Faced with a tight labor market with large waves of layoffs and a reduced hiring rate, many will wonder whether or not it is a good time to change jobs and if doing so could represent greater salary benefits.

Although the fear of becoming unemployed has increased in recent years due to economic uncertainty, a Bank of America report revealed that it could be a good opportunity for younger generations.

According to a survey developed by the banking institution, generation Z had a salary growth four times greater than that of other generations, for example, millennials, whose salaries only grew twice as much when changing jobs.

The analysts highlighted in the report that “if the labor market continues to recover, we could see an increase in the wage premium for changing jobs, especially given that it is currently lower than before the pandemic,” they said, while adding that the increases would be even smaller than those that occurred during the “Great Quit.”

On the other hand, in the Bank of America report it was known that the tendency to change jobs occurs mainly in the younger generations, since it is profitable for them compared to others. According to the entity, in the first three months of this year, one in four people belonging to Gen Z changed jobs; this is 10% more than millennials and more than 30% than baby boomers.

For their part, generation

Finally, the analysis highlighted that people who lost their jobs in the face of a more competitive labor market settled for lower salaries. “It could also be because, in an environment of low hiring and layoffs, companies feel they have less reason to pay higher salaries to those who change jobs,” says Bank of America.