* The job market is a lot more scattered than in the US, there are fewer hubs concentrating software jobs. This dilutes competition.
* The job market is typically less fluid. This translates into more job security, but also a certain complacency.
* Europe hasn't seen the birth of many very-high margins software companies, generating millions per developer (off the top of my head I can think of SAP maybe, but that's B2B).
* Consequently, there's also less recognition for software developers, and their perceived value is lower than that of mechanical engineers for instance.
* Also, outdated management style is still fairly prevalent as you noted.
* VCs have no reason to push for salaries higher than necessary. European startups pitch cheap engineering as an advantage compared to being based in the Bay area.
I don't think egalitarianism has anything to do with our salaries. We might see the value in higher taxes, stronger labor rights, and a narrower income inequality. But I've never met a software developer who thinks they should inherently be less paid than say, a lawyer.
