Millennials have long been accused of being disloyal to their jobs, jumping jobs and chasing after money.
The pandemic has also triggered a series of employment-related phenomena around the world, including “massive resignations” and the rise of “backup workers”.
According to Farzana Botha, segment marketing manager at Sanlam, the opportunity cost of changing careers should be considered carefully. In the long run, staying with a company can be more profitable financially.
”Traditionally, people’s career advancement is driven by a raise in salary. Now, 70% of people change jobs in pursuit of better work-life balance, flexibility, a positive work environment and career growth.
”The financial pros and cons of job hopping should be carefully considered. It is important to approach decisions with a long-term mindset,” says Botha.
Joanne Barrett of recruitment agency Joanne Barrett Consulting, has seen significant job hopping, especially in the pursuit of better mental health.
”Millennials tend to look for jobs to drive growth, while Gen Z’ers prioritize flexibility, telecommuting opportunities and work-life balance. They will ‘jump’ if these needs are not met,’ she said.
Barrett emphasizes that employers still consider frequent job changes a cause for concern in prospective candidates’ CVs.
”With less than 18 months on your resume, sending a red flag to prospective employers that you may not be committed to the company long-term. I recommend staying at least two years. Four years of consistency, dedication and commitment.”
Here are the financial pros and cons of job hopping:
A pay rise is a clear incentive to change jobs. But at what price? Staying in a position can bring benefits that are hard to measure in monetary terms, but it can benefit your finances in the long run.
1. Become an expert
When you hold a role with a company, you position yourself as an expert in your field. As a result, you become more and more valuable and can ask for more money for the same job because of the skills and efficiency you bring to the role. It is essential to speak up to make your worth known.
2. Boost your rep
It also gives you time to establish a good relationship and reputation. The trust you have earned and your commitment to the company may qualify you for more senior roles.
Promotions often come with instant compensation and the opportunity to learn new skills, which greatly increases your market value.
3. Mentoring problem
Organizations tend to invest in talented people who demonstrate potential and commitment. This can mean executive development and mentoring opportunities, along with long-term experience in a role, can dramatically improve earnings potential.
4. Loyalty is loved
Many organizations reward loyalty and outstanding performance with shared incentives – so the long-term value you get from an organization may outweigh the incremental pay rise you get from working with them. change company.
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