Is moving jobs the best way to get a pay increase?

Today, staying in the same job for 8-10 years is an exception rather than the norm. It’s not that companies don’t want to reward loyalty. Rather, employees just don’t seem to stick around for more than a year or two. Are they moving for money or is there more to it? And more importantly can companies do anything about it?

Statistics are overwhelming in favour of moving jobs frequently if money is the main motivator. Employees who move, experience a higher average wage growth than those who stay. In the current job market where skills are in demand, this is augmented with more people being open to considering new opportunities, simply because they’re being asked to.

At the same time companies are realising the cost of not being able to retain key employees. It’s not just the cost of hiring that adds up. Consider the loss in productivity, the loss of knowledge, and the time it takes to get a new employee up to speed.

There’s a great deal of conversation about creating workplaces that value employees and enable them to thrive. Some companies manage to achieve this some of the time and gain loyal employees for a while. But when margins start to get squeezed, these values often get forgotten about. (Which makes you wonder how serious they were about them in the first place)

For the job hoppers it’s also not smooth sailing. As some point in their career they will face the interview question: “Why did you move so often?” Whether the answer is opportunity or money, it may leave interviewers questioning if they should make an offer. No-one wants to hire someone with a track record of moving on every year.

Companies want employees that are committed and engaged. Employees that deliver value, solve problems and contribute to profits. Employees want to work for companies that recognise their efforts and value their input, all while acknowledging that they have lives outside of work. ?Even with both knowing what the other wants, making it work in reality is proving very difficult.

Yet nothing is impossible. There is one thing that creates common ground - values. When employers and staff share common values, magic can happen. That’s when employees can turn down job offers knowing they’re right where they should be, and companies retain the staff they need to continue building a great business.