | 
             | Boss says jump, employee asks how high.
        
             | WalterBright wrote:
             | I suspect it's because democracy is one local maxima and
             | feudalism is another local maxima. There's no good path
             | from one to the other.
        
         | wesapien wrote:
         | When I read people on reddit say stupid shit like eat the rich,
         | I always get downvoted for going against those coommie/anti-
         | work types. But sometimes like now maybe they are right even if
         | I know its wrong.
        
         | tasubotadas wrote:
         | How many coops have you started?
        
         | wahnfrieden wrote:
         | Any good way for worker coop interested (not necessarily job
         | seeking but even aspirationally aligned) HNers to
         | coordinate/share resources? The topic often gets shut down here
         | as controversial topics that smell like Marxist Leninist
         | communism even when they are anything but get flagged out here
         | in my experience
        
         | jasode wrote:
         | _> Time for people (_especially_ young people) to consider
         | alternative arrangements like worker co-ops._
         | 
         | The issue isn't philosophy. The roadblocks to worker-owned co-
         | ops taking off are _money and capital_.
         | 
         | Picture a Venn Diagram of 2 circles:
         | 
         | (1) the circle of founders with some money (or don't have much
         | money themselves but have the ability to get funds from
         | investors) -- _are not interested in forming worker co-ops_.
         | The founders want to _own the business_ and _hire employees_ to
         | pay them wages.
         | 
         | (2) the circle of workers who want to share the ownership in a
         | co-op _don 't have the money_ to fund the business.
         | 
         | Those 2 circles do not intersect for the most part. There isn't
         | any alignment between the founders-with-money who want
         | employees -- and -- the workers-without-money who want co-ops.
         | 
         | This is why you don't see those with some money and/or access
         | to money (e.g. ex-Google ex-Facebook employees creating new
         | startups) creating co-ops.
         | 
         | Likewise, examples of disappointed workers (e.g. tech layoffs,
         | etc) who wished for a different corporate structure that gave
         | them more ownership, are also not forming co-ops because they
         | don't have the money. They're just trying to land the next job
         | to pay the upcoming bills.
         | 
         | That's why the repeated advice and lectures to workers about
         | "form co-ops" don't seem to make any progress. The reality is
         | the workers just don't have the money.
        
           | jraby3 wrote:
           | It just seems like a huge risk. Basically it seems like if
           | you lose, you lose, if you win, everyone shares in your
           | winnings.
           | 
           | Stock options that allow the founder to keep control and to
           | receive more significant profit for the extraordinary risk
           | they take makes much more sense imo.
        
             | tareqak wrote:
             | You lose when everyone's contributions (including your own
             | contribution) results in a net loss.
             | 
             | Sometimes, a lot of the time hopefully, your loss would be
             | negated by the combined efforts of everyone else. It would
             | be the situations where enough people lose to result in a
             | net loss that would require everyone to steer away from.
        
             | WalterBright wrote:
             | > Basically it seems like if you lose, you lose, if you
             | win, everyone shares in your winnings.
             | 
             | More or less why communism is unproductive, because it
             | takes away the incentive for individual achievement.
        
               | aperrien wrote:
               | What if people who come up with particularly effective
               | solutions are awarded a bonus? That could put back some
               | of the incentive.
        
               | lotsofpulp wrote:
               | Who decides the who/how/when of the bonus recipient(s)?
               | You are back to square 1.
        
             | jt2190 wrote:
             | Exactly this. Startup employees are essentially compensated
             | like this:
             | 
             | * Base salary that is _very_ low risk because they have a
             | "liquidity event" every pay period, and there are numerous
             | legal protections that ensure that they get paid.
             | 
             | * Incentive Stock Options, which are very high risk because
             | they backed by a company that might not succeed, might
             | never experience a "liquidity event", are not nearly as
             | liquid, and have far fewer legal protections.
             | 
             | It seems that more than a few people have not considered
             | that ISOs will be a part of their overall investment
             | portfolio, and they should think about how much of their
             | portfolio they want invested in high-risk assets.
        
               | maerF0x0 wrote:
               | Making it illegal to have the company block/veto the sale
               | of shares would definitely improve the picture. IMO it's
               | a break in property law to have a contract that says "You
               | own the property and have all it's liabilities (like
               | taxes) but you do not have the right to sell that
               | property to a willing, SEC qualified, and able buyer" ...
        
               | NavinF wrote:
               | > company block/veto the sale of shares
               | 
               | Example of this happening IRL? I've seen right of first
               | refusal and tag along rights that make it harder to find
               | a buyer, but nothing that actually prevents sale of
               | vested shares.
        
               | maerF0x0 wrote:
               | As I understood the few contracts I've had they barred me
               | from selling to anyone unless the company approved. That
               | in practice meant I had no liquidity unless IPO or got to
               | sell to investors in the next fund raise round (very very
               | rare).
               | 
               | And think about it a bit further, who's going to go
               | through any due diligence if their research and offer is
               | going to first hit the board/company and potentially
               | completely vanish for them? I certainly wouldnt invest
               | time/resources to see if I wanted to buy shares from an
               | employee to potentially find out the company decided to
               | buyback those shares instead. This property would
               | massively lower the price I'd be willing to offer. (as a
               | compensation for my risk taken)
        
           | indigochill wrote:
           | As I understand, you don't really need money to make a co-op,
           | but what you need is cash flow. The most plausible route I've
           | heard is freelancers forming a co-op where they pitch in some
           | portion of what they make to a shared pot to even out the
           | lean time in any particular freelancer's stream of gigs, as
           | well as potentially sharing work if a client asks for more
           | than an individual can do.
           | 
           | Of course, that requires the participants know and trust each
           | other, but it seems a plausible way for individuals without a
           | bunch of money to start a co-op.
        
