Want Better Pay? You Might Have to Jump Ship

Full-time workers stand to gain money by ditching their jobs for new ones, and employers are hiring more as the economy strengthens. Is it time for you to say, "I quit"?

Want Better Pay? You Might Have to Jump Ship Photo by Antonio Guillem / Shutterstock.com

Here’s one way to get a raise: Quit your job and take a new one.

Full-time workers who switch jobs see bigger wage increases than those who remain at the same job for at least one year, according to the latest quarterly workforce analysis from the ADP Research Institute.

On average, the hourly wages of workers who remain on the same job for at least a year — ADP labels them “job holders” — grew more than those of “job switchers” over the past year. Specifically among full-time workers, however, job switchers’ wages grew more — by 4.9 percent (reaching $35.77 per hour) versus 4.3 percent (to $34.09 per hour).

Looking at individual industries, full-time job switchers saw their wages grow the most over the past year — by 6.9 percent (reaching $23.18 per hour) — in leisure and hospitality jobs.

Full-time job holders saw the biggest wage growth — 5.1 percent (to $44.21 per hour) — in the information industry.

If you’re just after the biggest possible paycheck, though, the information sector is the best place to be whether you’re remaining in the field or switching to it. The information industry is the only industry in ADP’s report in which full-time job holders and job switchers earned an average hourly pay rate in at least the mid-$40s.

Continued job trends

These trends aren’t new, though. I can remember writing about a surge in job hopping two and a half years ago. And Gallup found earlier this year that more than 100 million full-time workers in the U.S. were looking for a new job, thanks largely to feeling disengaged at work.

Also in recent years, tech jobs have consistently made lists of the jobs with the highest pay and biggest raises.

The latest national jobs report

The latest monthly jobs report from the U.S. Department of Labor, released Friday, also reflects continuing trends as the economy further improves.

Employers added 261,000 jobs to the economy — which the New York Times called “the latest sign that the American economy has entered perhaps its strongest stretch of growth in years.”

The national unemployment rate dropped to 4.1 percent in October — down from 4.2 percent one month prior and 4.8 percent one year prior.

If you’re in the market for a new job, or considering switching to a different job, consider:

What’s your take on the advantages — or disadvantages — of switching jobs? Share your thoughts with us below or over on our Facebook page.

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