With Annual Pay Raises At 7.7%, Job-Hoppers Getting Almost Twice More Than Job-Stayers —New Study

Workers are making the most out of the tight labor market and are hacking their way through soaring inflation and current employers tightening belts to keep costs down. The ADP National Employment report found that job-hoppers, or those changing jobs in search of greener pastures, received annual raises almost double the amount received by those who chose to stay.

In October 2022, the median change in annual wages was at 7.7% for job-stayers and a whopping 15.2% for job-hoppers. With inflation staying at 8-9%, stayers are keeping by but barely, while hoppers are getting just a bit more leeway.

But will it be sustainable?


Increases for both types of workers soared beginning in 2021, during the period that’s come to be known as the Great Resignation.

A March 2022 Pew Research Center study cited low pay as one of the main drivers for The Great Resignation. The period gave way to a tight labor market that has driven up nominal wages. The labor market has remained tight and the surge in pay increases this year indicates how employers are struggling to fill their job openings.

But it also looks like the hiring frenzy is about to slow down. As increases for stayers have remained pretty constant in the 7.6-7.8% range since March, increases for hoppers seem to have already peaked at 16.4% in June and have started to go on a gradual decline since. 

Job openings are also gradually cooling, with the September figure of 10.72 million being the second lowest in the last twelve months, following the lowest number in August.

Information for this briefing was found via ADP, BLS, and the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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