One in three employees to change jobs if they don’t receive a pay rise
Rebecca Gowler, February 06, 2015
More than one in three (39%) UK employees will be looking for a new job if they don't receive a pay rise in the next 12 months, a survey by Glassdoor has revealed.
The Glassdoor UK Employment Confidence Survey calculates that 12 million people could potentially change jobs in 2015, which could add up to a possible recruitment bill of £360 billion for British businesses.
However, 35% of employees are confident about getting a pay rise. Almost half of those (48%) confident of a pay rise are expecting an increase of 2% or less, which is four times the UK’s current rate of inflation (0.5%).
Glassdoor career and work expert Jon Ingham said: “With around half of employees not expecting a pay rise and a third saying they’ll be looking for new jobs if they don’t get one, it seems like many employees are prepared to move on.
“If these 12 million workers are on the lookout for better opportunities, expect this to spark a flurry of job moves, which is good for recruiters, but bad for employers’ bottom lines.”
When asked about negative workplace changes, 36% of those affected said their employer had reduced pay and bonuses. On positive changes, 49% cited new company benefits such as flexible working.
Commenting on the results, Penna head of career development Steven Ross said retention was becoming a major issue. “With reports of more vacancies than those job hunting at the moment, the pendulum seems to have swung back in the employees' favour,” he said.
Separate research from Penna found that ‘lack of career opportunities’ is the main reason for employees leaving, with more than 50% resigning due to perceived lack of development.
Ross added: “Businesses need to consider what they can be offering employees as an incentive to stay – and it doesn’t always mean pay rises. Could you offer a mentoring scheme or invest in learning and development technology? Salary isn’t usually the sole reason for talent to leave, so it’s important to consider what else can be done to encourage the best people to stay.”