Despite raging inflation and a US recession, a recent Pew Research Center report said those who joined The Great Recession are now making more of their earnings than they did in their previous jobs.
According to the study, from June 27 to July 4, of the 6,174 people surveyed, (60%) saw an increase in “real earnings.” In the months of January to March 2022, around 4 million employees changed jobs every month.
That is around 2.5% of the workforce per month compared to the previous year. In 2021, 2.3% of workers quit their current job each month.
“When it comes to income for job changers, the proportion of those who find a higher salary has increased since the year after the pandemic began. From April 2020 to March 2021, around 51% of job-changers saw an increase in real income over the same month last year,” Pew said.
Of those who changed jobs, “the middle worker” enjoyed a 9.7% increase in “inflation-adjusted earnings.” This was despite record inflation and a very different outcome compared to those that stayed in the same place. For those who stayed with their current jump, they took a -1.7% loss.
Compared to those who stayed with the same employer during the ‘Great Recession’ or ‘The Great Restructuring’, less than half (47%) experienced an increase in ‘real income’. However, with the recession here, the number of job openings may shrink and workers’ ability to find jobs may also decrease. Despite reports that the job market for seekers remains good, people are still uneasy.
The report found that 22% of workers say they are very or somewhat invested in finding a job. However, many of these workers are insecure about the labor market. Almost 40% stated that it would be very or rather difficult to find a new job.
“Despite reports of hiring and such, there seems to be more concern,” Rakesh Kochhar, a senior Pew researcher, told Axios.
https://www.ibtimes.com.au/switching-jobs-leads-higher-pay-pew-research-1836003?utm_source=Public&utm_medium=Feed&utm_campaign=Distribution Changing Jobs Leads to Higher Pay, Pew Research