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I can't interview someone for a few hours and predict how they will be as an employee. No one can.
Sometimes you hire people and are under-paying them, sometimes you're over-paying them.
> assuming you can trust somebody more or less depending on their legal jurisdiction says a lot about your company's culture
So are you saying that all countries have the same laws, and all those laws are equally enforced?
If one of my US employees embezzles money from a client using Stripe credentials, I can easily find and prosecute that person (as long as they're still in the US). Anyone US employee would know this and weigh it against their reasons for wanting to embezzle in the first place (if they have any).
If one of my employees in (let's say) Pakistan did the same thing, there is absolutely nothing I can do. I have no recourse. They would easily get away with it.
It is common and normal to trust people more when they're in the same jurisdiction as you and abide by the same laws.