             | jasode wrote:
             | _> As I understand, you don't really need money to make a
             | co-op, [...] The most plausible route I've heard is
             | freelancers forming a co-op where they pitch in some
             | portion of what they make to a shared pot [...] , but it
             | seems a plausible way for individuals without a bunch of
             | money to start a co-op. _
             | 
             | Yes, your realistic scenario of a co-operative is something
             | I already outlined in a previous comment of "consultants
             | co-op office" :
             | https://news.ycombinator.com/item?id=14647223
             | 
             | But that type of freelance co-op isn't really what most
             | people are thinking about when the discussion follows the
             | template of _" Big company <X> did something bad so why
             | don't workers form a co-op <Y> instead of being screwed
             | over by <X>?!?"_
             | 
             | In this thread, the topic is "IBM" laying people who are
             | "too old". In response, some observers think _" workers
             | should form co-ops"_ to avoid being screwed over. In other
             | words, the hypothetical co-op version of an "IBM" wouldn't
             | lay off old workers. The "freelancers co-op" doesn't apply
             | to this story of an IBM middle manager (MaryKathryn Doheny)
             | being laid off.
             | 
             | The issue is that companies like IBM, or Google, or Tesla,
             | etc are by their very nature -- _capital intensive_ -- so
             | there won 't be co-op alternatives for those.
             | 
             | Still the same underlying economic factors: the car workers
             | don't have the money to pool together and form a worker-
             | owned car factory -- and the founders/investors who are
             | motivated to start a new car company are not interested in
             | sharing equity with a 100% worker-owned structure.
             | 
             | That's why the employees who don't like Tesla's ownership
             | structure can't quit and go work at a worker-owned co-op
             | electric vehicle manufacturer.
        
           | [deleted]
        
           | WalterBright wrote:
           | Unions have the money.
        
           | robocat wrote:
           | People start businesses because they want to make money. Co-
           | ops and charities are usually set up for other purposes, and
           | have other constraints.
           | 
           | People also start businesses because that is the simpler
           | default that you will be pushed towards: by your clients,
           | your accountant, your suppliers, your lawyers, your mother,
           | your bank, and most everybody else.
           | 
           | > The roadblocks to worker-owned co-ops taking off are money
           | and capital.
           | 
           | That cliche just doesn't apply much to many professionals,
           | because the biggest expense is salaries. Watch a new business
           | form, and professionals can often afford to self-finance
           | during the initial period. A few professions need to rent,
           | but say lawyers and some doctors have cheap chambers and
           | clinics to service the market for individuals starting out.
           | 
           | And lawyers and accountants do form a type of co-op: they
           | call them partnerships.
           | 
           | There are a huge number of self-funded software startups
           | because so long as founders can pay their bills, they can
           | afford their salary. Most self-funding software startups
           | could just as easily be formed as co-ops, yet they are not.
           | The reason is not because they are forced to become a
           | business because they need capital. Note I am talking about
           | self-funded startups - funded startups are obviously
           | different.
           | 
           | Finally, co-ops are fundamentally unfair to the founders.
           | Starting a business costs a lot more than money, and
           | businesses are how we try to fairly repay that.
           | 
           | And the #1 reason why co-ops don't exist? Because people have
           | seen them and they don't want to join them.
        
             | robocat wrote:
             | > Finally, co-ops are fundamentally unfair to the founders.
             | Starting a business costs a lot more than money, and
             | businesses are how we try to fairly repay that.
             | 
             | Here's a fantastic article about this point:
             | https://www.startups.com/library/expert-advice/emotional-
             | cos...
             | 
             | Also a quote from https://michaelafreemanmd.com/Research_fi
             | les/Are%20Entrepren... about startup founders:
             | Who in their right mind would choose to be an entrepreneur?
             | The barriers to success are virtually unlimited and most
             | startups fail as a result. Entrepreneurs have lower initial
             | earnings, lower earnings growth, lower long-term earnings
             | [32], greater work stress, and more psychosomatic health
             | problems than employees [33]. Why would anyone voluntarily
             | accept the longer work hours, fewer weekends and holidays,
             | more responsibility, chronic uncertainty, greater personal
             | risk and struggle, and greater investment of emotional and
             | physical resources required to be an entrepreneur instead
             | of the security and long-term rewards of having a
             | career[34]?
             | 
             | Although some of it is selection bias versus cause: the
             | paper seems to suggest many founders are literally mad
             | before they start a business.
        
             | jasode wrote:
             | _> That cliche just doesn't apply much to many
             | professionals, because the biggest expense is salaries._
             | 
             | The context of my reply was this thread's article: IBM
             | laying off a middle-manager employee like MaryKathryn
             | Doheny.
             | 
             | There isn't a co-op of "middle managers" charging an hourly
             | rate. I previously explained that a "freelancers
             | consultants co-op" doesn't apply to her situation:
             | https://news.ycombinator.com/item?id=35930165
             | 
             |  _> And lawyers and accountants do form a type of co-op:
             | they call them partnerships._
             | 
             | No, the professional partnerships like law firms are not _"
             | 100% workers' owned co-ops"_ that people are thinking of as
             | I've explained before:
             | https://news.ycombinator.com/item?id=31459215
             | 
             |  _> Most self-funding software startups could just as
             | easily be formed as co-ops, yet they are not. The reason is
             | not because they are forced to become a business because
             | they need capital. [...] And the #1 reason why co-ops don't
             | exist? Because people have seen them and they don't want to
             | join them._
             | 
             | Your chain of reasons is overcomplicating things and
             | doesn't answer the mystery for the _workers who already
             | know what a co-op is and want one_. On the other hand, I 'm
             | explaining that the workers who already bought into the
             | concept of co-ops -- _are not the ones creating new
             | companies as co-ops_. Why can 't those pro-coop workers _"
             | Be The Change They Want To See"_ , as the proverb advises
             | and create those co-ops?!? Because they have no money.
        
