Job-hopping: Path to success or red flag?

SINCE joining the workforce in 2014, Naomi Goh has held five different jobs, most for a year or two. This has proved more than worthwhile for the 33-year-old – according to her, each move gave her more growth opportunities, as well as a better work environment and sense of fulfilment. 

Another pay-off was the trebling of her salary, as she jumped from the public relations industry to tech. 

“I originally thought I would get a job and stick with it – not staying in my first job showed me what it was like in the ‘outside’ world,” Goh says. 

“With every change, I learned more about myself and my career priorities. There are only so many times you can move in the first part of your working life while still having the requisite mental agility to rebuild your credibility every time you take on a new role.” 

For quite some time now, many workers like Goh have turned to job-hopping as a means to gain more experience, seek greater job satisfaction, and hopefully fast-track their career. 

Experts say the tide is also turning for employers, who historically view job-hopping as a red flag. Still, they warn that some downsides persist, especially in today’s economy.

Rise of shorter tenures

According to Qualtrics’ 2024 trend report on employee experiences, the majority of new hires with less than six months under their belt do not intend to stay at their current job for more than three years. 

Mark Maclean, HR transformation leader at Deloitte Consulting South-east Asia, notes that job tenures are getting shorter among younger workers. For instance, the global average job tenure of baby boomers, born between 1947 and 1964, is a decade. Meanwhile, for millennials, born between 1981 and 1996, it is 2.8 years. 

“In the past, three to four years was considered a reasonable job tenure,” he says. “Now, employees, especially the younger generation, believe that one to two years is sufficient for them to maximise their learning in a given role.”

Career coach Cindi Wirawan says those who remain in a company for over a decade may even be described as a “dinosaur” or “piece of furniture”, particularly if they have yet to progress to a senior level in that time.

An Ipsos survey published in January found that 29 per cent of the island’s workforce intends to leave their current employer in under two years. This is nine percentage points higher than the global norm. 

Those aged 18 to 24, in particular, have a substantially higher intent to leave in under two years – at 47 per cent. Between 30 and 50 per cent of employees who say they will leave, do so.

Hopping to success

Reasons for job-hopping differ, says Wirawan. 

The career coach says some clients job-hop to accelerate their career growth through an immediate promotion or by taking on a role with a wider job scope. Others could have been headhunted or followed a boss to a new job. They may also change industries or move from a startup to a multinational company, or vice versa. 

Work-life balance is another push factor for job-hoppers, says Lim Chai Leng, general manager at recruitment agency Randstad Singapore. 

According to the agency’s 2023 employer research report, 41 per cent of Singaporeans said they would leave their current jobs for better work-life balance. Some 38 per cent of Singaporeans also cited low compensation and rising cost of living as reasons for leaving a job. 

And the biggest draw: more money. 

In the Ipsos survey, 45 per cent of employees said they intended to leave their jobs in the next two years over pay and benefits. This was the leading reason by far across all demographic groups in Singapore.

“Statistics from compensation reports in Singapore show that the average increment amount is in the low single digits, whereas increments for changing jobs tagged to hot skills can be in the low to mid-double digits,” says Deloitte’s Maclean. 

Expat consultancy ECA International predicts that workers in Singapore will see their salary grow 4 per cent in nominal terms this year, consistent with last year’s rate. But after factoring in inflation, the forecast real salary growth for 2024 is just 0.5 per cent. 

Job-hopping, on the other hand, often results in higher wages, since individuals may have more leverage to negotiate for better compensation from new employers, says Danny Tan, commerce contract consultant at Robert Walters Singapore. Job-hoppers can typically snag pay raises of 10 to 20 per cent. Sometimes this can go up to 30 per cent or more. 

Jeffrey Ng, Michael Page Singapore’s regional director, adds: “The recent layoffs in the market have shown employees that there is not much loyalty in the market, and they should be more proactive in their career development, as opposed to waiting for their companies to develop them.”

More than just money

While job-hopping could yield higher wages, it is crucial to consider other factors, says Tan of Robert Walters. “Being loyal to a company still holds certain advantages, like long-term career development, mentorship, and a sense of stability.” 

“Without completing a full year in an organisation, regardless of seniority, talent may not have the full grasp of how to plan and execute strategies as well as measure outcomes that have a direct impact on the business,” adds Randstad’s Lim.

Frequent job changes may also spell trouble for potential employers, points out Andrea Tan, rewards advisory leader at Mercer Singapore.

While job-hopping may provide individuals with breadth of experience across different industries and roles, she notes that it can also limit their ability to develop deep expertise in a specific field or deep relationships that can provide “valuable insights, mentorships and future career opportunities within a specific industry”. 

