The Toxicity of High-Paying Jobs in Startups: Why Fresh Perspectives Are Needed

Name: The Toxicity of High-Paying Jobs in Startups: Why Fresh Perspectives Are Needed
Uploaded: 2024-01-22T17:42:10+00:00
Duration: 45 s
Channel: Jason M. Lemkin
Description: In this YouTube monologue, Jason M. Lemkin critiques a growing dysfunction in venture‑backed startups: the proliferation of highly compensated sales…

22 Jan 2024 · 1 min

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In this YouTube monologue, Jason M. Lemkin critiques a growing dysfunction in venture‑backed startups: the proliferation of highly compensated sales roles that generate little value and create toxic work environments. He references his own SaaStr post about a sales rep earning $500,000 in 2023 yet feeling miserable, arguing that such compensation structures force salespeople to work harder for more money without delivering founder‑level impact. Lemkin stresses that with limited capital, startups must be ruthless about hiring, avoiding hires who haven’t faced adversity or proven themselves in lean conditions. He advocates for hiring people who have survived previous downturns or who bring a fresh, gritty perspective, rather than inflating headcounts with high‑pay, low‑impact roles.

Chapters

I don't think people wanna be paid hundreds of thousands of dollars a year to manage large teams and not work. And I don't, this is where I sound like a fuddy-duddy, but this is what's broken in venture. It's very hard to do much on a small amount of capital A unless you're very careful who you hire because everyone needs 6 people to do a tweet, Harry. And I wrote this post on SaaStr, the sales rep that's making $500,000 a year in 2023 and is miserable. Okay? I wrote it. 'Cause he had to work half as hard to make more money in 2021 as a sales rep. Not as a founder, right? This is toxic. And I almost want, and I know this is a funny daddy thing, I almost think we shouldn't hire any of these people in startups today. You have to have had some adversity or have worked before the boom or have, or, or, or you just need to flush through this and have a fresh perspective.