4 Factors to Consider when Switching Jobs
Do you feel stuck at your job? Are you underpaid or overworked? Or are you just trying to plan the best possible career trajectory for yourself? Whatever the reason, the question of when to change jobs and how often is one that a lot of young professionals face.
And the advice out there isn’t always great.
The following are to better understand the effect of changing jobs on your overall career.
Days Gone By
Fifty years ago, during the boomer generation, things were different. Companies worked to inspire loyalty through pension plans and rewards for longevity. It made sense to give your whole life to a company because they would make sure you were able to retire easily. Unfortunately, pension plans are largely a thing of the past and more and more people find making a switch, in companies positions or even careers, is the best decision for them.
With all these changes in the way business is done, it’s not surprising that most people would leave their current company for the right opportunity. Be aware of how things have changed and don’t let outdated career advice hold you back.
Employee Loyalty
So, how valuable is your loyalty really? Your employer is always going to look at the business as a whole first. Although every company is different, the end game is still the same—keep the business afloat, even when it comes at the expense of workers. Many employers try to improve financial solvency and cut their overhead with employees first—reducing benefits, minimizing raises, and scaling back teambuilding and other morale-boosting activities.
In addition, the fear of being “laid off” has become increasingly real for employees. When our economy was more industrial, the term meant a temporary cutback in the workforce, often due to seasonal volume. Now, these workforce reductions are usually permanent, as companies actively seek new employees to fill positions when the workforce grows again.
Most of us hear about layoffs all the time—there’s nothing more terrifying than watching groups of coworkers being let go in waves and wondering if you’re going to be next. Staying loyal to your employer isn’t necessarily a bad idea but it’s important to make sure that you’re looking out for yourself first. Consider yourself as a business, or, at least, a marketable asset. Assess your value and make sure you’re getting exactly what you want—or move on.
Making a Change
There are benefits to changing your job, even if the one you have currently isn’t totally unsatisfactory. Money is a big potential plus—job switchers see an average of 10% increase in pay compared to the 3% increase achieved by company loyalists in the same timeframe. This can add up to almost 50% of your lifetime earning potential.
Some job opportunities will be offering you a lot more money. Others will offer you less. Money isn’t the only potential advantage when you decide to change direction. A new position can give you the chance to gain new experience and deal with companies or industries you haven’t interacted with before. You can find new ways to deal with old challenges and finely tune systems that make you the most productive. You may even find a colleague or superior who wants to take on a mentor relationship with you. Opportunities to learn and grow are everywhere.
Case in point: When I started at my first job in IT, I was a loyal worker. I never wanted to switch jobs, because I liked my company and knew it provided acceptable pay with decent benefits. While I was thankful to earn a 2-3% yearly increase, it was nothing to write home about. As a result of leaving my first job five years later on the other hand, my salary increased by a whopping 27%!
That was one heck of a merit increase!
However, when thinking about switching jobs, the first place you want to look isn’t your bank account—it’s your resume. This is your only chance to make a first impression with a potential new employer and many companies frown on anything that looks like “job-hopping”—moving from one place to the next without committing to any one company for a noticeable length of time. This is a red flag for companies who are worried about getting the most value out of any employee because you seem flighty, uncommitted, and more likely to bail out when times get tough (even if none of those things are true).
If you haven’t been at your current job for very long, consider staying on to build the experience that employers are looking for. If you plan to change jobs frequently throughout your career, you want to hit the experience “sweet spot” or 3-5 years with every company. Besides, it never hurts to have a well-polished, up-to-date resume on hand—who knows who you might meet?
Considering All the Options
While switching jobs can sound appealing, it may not be the right thing for you. The money you make is what you’re looking for or not that important to you. Some companies have a culture that is open to new ideas, puts employees first, or has other values that are important to you. Or maybe you just really enjoy your work and where you’re doing it. All of these reasons are good ones but don’t let complacency rob you of potential opportunity.
Things can change within a company, slowly or rapidly, so you want to keep your eyes and your ears open for changes that might make you uncomfortable or negatively impact your career. Older employees are finding themselves stuck longer in positions with little growth and stagnant wages because they don’t feel like there are other options out there.
You always have options.
Your choices are what define you. It’s interesting that we sometimes put so little thought into how satisfied we are with what we spend most of our waking hours doing—working. Trends are changing. We’re finally shifting back to a candidate-driven hiring market and away from one where employers hold most of the cards. Social media also makes a lot of businesses shy away from older practices, like hostility towards a leaving employee. Use these to your advantage and take control of your career. Have a plan that puts your personal success at the center and you’ll always be improving on your dreams.
If you’re on the market or are thinking of changing jobs, take a look at this post on building a job-winning resume. As always, if you have an opinion on whether you should move on to greener pastures, let me know in the comments section below!
