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What happens in times like this and people's issues with wage discrimination for example? Are there people left at the company still making $50 an hour for a similar role to someone new hired making $20? Do all these salaries get readjusted eventually?

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Not at all. Companies generally will just pay you a below market rate unless you can force them into an adjustment. That is a major source of wage gaps actually. People who have the leverage and safety to risk counter offers and renegotiation end up getting paid more than people who cannot take the risk of damaging their reputation or even getting fired over a 30% raise. People with an ample safety net can take a gamble on an unknown new job with a big pay increase also.

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