               | robocat wrote:
               | > Because they have no money.
               | 
               | My point is that money is not the reason co-ops are not
               | created - it is just the cliched reason.
               | 
               | Pick an industry where money is not the issue, such as
               | self-funded software startups, and co-ops don't usually
               | form. QED: needing money is not the reason. There must be
               | other dominating reasons why co-ops are not formed - I
               | have suggested what could be the reasons but I don't know
               | I have hit the central reasons.
               | 
               | Even with capital, you could structure a business to have
               | co-op like features through share-classes or loans or
               | structured contracts, i.e. even if you need money you
               | could still form an equivalent of a co-op. That rarely
               | happens. QED: needing money is not the reason.
               | 
               | > law firms are not "100% workers' owned co-ops
               | 
               | Obviously. My usage of "type of" was too subtle? But also
               | co-ops are not '100% workers' as per
               | https://news.ycombinator.com/item?id=31460457 simply
               | because co-ops can employ people that are not members,
               | directly, or indirectly.
               | 
               | Finally, look at historical large co-ops and large
               | societies: again and again we see members sell-out and
               | the organisation become a business (at least that is my
               | experience in New Zealand). They have enough capital, so
               | the reason for deciding against a membership ownership
               | structure isn't because they lack capital. QED: needing
               | money is not the reason.
               | 
               | It feels like deja vu making such an obvious argument:
               | why do you cling so tightly to your beliefs about
               | capital?
               | 
               | Perhaps our governments cover most of the purpose for a
               | co-op: many countries have 40% to 60% GDP devoted to
               | government (including the USA) and large amounts of that
               | are infrastructure, social welfare, and shared services
               | for every member (citizen).
               | 
               | I want to add one last perhaps-irrelevant quote talking
               | about the VC ecosystem (most severely capitalist):
               | one very real truth: the most talented, value-additive
               | people in any industry are virtually never in it just for
               | the money
               | 
               | - https://siliconhillslawyer.com/2018/11/09/dont-be-an-
               | asshole...
        
               | jasode wrote:
               | _> Pick an industry where money is not the issue, such as
               | self-funded software startups, and co-ops don't form. _
               | 
               | Because the owner/founder of the self-funded software
               | company doesn't want to _dilute their ownership with
               | workers_. Owning 100% of a self-funded startup and just
               | hire employees with 0% ownership is seen as a bigger
               | financial reward from the owner 's perspective. The
               | employees get a salary and the owners get the excess
               | profits. This thinking of how to split the pie is rooted
               | in _money_.
               | 
               | There may be some minor employee-ownership benefits such
               | as ESOP (employee stock option plan) for retirement plans
               | or ISO (incentive stock options) but the core reasons for
               | co-ops not being popular is still based on money. Co-ops
               | are not just arbitrary administrative slicing of a
               | corporation; it is about _dividing the economic pie a
               | different way that benefits some at the expense of
               | others_. The founders of new companies must be willing to
               | _give up significant and meaningful ownership percentage_
               | to potential employees who have no leverage to fulfill
               | the vision of a workers-owned co-op. Most founders won 't
               | do it because of money.
               | 
               | A bunch of lawyers and farmers forming "professional co-
               | ops" are not relevant to this discussion that got
               | triggered by an IBM middle-manager getting laid off
               | because she wasn't a part-owner of a co-op.
        
               | robocat wrote:
               | I am arguing that the need for capital is not the primary
               | reason co-ops don't form.
               | 
               | You are talking about something else (I am not actually
               | sure what you are trying to say - you appear to be
               | agreeing with me).
               | 
               | I also gave you two other independent reasons (see QEDs)
               | to fortify my primary argument: I did not give you a
               | three legged chair where you could knock one leg out.
        
           | maerF0x0 wrote:
           | Why cant the workers pool their available capital, and if
           | they're sufficiently productive why cant they do some to
           | generate more?
           | 
           | Tech workers are considered to be highly paid, so if anyone
           | could accumulate capital it's them.
        
             | jasode wrote:
             | _> Why cant the workers pool their available capital, [...]
             | Tech workers are considered to be highly paid,_
             | 
             | The highly-paid workers _can_ pool capital... if we 're
             | speaking in _hypotheticals_. The hypothetical tech workers
             | can hypothetically pool their capital together to form a
             | 100% worker-owned co-operative.
             | 
             | On the other hand, my comments are explaining what _real_
             | people have been doing in the real world. E.g. ex-Google
             | employee Kevin Systrom didn 't form Instagram as a workers
             | co-op. And ex-Yahoo employees Jan Kuom and Brian Acton also
             | didn't form WhatsApp as a workers co-op. They could have --
             | hypothetically -- but they didn't. (Those startups did have
             | Incentive Stock Options but that's not the workers
             | ownership people are thinking about when speaking of
             | "workers co-op".)
             | 
             | We can see that most ex-employees with access to money do
             | not form co-ops. Why? The ex-employees-now-the-founders see
             | no financial incentive to do so.
             | 
             | The workers who actually _want_ co-ops are not the ones out
             | there creating new companies.
        
               | WalterBright wrote:
               | Harry Hardworker is also not going to want to share his
               | compensation equally with Dan Deadwood.
        
           | wahnfrieden wrote:
           | Tech is most primed for it thanks to open source and other
           | things that make it easier for workers to afford automation
           | and distribution with sometimes up to near 100% margins /
           | zero unit cost. So the most challenging cost becomes free
           | time. Which wage labor does make challenging to find, but
           | that's not as hard as also not being able to afford the means
           | of production at all as in other fields/industries
           | 
           | I'd like to start writing playbooks from experience on how to
           | optimize this approach vs big capital up front style. I'm
           | bootstrapping off b2c+b2b app revenue and spinning up worker
           | coop structures a lil to start scaling up as fast as I can
           | give at least livable share of revenue in addition to equity
           | share for help to grow the businesses. I bought
           | indiedevstack.com to blog and productive this approach but
           | haven't set it up just yet
        
           | goodpoint wrote:
           | You are missing a massive blockers. Coops are often
           | ostracized by private corporations. To the point that coops
           | have to build coop networks to resist.
        
