The Uncomfortable Question
Here's a question that makes most companies squirm: Should a Level 8 engineering leader in Lisbon make the same as one in San Francisco?
Most companies answer this quietly, behind closed doors, with inconsistent logic. Some say "yes" (full global parity), some say "no" (pure location-based), and most do something in between without explaining why.
We're choosing transparency. And our answer might surprise you: it depends on the level.
What We Used to Do
Like many companies, we started with location-based compensation. Someone in Atlanta got an Atlanta-market salary. Someone in San Francisco got SF rates. The location factor applied equally whether you were Level 1 or Level 8.
This made sense on paper. But as we grew, we noticed something didn't add up.
The Insight: Competition Changes as You Grow
At Level 1-2, you're competing locally. A junior coordinator in Charleston is typically competing with other Charleston-based candidates. Companies hire locally, scope is localized, and market rates reflect that reality.
At Level 7-8, you're competing globally. A VP of Engineering can work from anywhere. They're fielding offers from remote-first companies paying SF rates regardless of location. The "market" for senior talent isn't geographic anymore—it's global.
The middle? A gradual transition. As you grow from L3 to L6, you're increasingly competing with a wider talent pool. Your impact transcends geography. You're getting recruited by companies with global compensation strategies.
The New System: Global Market Alignment
Starting in 2025, we're evolving how location factors work at Filmhub:
Levels 1-2: Pure Local Market (0% adjustment)
Your compensation reflects your local market. A Level 2 in Miami competes with Miami-market candidates and gets Miami-market pay.
Levels 3-6: Gradual Convergence (10-50% adjustment toward global rates)
As your scope grows, so does your market. Location still matters, but less so. We progressively adjust toward global (SF) benchmark rates.
Levels 7-8: Global Competition (65-80% adjustment toward global rates)
At senior levels, you're competing in a global marketplace. Your compensation reflects that reality, converging toward SF benchmarks regardless of where you live.
What This Looks Like in Practice
Let's take someone in a location with a 0.80 base factor (like Burlington, VT):
Burlington, VT Example
- At Level 1-2: Their compensation stays at the 0.80 factor. Local market rates apply.
- At Level 5: Their factor adjusts to 0.88 (35% convergence toward global rates)
- At Level 8: Their factor adjusts to 0.96 (80% convergence toward global rates)
Even at the highest level, we maintain a 20% local component—but the difference between Burlington and SF has narrowed from 20% to just 4%.
Why This Matters
For team members: As you grow at Filmhub, your compensation increasingly reflects your global market value, not just your zip code. You're rewarded for impact that transcends geography.
For candidates: We're showing you exactly how our system works. No surprises. No hidden formulas. You can see what your growth path looks like before you join.
For the industry: We believe more companies should think this way—and share it openly. Location-based pay made sense when everyone worked in offices. Today's reality demands a more nuanced approach.
The Commitment
This evolution means no one's compensation goes down. This is about making our system more competitive and fair for senior roles while maintaining appropriate local market rates for early-career positions.
We're not perfect. We're still learning. But we believe transparency—showing our work, explaining our reasoning—is how we build trust with our team.