Should you be loyal to one company?

Hey folks,

Have you ever wondered whether by staying at a company for too long, you’d be missing out on other possibly better opportunities?

Back in the day, people used to tenure at companies for 10, 20, even 30 years. They were called lifers. Today’s market is very different. You’d be hard pressed to find someone that stayed at a company for more than 10 years.

What got me thinking about this was a chat I had with a recent client prospect, who’s a senior strategy manager for a large social media management SaaS company.

His thinking was (and this is just part of the story) that moving companies might be the way to go for a sizeable salary boost. In his mind, it didn’t pay to be loyal to his company.

I’m sure a lot of you share this opinion - after all, why should you stay at any one company when they’d likely lay you off anyway if things got tough.

When it doesn’t pay to stay

For a while there, it seemed like moving companies every two to three years was the ticket to nab those big salary bumps (I’m talking 10%+ percent salary increase just by switching to another company).

If you hit a ceiling at your current company, no problem. You didn’t even need to move into a more senior role - just find the same job at another company and you’ll probably make more money.

The potential benefits of leaving

While that’s not so much the case in 2024 because of the oversaturated market, it can still pay to leave, such as when don’t believe in the company’s vision or its products or when you’re no longer being challenged mentally.

In 2020 and 2021 when companies like Facebook were going crazy and hiring people left and right, the rewards were big. It was common for software engineers making $110,000 at one company to be offered $125,000 at another, for the same job and level of responsibility.

In this market though, you’re gonna need to temper those expectations. There’s still room for growth, but it’s not in salary as much as it is in furthering your skillset, finding a better cultural fit, and strategically setting yourself for long-term growth.

Maybe you move to another company and get to work with a new tech stack, or you’re tired of being micromanaged by your current boss. In both cases, it’s more than just about money.

Do your research before you move

Just because it's a tougher market doesn't mean the door to better opportunities is closed. That said, you need to be smart about it. Don't jump blindly based on assumptions. Know your worth.

Do your homework on salary ranges for comparable positions. Some of favourite salary research sites 👇

• Salary.com

• Levels.fyi

• Comprehensive.io

And with fewer jobs on offer, be selective. Target the right companies. Focus on healthy companies positioned for growth. Research their financials, recent news, and try to get insider perspectives on their culture through networking (I like using LinkedIn to do this).

An ideal offer might take longer to materialize too, so be patient, and be prepared for a longer search process - have a financial buffer ready so you don’t get crunched for cash.

Ultimately, you can’t control the market. But you can increase your appeal as a candidate. A few ways you can set yourself apart and make the move go smoother:

• For some fields, certifications can make you immediately more attractive. Examples include the PMP certification for project managers or the CPA certification for accountants.

• In a market where a lot of jobs aren't publicly advertised, your connections matter more than ever (this is what some people call the hidden job market, and despite what some recruiters may tell you, it is a thing). Proactively reach out to former colleagues, recruiters, alumni networks for advice and potential hidden opportunities.

• Take the extra time to really tailor your resume and cover letter for each application. Bland applications get no responses.

• Even without an immediate job on the horizon, practice your interview pitch and negotiation skills.

Lastly, consider a side hustle

If you don’t like your current job, but can’t find one that fits with what you’re looking for, consider freelancing.

Depending on your skillset, taking on small side projects while searching for a full-time job has its benefits. You'll continue to build your experience, potentially explore different niches within your field, and have some income to supplement your search. Upwork, Fiverr, LinkedIn, and Freelancer are decent starting places.

My Final Thoughts

There's no one-size-fits-all answer to whether staying or leaving is the right move. There are a lot of factors you need to consider, such as your financial needs, career goals, and even your personal risk tolerance.

Switching companies can be a smart play, but only if you approach it with eyes wide open about the current market, invest in yourself continually, and don't rely on quick wins.

I'd love to hear from you. Do you think loyalty has a place anymore? Have you strategically switched companies and seen a positive impact on your career? Email me at [email protected]!

Snippets from Around the Web

Reader Questions & Comments