             | nickpp wrote:
             | Interesting. In what way ostracized? Can you give some
             | examples?
        
           | MathMonkeyMan wrote:
           | People with money would like to control what they buy with
           | that money? Interesting...
           | 
           | The issue could be organizational, though. You, Bob, Mary,
           | and I form a company legally. Then we work to get capital for
           | that company, however anybody does that. But we decide
           | beforehand that we are equal part owners, and when we need to
           | find more people to help with the work, we sign them up as
           | part owners instead of as conventional wage employees.
           | 
           | I think that technically, stock options are a version of
           | this, but the disparity in ownership between "founder" and
           | "twentieth employee" might be so stark that the latter is
           | better off taking a wage. Maybe the founders _could_ decide
           | to give everybody a bigger piece of the pie, so to speak,
           | with proportional increases in responsibility to those hired
           | and difficulty in finding people. It would be a different
           | kind of company.
        
             | gruez wrote:
             | >we sign them up as part owners instead of as conventional
             | wage employees.
             | 
             | That's basically how startups work. They pay less, but they
             | presumably make up for it in terms of equity. However, the
             | common advice when it comes to startup options is to value
             | them at $0, which makes sense given how much risk there is.
             | I can't imagine many people taking up on the "you get
             | equity instead of wage" offer. The "options are worthless"
             | problem doesn't exist for large publicly traded companies,
             | but then at that point shares in the company and cash is
             | basically interchangeable. What real difference is there
             | between $300k in meta stock vs $300k in cash? I'd guess
             | most people would still rather take the cash than the
             | equity so they can have some sort of worker co op.
             | 
             | >but the disparity in ownership between "founder" and
             | "twentieth employee" might be so stark that the latter is
             | better off taking a wage. Maybe the founders _could_ decide
             | to give everybody a bigger piece of the pie, so to speak,
             | with proportional increases in responsibility to those
             | hired and difficulty in finding people. It would be a
             | different kind of company.
             | 
             | The problem is that in terms percentage ownership of the
             | company, giving out equity is a zero sum game. You can't
             | give everyone a significant stake (eg. 5%), because that
             | would wipe out the founders/investors.
        
               | Animats wrote:
               | > I can't imagine many people taking up on the "you get
               | equity instead of wage" offer.
               | 
               | Autodesk did that. Everyone who took that deal became
               | rich. This is unusual.
        
               | MathMonkeyMan wrote:
               | > The problem is that in terms percentage ownership of
               | the company, giving out equity is a zero sum game. You
               | can't give everyone a significant stake (eg. 5%), because
               | that would wipe out the founders/investors.
               | 
               | I agree that it's a problem, but only if the founders
               | think that they are due a much bigger share than anybody
               | else. It's only natural to think so. But, if you're doing
               | the cooperative thing, you have to share. I don't really
               | know anything about it, but that's why I described it as
               | a different kind of company.
        
               | gruez wrote:
               | >but that's why I described it as a different kind of
               | company.
               | 
               | You mean... like a partnership? It works well for
               | professional services (eg. lawyers, accountants,
               | consultants) because there isn't much capital required
               | and are limits to scalability, so you giving your
               | partners equal share isn't that much of an issue.
               | However, I can't see it working for tech companies where
               | there's a massive amounts of capital required, and the
               | impact of a single contributor can be enormous. Why would
               | investors invest the "different kind of company", the
               | returns will only be shared among the workers? For the
               | founder that has a $1 billion idea and has the skills to
               | execute on it, why would he create an organization where
               | he gets the same share as a junior developer who care
               | barely make a CRUD app?
        
               | MathMonkeyMan wrote:
               | I agree with you.
               | 
               | > For the founder that has a $1 billion idea and has the
               | skills to execute on it, why would he create an
               | organization where he gets the same share as a junior
               | developer who care barely make a CRUD app?
               | 
               | Presumably he wouldn't hire a developer who can barely
               | make a CRUD app, and his decision to share more than he
               | has to would be on ideological grounds.
        
         | Aunche wrote:
         | Even if you solve the problems that other people mentioned,
         | there is simply very little incentive for a successful co-op to
         | hire extra workers to share their prosperity. For example, say
         | a co-op has ten people and sells 100 widgets at $100 a piece
         | for a $20 profit. However, their widgets are constantly out of
         | stock. If they hire 5 more workers and sell twice as many
         | widgets at the same price assuming economies of scale, now each
         | worker may make $30 of profit. However, it would be much easier
         | and more profitable for them to simply raise their prices to
         | $120, and make $40 of profit.
        
           | bombcar wrote:
           | coops work best in cases where the product is relatively easy
           | for competitors to start their own coops; things like
           | farming, building, etc.
        
           | indigochill wrote:
           | How's that a problem? Co-ops' purpose isn't job creation.
        
             | Aunche wrote:
             | It means that co-ops will usually lose out to traditional
             | companies in economies of scale. If you somehow force all
             | companies to be co-ops, then you simply end up with the
             | same in-group out-group dynamics as capitalism except
             | everyone is worse off.
        
         | jdasdf wrote:
         | Good thing there is nothing stopping you from starting up such
         | companies. If they truly are a better way of organizing
         | businesses, they will soon become the norm.
         | 
         | If they aren't, the only one harmed is you.
        
           | wizzwizz4 wrote:
           | > _If they truly are a better way of organizing businesses,
           | they will soon become the norm._
           | 
           | What do you mean by "better"?
        
         | rajin444 wrote:
         | > feudal power structures are no way to organize 21st century
         | business
         | 
         | The efficiency gains and - more importantly - resiliency gained
         | by having a single leader with a strong vision are enormous and
         | the reason a single ruler is so prominent among humans.
         | Democracy is weak to balkanization and demagoguery.
         | 
         | That being said the real issue here is corrupt elites - which
         | no system can fix. The blast radius from a bad ruler is much
         | worse than bad actors amongst a democratic system, but the
         | potential gains from a single ruler are much higher.
        
