Raises are on the run. 6 in 10 employed Americans reported no pay raise or higher-paying job in the last year – up from last year, when 5 in 10 reported the same, according to a new survey from Bankrate.com.
Yet, this won’t spur the overwhelming majority to seek new work – only 25% reported that they plan to look for a new job in the New Year.
- Those who more likely to go after a new job were Millennials, at 37%.
- Lower-income households are more likely to look for work than higher income households.
- Those that were least likely to receive a raise or a higher-paying job were low-income households (76%) and Baby Boomers (79%).
- Those that received a pay raise came in at 27%.
Respondents said that when they did last receive a raise, 37% received a performance-based raise, 29% received a promotion or responsibility-based raise, and 27% said they received a cost of living-based raise.
What you can do to be proactive about getting a raise can depend on your age. Greg McBride, the chief financial analyst for Bankrate.com, says workers need to change jobs to make more – especially younger ones. “Career advancement often involves a willingness to change jobs, particularly in the early career years,” he said. “Yet only one-third of all Millennials intend to capitalize on this tight labor market and look for a new job in the next 12 months.”
As for Baby Boomers, a career switch might not be the solution, but they need to re-skill, according to McBride. “They should continue to grow and acquire more skill, stay on top of technology, and be forward thinkers.”
There are other ways to try for a raise as well – by being more proactive at work and anticipating your company’s needs, and by making your case in your year-end performance review.