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Normally they wouldn’t pay you less you would just be higher on the salary band and would get less merit.
From my standpoint, why am I paid the same as someone living in a far less expensive area? My pay doesn’t meet the minimum expected in the area to live comfortably. Others, working same role in my company, but in less expensive areas, are paid the same and far better of financially.
This isn’t weird. It’s been happening for decades and all companies have ever done is pay the competitive rate for the market. And the market changes based on region. People are paid less for XYZ job in State B than they are in State A.
Why?
Maybe because there are more people who can do XYZ job in State B. Maybe because housing/groceries/taxes/utilities cost less in State B. Maybe because there are way more employers in State B.
It’s meant to pay a fair wage based on what other people get for the same job in the same region. And that’s it.
At Cigna it’s always been this way and in federal jobs it’s this way too locality pay it’s called
Conversation Starter
You should’ve get paid less. You just wont quality for the minor increase. It’s nothing to panic about.