Furthermore, job-hopping is not the only way to bump one’s pay. 

Although it can be the fastest or the “easier way” to get a salary boost, Wirawan says there are other methods, such as stepping out of one’s comfort zone to take on new tasks or learn new skills. 

“Sometimes, being open to opportunities and speaking to headhunters will raise your awareness of your market rate,” she adds. “When done well, you can use such information or even other offers to negotiate a better pay with your existing company.” But she warns that this could backfire if done poorly or at the wrong time.

In any case, job-hopping may no longer pay. 

Linda Teo, ManpowerGroup Singapore country manager, says pay raises today tend to be “muted” and are not always guaranteed with a change in jobs, especially in the current economic climate.

Latest data from the Ministry of Manpower show retrenchments in Singapore more than doubling in 2023. Employment growth has slowed for both residents and non-residents, following 2022’s sharp post-pandemic rebound.

There was a surge in hiring in the past few years, as global markets opened post-pandemic and companies “scrambled for talent to support their business growth”, she says. Job seekers had more leverage then to negotiate for a higher salary, since companies were willing to pay more to get the talent they wanted. 

“However, with hiring sentiments more subdued since early 2023, getting a big pay raise by switching jobs is unlikely for many workers today,” says Teo.

This is also industry dependent, Lim from Randstad highlights.  

For instance, Singapore’s logistics sector is looking to improve salaries and employee benefits in a bid to entice talent, says Lim. Meanwhile, salary increments for software engineers – who have traditionally been in high demand – are decreasing as companies take a more “cautionary hiring approach” in 2024.

Ideal candidates

For many recruiters and hiring managers, whether a candidate has a history of job-hopping is but one of many considerations in the hiring process.  

“There is no one-size-fits-all approach as both CVs with diverse experiences and those with longer tenures can bring value, depending on the requirements of hiring managers and the role,” says Tan of Robert Walters. 

Someone with a varied work history may have gleaned a broad spectrum of skills from different roles, for instance. It may also suggest their ability to navigate diverse work environments, industries, and challenges, he says. 

Meanwhile, those with longer tenures but fewer experiences may show a deeper understanding of a particular industry and skill set, says Tan. “Staying for an extended period may (also) be seen as dedication.” 

Organisations in the past may have had a preference for such long-tenured workers, notes Deloitte’s Maclean. But these organisations have now shifted their focus towards skills-based hiring – they look for “demonstrated functional proficiency, leadership capabilities, culture fit, as well as learning agility or having a growth mindset”, he says. 

“Talent acquisition at the mid-career to senior levels is more complex, and recruiters pay more attention to the reasons for short tenures,” adds Maclean. “There may be reasonable explanations such as economic cycles or retrenchments, whilst balancing the need to ensure that the candidate has staying power.”

Ultimately, recruiters and employers want to see logical progression and consistency in an individual’s career with a “clear narrative”, says Lim of Randstad. 

Instead of viewing job-hopping as a “mere market phenomenon”, Mercer’s Tan says organisations and leaders should “reflect on how to address the root causes of this issue and uplift retention challenges”. 

“Creating an environment that fosters employee growth, encourages continuous upskilling, and provides a clear and promising career path, with continuous awareness of career progression is crucial to minimise job-hopping,” Tan adds.

Tips for the serial job-hopper

Job-hopping may be a norm now, but not all hiring managers or recruiters are convinced. Here are some tips for the job-hopper on how to allay doubt and scepticism as they hunt for their “perfect fit” job.

According to Christina Tay, senior career coach at Workforce Singapore, there are five main things job-hoppers can do to explain their history:

• Emphasise a quest for learning and growth: They can highlight their desire for continuous learning and professional development, explaining that they changed jobs to seek out new challenges and opportunities.
• Be truthful and professional: Job-hoppers should be prepared to answer tough questions during interviews, such as the reasons for leaving their last role and for changing employers multiple times over the past few years. In answering these questions, they should respond positively while remaining truthful and professional, without bad-mouthing previous employers.
• Use their resume to their advantage: Craft a “functional resume” that spotlights key skills and achievements, rather than using the typical reverse chronological format that may draw attention to the tenure at each job.
• Highlight their value: Job-hoppers can market themselves by sharing their relevant experiences and how these can contribute to the organisation.
• Show commitment: Some employers still prefer candidates who have shown commitment to long-term employment, especially for permanent positions. Job-hoppers can highlight their achievements, indicating how they strived and stayed committed in achieving such good outcomes.