           | kevingadd wrote:
           | I think there's a degree of survivorship bias here. Single-
           | leader feudal power structures are common in business because
           | they're the standard model for businesses here, so you have
           | plenty of examples of them being wildly successful. But there
           | are also lots of examples of failed feudally-structured
           | businesses!
           | 
           | Personally I can think of multiple examples of successful co-
           | ops in one of the two industries I work in (games), in part
           | because there is less of a stigma against less-traditional
           | business structures there. Co-ops have successfully built and
           | released wildly successful projects in a repeatable way. I
           | think we simply don't have enough data to decide at scale
           | whether co-ops are inferior to the way we run corporations in
           | the West.
        
           | BazookaMusic wrote:
           | Any citations for this broad statement?
           | 
           | Perhaps it has been easier historically to converge to the
           | single ruler model due to the available knowledge and
           | resources. Is there any research concluding that one ruler
           | systems offer higher gains in modern societies?
        
             | wanttocomment wrote:
             | What kind of citation would satisfy you? A survey of
             | organizational structures and success rates? That doesn't
             | sound conclusive.
        
           | maerF0x0 wrote:
           | and Single leadership is weak to overfitting to a broken
           | model. example: Look how china efficiently built empty
           | cities.
           | 
           | Thousands of CEOs each at the helm of a small business is a
           | good model though because though its centralized command and
           | control at the business level, it's also distributed and
           | experimental in aggregate.
        
         | cmrdporcupine wrote:
         | Worker-coops would be great, but at a minimum I feel like we
         | need, as a profession, a dues-funded professional association
         | which can do things like:
         | 
         | Analyze and fight bad IP assignment, non-compete agreements,
         | etc.
         | 
         | Hire lawyers to write alternative agreements that employees can
         | suggest as a "standard" alternatives during negotiations.
         | 
         | Collect salary data for the profession across all regions and
         | open it in a transparent un-biased way for members to use
         | during negotiation.
         | 
         | Provide legal resources for people involved in mass layoffs.
         | Analyze the severance packages and give advice.
         | 
         | Help connect people in our profession with good employer /
         | position reviews. E.g. glassdoor without the bullshit, and for
         | professional association members only.
         | 
         | And, yeah, staying on topic with this thread: analyze for age
         | etc. discrimination and provide resources to deal with this.
         | 
         | (I would stop short of using the "u" word, and stop short of
         | full collective bargaining and strike powers only because those
         | are _far_ more controversial.)
         | 
         | I lack the ability to organize such a thing, but would _gladly_
         | pay a monthly fee into such an organization.
        
           | selimnairb wrote:
           | But without the ability to withhold labor en masse, workers
           | don't have much leverage. I'm afraid some form of union with
           | collective bargaining and the ability to coordinate strikes
           | are unavoidable to achieve the laudable goals you lay out.
           | Otherwise you are at the mercy of the good graces of
           | employers, which employees may occasionally benefit from.
           | However, when the rubber meets the road, the coercive law of
           | competition will ... coerce employers into favoring their own
           | interests.
        
             | WalterBright wrote:
             | If you are right, everybody would be at minimum wage.
        
             | cmrdporcupine wrote:
             | This is all true except for the fact that our profession
             | has the advantage of scarcity combined with high-demand,
             | and therefore higher intrinsic bargaining power. At least
             | for now.
        
         | easytiger wrote:
         | > Time for people (_especially_ young people) to consider
         | alternative arrangements like worker co-ops.
         | 
         | Go start one. Let us know how you get on
        
       | jossclimb wrote:
       | I don't think its right, but I understand their view of why they
       | perhaps wanted to do it.
       | 
       | I had contact with quite few folks from IBM when I was at Red Hat
       | and met Distinguished Engineers and Fellows and all they seemed
       | to do was make slides and go on meetings. Literally powerpoint
       | would be used for everything, Architecture? do it in powerpoint?
       | Documentation, do it in powerpoint. Do it in powerpoint, and then
       | invite lots of people to a meeting to share your slides, get as
       | many people on the meeting as you can. These would be endless
       | meetings scheduled into eternity, where the goal of the meeting
       | was 'alignment', the same people going around and around not
       | really getting much done, apart from agreeing on some things, and
       | disagreeing on others. I stopped turning up, as it was a waste of
       | time, so it was 'escalated' to my boss 'why is jossclimb' not
       | coming to our alignment meetings?!?'
       | 
       | They were also clueless about how to deal with us. Had folks
       | 'escalate' as we would not agree to something that first required
       | it be accepted upstream in a community. Would have to say to them
       | 'my word is not worth much, we need to get consensus in the
       | community', this was read as us being difficult and not following
       | some VPs wants to the letter. "This is very important to Arvind"
       | 
       | I will get shit for saying this, but half of them could disappear
       | into the ether and you would not notice anything (apart from SWEs
       | having more time outside of perpetual meetings around powerpoint
       | to put their heads down and build some software).
        
         | lisasays wrote:
         | _All they seemed to do was make slides and go on meetings ...
         | They were also clueless about how to deal with us ... Endless
         | meetings scheduled into eternity ... the same people going
         | around and around not really getting much done_
         | 
         | So you're saying that on the basis of the above, you
         | "understand" IBM's point of view that the way to fix this was
         | to start firing the older workers?
         | 
         | Because that's, like, obviously the root cause of this malaise,
         | right?
        
         | dangwhy wrote:
         | so what you are saying is that i need to get really good at
         | powerpoint presentations if i need to get anywhere in my
         | career.
        
           | clnq wrote:
           | That might be an IBM-specific quirk, but to get C-suite roles
           | in large tech companies, one definitely needs to re-
           | specialise from SWE/SDE roles to sales. All deep technical
           | knowledge is not necessary for those roles (it's a nice-to-
           | have).
        
