Like pretty much everything else, it will depend on how well it's implemented. How do you define locality? This is easy for jobs that previously came with office space access. Not so much for new ones. You know how the rounding is going to go with this. If you live in New Brunswick, are you in the NYC or PHL metro?
People are going to try to game the hell out of it too, I'm sure. But it's going to have to be sorted. Some companies will handle it well and others will be abject disasters.
Agreed. Provided they use the more general locality rules, I don't see a problem with this. Ie Metro NY, Metro Philly, etc. If they start digging into like sub divisions of counties, that's a problem. There are some potential issues with this type of pay scale though, to be sure. My buddy works for the federal court house in philly. He has a colleague who does the same job in Scranton, or somewhere north up there. Despite that area having a lower CoL, my buddy gets paid less because Scranton (or whatever it is) falls into the Metro NY pay scale, not the Metro Philly.