Rilla spends $1.7 million annually on rent for staff working 72 hours a week.

      Tech enjoys offering perks, but few take it this far. Rilla, an AI startup that develops coaching software for sales teams, invests around $1.7 million annually in housing stipends to allow employees to live close to its New York office, according to Fortune. In exchange, workers are expected to commit to a 72-hour work week.

      Employees who reside within a 10-minute bike ride from the Williamsburg office receive an annual housing stipend of $18,000, with about 80% opting in. This assistance is particularly beneficial in a neighborhood where studio rents average about $4,000 per month.

      Focus over comfort

      CEO Sebastian Jimenez describes this expenditure as a means to enhance focus rather than as corporate excess. “We’re not attempting to pamper our employees,” he told Business Insider. “Many companies provide perks that end up distracting their workforce. We ask ourselves, ‘Does this help someone achieve flow?’”

      This reasoning applies to the entire benefits package. Rilla covers three meals daily and is constructing a gym that will feature a sauna and cold plunge. The company even employed a Harvard expert on healthy buildings to select an office with ventilation designed to improve concentration.

      The reality of a 72-hour work week

      The costs are significant for a small company. Rilla allocates about $37,000 yearly per employee for these additional benefits, totaling nearly $4.4 million for around 120 staff members, and has signed a decade-long lease. Jimenez insists that the investment is justified, claiming each engineer generates between $4 million to $5 million in annual revenue. Employees work 12 hours a day, six days a week, and he states that he recruits individuals—from Division I athletes to entrepreneurs—who are seeking this type of commitment.

      This aligns with a broader trend toward a stricter work culture in the tech industry. While the sector debates whether AI will create or eliminate jobs, some startups are opting for the latter approach by hiring a small group of elite staff and requiring them to work long hours. Competitors offer more moderate versions of this concept, such as JPMorgan’s tennis courts and Goldman’s cycling studios.

      Why it matters

      The stipend may appear generous, but it also serves as a strategic tool. By reducing commuting times and minimizing distractions, the workday can extend. Critics of the always-active office environment—those cautioning against downsizing junior employees or prioritizing sheer output—might describe it as a gilded cage. Jimenez, however, has a different perspective: “Our objective isn't merely to bring people into the office; it’s to create an environment where they can achieve their best work.”