         | mixmastamyk wrote:
         | You've described a company culture problem, not specifically an
         | age one. I saw similar (sans powerpoint) in the past at Disney.
         | It was mostly fixed through a reverse merger/brain-transplant
         | from Pixar.
         | 
         | Basically, management that needs to be replaced not all older
         | workers. This is where Blue Hat could shine.
        
       | blastonico wrote:
       | IBM accused of age discrimination sounds like a home for elderly
       | accused of age discrimination. Absurd.
        
       | cde-v wrote:
       | 64 year old believes they are the exception to aging.
        
         | qgin wrote:
         | Would love to hear this line of thinking continued
        
       | maerF0x0 wrote:
       | People reject claims of ageism in tech for lack of evidence, and
       | when the evidence comes around they no true scotsman the
       | evidence.
       | 
       | Ageism is real in our space. Older people are not slow, out of
       | touch, or overly grumpy (to counter some common cliches).
       | 
       | Young people please wise up because I know you feel
       | exceptionalism, but in truth you will gain a competitive
       | advantage by leveraging the experience of older people (even if
       | you think the experience irrelevant). And one day you will also
       | be old, do unto others etc.
        
         | tasubotadas wrote:
         | Lots of old people refuse to learn. Actually, a lot of
         | experienced employees refuse to learn because they mistake
         | their experience with knowledge.
        
         | trashface wrote:
         | I suspect there will be a lot more attention to ageism in about
         | 10 years when the current of cohort of tech workers starts
         | getting replaced by younger new college grads. Right now the
         | population affected by ageism is just not big enough. It mostly
         | affects Gen-X, which isn't that big and didn't have that much
         | tech presence in the first place, most went into more
         | traditional fields. When it starts to hit the mid-millenials,
         | it will be too big to ignore.
        
         | YetAnotherNick wrote:
         | Wouldn't it solved by market automatically very easily. Let's
         | say older people are paid less or discriminated in some way for
         | the same skill. Then the company which employs them are at
         | financial advantage on average leading to more demand till
         | return on investment becomes same for both old and young
         | employees.
        
           | datathrow0007 wrote:
           | Not when you optimize for:
           | 
           | 1. Paying less than what a worker is worth
           | 
           | 2. Owning a serf rather than establishing an engagement with
           | a professional
           | 
           | On #1, older, more experienced workers are not going to
           | accept bottom-of-the-barrel compensation for the outsized
           | impact they make relative to. Generally, this is just "free
           | market economics" looking to maximize returns compared to
           | costs. The easiest way to get costs down is to keep payroll
           | down (in service-based businesses, as many tech and tech-
           | reliant firms are, payroll is going to be your highest cost).
           | It's low hanging fruit; and by the far the easiest way to
           | increase the bottom-line (see: startups).
           | 
           | On #2, this is mostly more relevant in large, established
           | companies. The main goal on everyone's mind is no longer to
           | make money, but to climb the ladder. Yes, costs and profits
           | are important, but only in times of "bad vibes." In better
           | times, everyone is trying to justify why they're a part of
           | the gravy train, and to get a bigger portion. Usually, this
           | is achieved through utilizing "human resources" to work on
           | "big projects" (that usually do not materialize anything of
           | note -- but generate impact, i.e. intrigue ). In other cases,
           | a newly-minted lord will not be given sufficient bodies or
           | budget to expand his realm, so he'll need to squeeze as much
           | as he can out of what he has in order to make do. Older
           | workers are less tolerant of bullshit and being squeezed for
           | no material reward to themselves.
           | 
           | Generally this means that older workers will not be the
           | first-pick for startups (cost-conscious, "scrappy," i.e. #1)
           | or well-established bigcos (reliant on transmuting human
           | souls for the enrichment of the faux-nobility, as in #2). In
           | either case, neither type of company is looking for great
           | technical talent, but just a body to achieve an end. Any
           | schmuck can fill either role -- because competence isn't
           | necessary for the success of whoever controls the purse
           | strings. Unfortunately, these two types of companies are the
           | prevailing sort; thereby "ageism" can be seen in tech, the
           | same way educational box-ticking has become en vogue: it is
           | politically more advantageous.
           | 
           | Companies with sane leadership, and bodacious-yet-grounded
           | vision, that are looking to actually offer something of
           | substance will value competence over anything else (look at
           | old SV startups for an example). But once again, they're an
           | unfortunate minority, and they most likely will not be doing
           | cold recruiting (as it is insane).
        
           | jzb wrote:
           | "Solved by market" is such a bullshit concept in this
           | context. Firstly, the idea that the "market" is this self-
           | correcting process that works out fairly is demonstrably
           | bullshit.
           | 
           | Secondly - who gives a fuck if "the market" in the abstract
           | solves a problem when you, personally, get fucked because of
           | ageism? People need to stop spouting off abstract market
           | theory bullshit in response to real people being harmed as if
           | it's any real consolation to the actual humans involved.
        
         | SheinhardtWigCo wrote:
         | There is no evidence of age discrimination mentioned in the
         | article.
         | 
         | > The complaint asserts that not only is Kyndryl using IBM
         | terminology like "Resource Action," but it is providing
         | affected employees with the same information resources to do
         | so, right down to the letter.
         | 
         | Unless I'm missing something, the argument here seems to be:
         | IBM discriminated against older employees during layoffs, and
         | the IBM spinoff company hasn't changed their layoff terminology
         | or resources, therefore they must still be discriminating
         | against older employees.
         | 
         | Not a lawyer, but it sounds like they have nothing substantive
         | to work with here.
        
           | maerF0x0 wrote:
           | Precedent was set that the past behavior is ageism. New
           | company is repeating the precedented past behavior. Seems
           | obvious to me?
        
       | dreamcompiler wrote:
       | I cannot imagine why a new engineer or CS grad would want to go
       | to work for IBM. Their reputation is that of a company that was
       | great before you were born but forgot how to innovate long ago,
       | except for a brief foray into AI that made them famous on a game
       | show but was useless for everything else. Then they bought a
       | Linux company but it's been subjected to the same capricious
       | layoffs as the rest of the company so there's no job security.
       | Most of their revenue seems to come from sending C-grade
       | "consultants" to other big low-tech businesses to keep their
       | computers running, which makes the customer's CIO happy but
       | screws up the computers for everybody who actually works there.
       | 
       | I don't get it.
        
