Allison Venditti knows how much the question “should I leave or stay?” » can be difficult.
There coach Toronto-based career entrepreneur and founder of Moms at Work, an online networking community of working women, has seen many clients struggle with indecision over whether to leave their current stable job for a new, better-paying job .
For most, fear of the unknown comes into play, but Mme Venditti says people who make the jump in search of a higher salary usually don’t regret it.
“When people go there, most of the time, the first comment I hear is: ‘I wish I had done this sooner,’” said M.me Venditti, adding that a significant salary increase can be life-changing.
“Getting $30,000 more a year is a lot of money over five years. It might mean a down payment on a house, it might mean more expensive camps for your kids. It makes a difference,” she stressed.
It can be difficult to know when it’s time to leave a job you love or a company you feel loyal to for a higher salary elsewhere.
Job satisfaction, relationship with your boss, and workplace culture are important, and in some cases, they outweigh a possible salary increase.
But experts say that with the current cost of living, it may be time to consider looking elsewhere if you feel your earning potential has stabilized.
Regress financially
A recent survey of 4,000 Canadian white-collar workers and 2,000 employers by global recruitment consultancy Robert Walters found that in 2024, the average employer plans to offer salary increases of between 3.5 and 4 %.
Given continued high inflation over the past two years, that means the increases many Canadian workers can expect this year will do little more than keep them from falling back financially.
“If you look at history, salary increases have been used as a measure to reward hard work, loyalty and progression,” said Martin Fox, general manager of Robert Walters Canada. But what we are witnessing now is a truly unique and difficult situation. Many companies are currently offering salaries that match this inflationary rise just to keep people afloat – and they probably don’t have the budget or plan to pay more than that. »
On the other hand, companies often dig deeper into their budgets to attract an attractive new hire, Mr. Fox pointed out.
Our data and internal research show that professionals who change organizations often experience a substantial salary increase. It’s around 10 to 15%, or even 20% for certain high-demand positions.
Martin Fox, Managing Director of Robert Walters Canada
“We know that people who are always looking for a better job opportunity make more money. It’s proven,” said M.me Venditti, adding that workers can benefit financially from a change of job, but also from a complete change of sector of activity. “This idea that changing jobs too often is somehow bad is really no longer a reality. What we see with high-potential employees is that they spend about two and a half years in the same job. »
Salary, part of the equation
Although a 15% salary increase is what an employer should expect to offer if trying to entice an experienced professional to leave their current position, Mme Venditti stressed that it’s important to remember that salary is only part of the equation.
“If you get paid $50,000 for working 42 hours a week, or $50,000 for working 35 hours a week, that’s a significant difference,” she stressed, adding that people should also analyze the numbers and compare things like stock options, pension plans and RRSP top-ups.
Mr. Fox said the lowest-paying job could also come out on top when taking into account factors like training and professional development, benefits and wellness programs, and the possibility to work remotely or on a hybrid basis.
The Robert Walters survey reveals that 93% of employees surveyed would be willing to leave their current organization for a salary increase of 10% or more.
The study also found that the main factor that motivates employees to stay in their current position is competitive compensation: only 9% of employees surveyed cited liking their company as one of the main reasons for their decision to stay .
Butme Venditti added that women, in particular, are often hesitant to apply for higher-paying positions due to the false belief that higher-paying jobs automatically mean a loss of flexibility and work-life balance.
This is the number one holding factor I see. Don’t make this assumption: “Oh, I can’t leave because someone is really nice to me.” There are lots of nice working environments.
Allison Venditti, founder of Moms at Work
If you really love your job, but feel like you’re not getting paid what it’s worth, you might want to consider asking for a raise or promotion before looking for opportunities elsewhere, Ms.me Vendetti.
Even if their employer can’t offer more money, they may be willing to offer longer vacation time, flexible hours, a condensed work week, or some other form of non-financial compensation.
Nevertheless, Mme Venditti believes that people determined to improve their financial situation need to “read the situation” and decide if it is possible in their current business.
“If your employer has put out a memo saying that everyone has already had a cost-of-living raise and they’re laying people off now, don’t go asking for a raise, the answer will be no,” he said. she exposed. Sometimes there just aren’t any opportunities. Sometimes you really have to leave your company if you want to progress. »