This is why I job jump
Companies don't pay old talent new talent money and apparently old talent means a few years. https://www.forbes.com/sites/cameronkeng/2014/06/22/employees-that-stay-in-companies-longer-than-2-years-get-paid-50-less/?utm_source=FBPAGE&utm_medium=social&utm_content=981297991&utm_campaign=sprinklrForbesMainFB#1809614ee07f
This doesn't surprise me, but I have to imagine your income can quickly outpace your skills (not you personally op, just generally). I've never spent more than 3 years at a company, but I feel like I lose a lot of time "ramping up" with each move. It makes me question if it's better to stay longer. Op do you have any opinion on this?
From my experience, skills grow faster when moving to new positions. Is it "ramping up" time or leaning new skill, process, domain? Listening to a podcast with Jarred Spool and he made a statement how someone can have 10 yrs experience learning new things every year or doing the same thing for 10 years which is essential 1 year of experience 10x.
I first heard this over ten years ago 😎
I wonder if the analysis counts for opportunity costs such as lost vestings, 401k matches, etc. Article won't load for me currently, so it might be addressed in there. My point: Base comp != total comp
Seems the study is for non tech folks and the first 10 years of career. Would love some bigger study on tech and seniors.
Yeah the article cites examples such as going from like 25k to 75k (a 3-fold increase). The income curve isn't necessarily as competitive at those levels with respect to say 100k to 300k, where there are far fewer positions. I don't know if these trends are applicable to upper income workers.
I wonder if this analysis accounts for the fact that mediocre people are less likely to want to go through the whole interview process all over again, whereas star talent knows they can find another job right away and won't take as much shit from their employers.
Star talent =! People that can interview well. If you've been in the industry more than a few years, that should be obvious
Article is spot on in my experience. It's unfortunately but only way to truly advance is not performance - it's changing companies.
Is there a limit to how many times you can do this in a short time span? I've jumped around and it's paid off. But is it sustainable? E.g. Will it be harder to jump after 4-5 previous moves? Or do employers not care any more? It used to be an issue.
If it is so common place to jump, then employers won't care, unless they can afford to be highly exclusive. Filtering applicants that typically stay for 2 years probably narrows the pool drastically. And if all you really care about primarily is skill -- employers would likely be more focused on assessing those aspects of an applicant. Plus, with the way employers are today, should they really expect long periods of loyalty? Those days have passed.
As long as stay at least one year at each place, it looks fine. You'll be bringing in a diverse set of experiences.
It just takes longer to max out if you stay. If you plan to work till you're 60, this chart won't matter
It will, because it will let you max out sooner which means you can put more into savings/investments sooner, which will put you in a better position to retire
sure, if everything goes to plan. Life will throw you curveballs and there is always the strong possibility of social collapse in which case you'd have busted ass for nothing
not relevant with tenure. long gone are the days of 30-50% bumps with a jump. 20+ years in industry, total comp east coast varies YoY, but mean is ~250.
tenure... are you in academia?
tenure as in years at the same company, not canonical definition of tenure.
In tech, the best salary increase is when you quit and start your own company
If I'm making 60 as an it manager and they are teaching me to be a dev, will I get the same effect if I jump to a dev job or am I going to still be stuck on the 3% treadmill? I need a significant bump, not this inflation match...
May I ask what you do and make? Just curious.
I'm an IT Director for a small tech company (about 50 employees). I make 200k + profit based bonus, which was about 10% last year. I'm 31.
I feel like job jumping is ideal if you ever plateau at a certain company (or are climbing up the ladder in terms of company tiers). I've gone from making 100k a year to ~350k a year working at the same place for 4 years (but that's due to frequent promotions and being at a top tier company. Switching between G/F/A/U/etc might give a boost due to extra equity grants, but definitely won't be as large of an increase as climbing the ladder from lower paying to higher paying companies)