         | somenameforme wrote:
         | While this is somewhat dated knowledge, I expect it carries
         | over at least somewhat. IBM recruited hyper-aggressively at my
         | university for internships. And at the internship you had
         | minimal obligations and a quite comfortable salary which
         | carried over into full-time employment. Why they were grabbing
         | every warm body just to have them sit around is probably just
         | the left hand not knowing what the right was doing, but it
         | created a pretty nice opportunity for people whose main
         | motivation was freedom.
         | 
         | Of course I expect those departments/divisions may well have
         | eventually been "slimmed down", so everything comes full
         | circle.
        
         | jonfw wrote:
         | I enjoy working for IBM, I've been there my whole (relatively
         | short) career and it's been a great mix of interesting work,
         | opportunity to advance my career, mentorship, and work life
         | balance.
         | 
         | It's a big company and every team is different so YMMV.
        
         | HeyLaughingBoy wrote:
         | At least IBM _has_ a reputation. The overwhelming majority of
         | CS graduates will go to work at companies that have _no_
         | reputation outside their fields because no one 's heard of
         | them.
         | 
         | This is just how work is for most people.
        
         | jzb wrote:
         | Maybe they didn't get an offer from one of their first choices?
         | Maybe they could live where they want working for IBM instead
         | of having to live in SV for a FAANG? (Less of a thing now, but
         | seems to be making a comeback...) Maybe they did get an offer
         | from a FAANG or something but didn't like the culture. Lots of
         | reasons people want to work for IBM or at least feel like it's
         | better than alternatives.
         | 
         | I've known lots of folks who worked for IBM who enjoyed it.
         | (And plenty who didn't, or did and then didn't...)
        
         | Barrin92 wrote:
         | >I don't get it.
         | 
         | Because reputation and reality are two different things. IBM
         | still produces significant amounts of research, for example in
         | semiconductors. It's usually the top or among the top companies
         | in terms of patents per year, which is a decent measure.
         | 
         | It's the same with Oracle. Has a bad reputation among the
         | hipster internet crowd, but researchers or engineers generally
         | earn good salaries and have significant freedom and problems to
         | work on for probably any domain of CS you're interested in.
        
         | dangwhy wrote:
         | They seem to be getting on the AI bandwagon with their watson
         | stuff again.
        
         | quadrifoliate wrote:
         | > I cannot imagine why a new engineer or CS grad would want to
         | go to work for IBM.
         | 
         | I might have submitted a resume to IBM back in the day, when
         | you still used paper ones at college career fairs (maybe you
         | still do?).
         | 
         | In retrospect, I'm glad I never heard back from them; but
         | people need money to pay off bills and loans, and so did I. It
         | had nothing to do with me sharing IBM's vision or strategy for
         | "innovation" in any way.
        
           | ryandrake wrote:
           | Yea, If you are actually choosing where you work, you are one
           | of the lucky few. Probably 99% of us don't get a dozen offers
           | to choose our passion from when job hunting. We get one offer
           | after a lot of searching and take it because we like to have
           | a roof over our heads. Sure, we vaguely "choose" where we
           | work by deciding where to send our resumes, but a vanishingly
           | small number wake up and say "my passion is to work at Apple"
           | and then walk through the front door.
        
         | paxys wrote:
         | Not every new CS grad has offers from Google and Meta waiting
         | for them when they graduate. If you exclusively follow online
         | discussion about the tech space you'd think that all engineers
         | naturally go to the FAANGs or some well-funded startup, but in
         | reality 99% are employed by consulting companies, small
         | regional shops, BPOs, IT divisions of non-tech companies and
         | others who are way worse than "old tech" employers like IBM.
        
         | remeq wrote:
         | They can resurrect themselves with Quantum computing. Big,
         | fat,extremely specialized, room-sized machines was always
         | something IBM was good at.
        
           | wmf wrote:
           | Quantum computing isn't real though.
        
             | _zoltan_ wrote:
             | Sure... Like the earth is flat you mean? ;)
             | 
             | Quantum computing is very real.
        
         | _zoltan_ wrote:
         | I immensely enjoy my work at IBM Research and have been here
         | 10+ years. Most of the people I interact with are top notch
         | experts in their respective fields.
        
       | petercooper wrote:
       | Interesting this came up around the same time as this story also
       | about IBM getting sued for discrimination but under very
       | different circumstances: https://www.neowin.net/news/inactive-
       | ibm-employee-who-hasnt-... .. he's been off sick for 14 years and
       | is suing IBM to get similar pay increases as other employees.
        
         | 2b3a51 wrote:
         | UK: The employee described himself as 'medically retired' and
         | has been on 75% pay since 2008 under the terms of an IBM health
         | plan. The arrangement will finish when the employee reaches 65.
         | I'm sort of wondering if his pension contributions are based on
         | 75% or 100% of pay scale. This kind of arrangement is not by
         | any means normal in UK, and I wonder if the plan is still
         | available to new employees.
         | 
         | Most companies and public sector employers have a sickness
         | policy that pays full wages for some _months_ then declines
         | steadily until employment is terminated, around a year in the
         | case of my former employer.
        
       | badrabbit wrote:
       | I hear/see this type if stuff but what are you supposed to do if
       | you're not litiguous? Companies calculate cost and take risk
       | aware decisions like this with no ethics or moralit y considered.
       | It's like they corner people and expect them not to fight back or
       | to accept what little fighting back they do. I feel like to avoid
       | extreme measures, individuals should be sued ar least instead of
       | companies.
       | 
       | I wanna see a lineup of low level and executive managers alike
       | all on the hook personally for 10s of millions of dollars with no
       | financial assistance from the company. I want to see HR, legal
       | and direcr manager of this lady owing her 10mil+. You can fine
       | IBM $10B and they'll just add it to their risk calculation over
       | time. It is individuals that make these decisions, are they
       | really protected from a civil suit?
        
