When to Change Jobs for the Biggest Pay Rise — Quartz
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For job hoppers, knowing when to move on is a tricky one. Leaving too early can seem fickle; staying too long can lead to calcification.
ADP, the payroll processing company, analyzed wage information for 24 million private sector workers, including those who changed employers, during the first quarter of 2016. They found that the most big pay rise comes after employees stay in the job for at least two years, but no longer. only five. The longer you stay beyond five years, the less salary growth you will see at your next employer. (But it’s also true that as you gain experience, your salary should increase with your current employer, making salary increases less likely.)
Overall, people who changed jobs in the first quarter saw their wages increase by 6%, with the largest gains coming from younger workers. Employees under 25 saw an 11% gain if they changed jobs. The sectors where the increases have been the most significant are leisure and hospitality; trade, transport and public services; and information technology. The one area where average wages have fallen for job changers is in natural resources and mining, where a drop in oil and gas prices has pushed down wages across the industry.
Correction: An earlier version of this story incorrectly reported that ADP analyzed salary information for 24 million workers who changed jobs. The company looked at data from a total of 24 million workers, including those who changed jobs.