I’m doing well as a remote worker, but I’ve been browsing job boards and many advertised ranges are about half of what I’m currently earning. It needs to get better.
Would be an example of someone not dictating their setup
I would more look at compared to local jobs in my area.
For example, my job, my years of experience, in my area (Midwest USA) is roughly $175K on a W2 salary. If that same position is 275k in NYC, but I'm offered it at $175k, sign me up!
I'm sure they would pay me the $275k if I moved to New York...but not living in New York is worth $100k a year to me.
In your case you don’t want to move out, in my case when I move back I’d like to receive the same pay since I’ll be doing the same work
Also, you will likely end up with a slightly higher churn rate (since smart employees will continue interviewing to see if they can get a higher salary from a place that doesn't adjust based on cost of living).
It's a perfectly reasonable approach to take as an employer, and if you can make it work, all the more power to you.