Millennials Content to Stay in a Job

Millennials Content to Stay in a Job

Millennials often content to stay in a job, even if they miss out on pay rises

It has been widely assumed that today’s young adults are more likely than previous generations to move jobs. However, research by the think tank Resolution Foundation suggests the opposite. It found that 4% of those who were young adults at the start of the 21st century were changing jobs year to year, whereas those born ten years earlier were twice as likely to switch jobs as frequently.

The study also highlights that the millennial generation could be losing out financially by becoming more loyal to their employers. The Resolution Foundation says that real terms annual pay increases – the salary rise once inflation has been taken into account – for millennials who stay in the same job have declined to virtually zero. It contrasts this with a statistic that the average job mover aged in their mid-20s gets a 15% salary increase as a result.

Employees born between 1981 and 1985 earn on average £40 per week less at age of 30 when compared to the earnings at the same age of those born ten years earlier. Those born between 1986 and 1990 earned the same in their early and mid-20s as those born 15 years earlier.

Laura Gardiner, senior policy analyst at the Resolution Foundation, said:

“One of the most striking shifts in the labour market has been young people prioritising job security and opting to stick with their employer rather than move jobs.

“With … evidence that employers have essentially stopped rewarding their long-serving staff with real annual pay increases, such job loyalty can be very costly.”

In uncertain times, there are great advantages to having job security, and of course some people choose to stay in the same role simply because they love their job. However, if you’re seeking a new role, whether that’s because you’re not getting pay rises, or for any other reason, then Kennedy Pearce is here to help. Why not contact us today?

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