Or to rephrase, the employer gets long term commitment and loyalty from their employees because they get the best reward. The alternative is job hoppers, and I don't think you can create a business out of people who skip town whenever they get a better offer.
Mind you, the insane wage difference in SF is partly caused by job hoppers and scalping between the big and highly funded companies.
You speak here as if it's somehow not fair for the companies that employers get paid more? As if the competition only works in one direction, to reduce the salaries, because employees are interchangeable.
Instead, let's enjoy the interchangeability of employers for a while and use the competition of companies for the best talent in our advantage. At least while it lasts.
Mind you, the insane wage difference in SF is partly caused by job hoppers and scalping between the big and highly funded companies.