When does money become a factor for you to switch jobs?

Nowadays, switching jobs is becoming prevalent, especially for young people looking to rise up the corporate ladder. People leave their old jobs for new ones for a variety of reasons: convenience, travel issues, health, etc.

Rarely does one say outright, “The other firm is offering me more money to work for them”.

It is apparent, however, that over half of job switches (this figure probably rises to over 80% if you exclude involuntary job switches) involve an increase in pay and benefits.

We pride ourselves in being non-materialistic. Yet, with every evaluation, with every company transfer, why are we looking to increase the figures on our payslips?

My observations indicate that the need for money is not the biggest factor on why people switch to higher paying jobs. The law of supply and demand holds true even for jobs, and everywhere, market rates will always reflect the current state of a particular position. In fact, almost 90% of white collar workers could make do with a lot less than they are currently receiving.

Rather, it is the implied increase in personal value that is the primary motivation for us to keep chasing bigger and bigger paychecks.

Everybody wants to be somebody. Even in the biggest companies, each person wants to be treated like his presence makes a difference to the success of the firm. In most cases, however, employees feel that the only representation of their value to the company is in the form of a piece of paper - their paycheck.

This perhaps shows why the larger multinational companies, whose managers’ personal contact with the employees are limited, experience higher turnover than smaller, more personal workplaces.

The need to be recognized may also be the reason why employees who miss a promotion they think they deserve, or feel stifled without an increase in scope or responsibilities are the most likely to leave an organization. In a way, they feel that the company no longer values them as much as their peers.

The next time your boss (or potential employer) asks you why money counts, remind yourself about your own personal value and why YOU count.