       | FredPret wrote:
       | Something to keep in mind when deciding how much of yourself to
       | invest into a corporate job. Every employee is expendable.
       | 
       | Get the experience you want ASAP, invest as much of your salary
       | as you can, and then job hop.
       | 
       | Cynical? Maybe, but I don't think so. Effective? Definitely. The
       | free market only works if all the people in it continually chase
       | their own best interest.
        
         | SoftTalker wrote:
         | As you get older, job hopping starts to come with a lot more
         | costs. It's easy when you're young and have nothing more to
         | hold you in one place than the cost of breaking your apartment
         | lease.
         | 
         | Once you have a family you'll find that they are not excited
         | about moving every few years and having to pack up, abandon all
         | their friends, go to a new school, spouse find a new job, find
         | a new house, find new childcare, unpack, etc. Can still work if
         | you live in an area with a lot of jobs, but not very practical
         | if you're in areas where job-hopping implies moving.
         | 
         | People used to be more willing to do this, but that was at a
         | time when most households had one working partner and one at
         | home taking care of the house and kids. Most people's lives are
         | more complicated now, and moving is a lot more hassle.
        
           | serial_dev wrote:
           | The things you mentioned are only relevant if you relocate.
           | 
           | If you job hop somewhere close to where you live, or you are
           | job hopping into remote work, all the hassle of moving your
           | family is not an issue.
           | 
           | There are still some downsides, for example, you might get X%
           | higher salary (something you know upfront), but instead of
           | having 4-5 hours of work with autonomy, few meetings easy-
           | going colleagues, you might get annoying people, boring work,
           | micromanagement, and endless meeting (which is something you
           | can usually only know for sure after switching)...
        
           | clnq wrote:
           | > Once you have a family you'll find that they are not
           | excited about moving every few years and having to pack up,
           | abandon all their friends, go to a new school, spouse find a
           | new job, find a new house, find new childcare, unpack, etc.
           | 
           | This is the reason tech professionals worldwide are resisting
           | the Return-To-Office (RTO) mandate. The vision is an industry
           | free of this unnecessary hindrance. It's not solely a hurdle
           | for older individuals seeking a career switch, but it extends
           | to anyone committed to their families and communities. It's
           | also a significant concern for individuals with disabilities,
           | who have tailored their homes to accommodate their needs, and
           | students who cannot continue their education from overseas.
           | 
           | Regardless, relocation is always stressful and costly. In
           | essence, job transitions come with this hefty toll, which
           | employers sometimes exploit to exert additional pressure on
           | employees before they resign. This is particularly true in
           | towns where the industry's potential employers are scarce --
           | sectors like robotics, space, automotive, and similar are
           | prime examples.
           | 
           | A person can endure considerable work hardships before
           | deciding to uproot their family and relocate to a foreign
           | country, starting from scratch. Imagine grappling with no
           | credit history, a lack of local language proficiency, no
           | familiar community, no personal vehicle, no trusted family
           | doctors -- essentially, nothing. For those working in sectors
           | like aerospace, opportunities in most countries are
           | restricted to one or possibly two employers. This keeps
           | employees locked into toxic workplaces and helps neither the
           | worker nor the company which can become complacent and feels
           | no pressure to act right.
           | 
           | The remedy is remote work. Global, ideally. But regional is
           | enough.
        
         | GalenErso wrote:
         | > Get the experience you want ASAP, invest as much of your
         | salary as you can, and then job hop.
         | 
         | This works in tech but not necessarily in other white collar
         | fields like finance. In finance, there is an unwritten rule
         | that you are supposed to settle with a firm by ~30-35 and stay
         | there for the rest of your career. Many firms don't hire
         | laterally unless they have no other choice. Professionals like
         | investment bankers and CFAs are recruited straight out of
         | university and groomed to assume leadership positions in the
         | long term.
        
           | FredPret wrote:
           | Very interesting, I didn't know that.
           | 
           | If you're determined to stay in finance, you'll probably have
           | to stick to this model. But for a finance professional, there
           | are many opportunities in other lines of business.
        
         | jraby3 wrote:
         | It's not cynical. But it is a two way street. Most people feel
         | that any job is expendable as well, don't they?
         | 
         | Very few people wouldn't take more money and better
         | hours/benefits if offered to them.
        
           | FredPret wrote:
           | The reason I advocate hopping is that more responsibility,
           | cooler work, more money, and better hours are never offered
           | on a platter. It is available, but you have to go looking for
           | it. So go looking for it!
           | 
           | I've seen so many engineers and managers spend 0.5 - 2.5
           | decades at a job, getting gradually more stagnant, adding a
           | fraction of the value they could if fully utilized.
           | 
           | For these people, a minor shakeup would do a world of good.
           | The companies that employ these people have grown complacent
           | and assume these people are part of the furniture; it's bad
           | for them too.
           | 
           | I remember one engineer and his manager who worked together
           | for thirty years. The manager took 100% of the credit, and
           | the engineer put up with this for the entire time. Eventually
           | the engineer retires, and the manager is now screwed. A
           | couple of months later it's obvious he hasn't used his brain
           | in decades, and gets fired right before retirement. That
           | manager was once really smart too.
           | 
           | Both of these people would have done themselves and the world
           | a favour by job-hopping many times in that period.
        
         | geodel wrote:
         | Well thats one way of doing thing. It only works when some and
         | not everyone do it. There is simply no additional rewards
         | waiting for hoppers if 80% of tech workers just keep changing
         | job every year or so.
         | 
         | Further lot of tech work is nowadays done by external
         | contractors in enterprises so workers anyway have to hop even
         | if they don't want to.
        
       | datavirtue wrote:
       | Typical large American corporation.
        
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