Comments on: “What are your thoughts on taking a pay cut to land a more dependable job?”

By: J. Money

J. Money — Mon, 04 Feb 2019 19:50:52 +0000

In reply to Leanne. Life Raise! I like that, haha...

By: J. Money

J. Money — Mon, 04 Feb 2019 19:49:55 +0000

In reply to Suzie. Thanks for the input, Suzie. Glad to hear you're at a job you enjoy going into these days :)

By: Suzie

Suzie — Sat, 02 Feb 2019 15:29:26 +0000

In reply to Ngneer.

Several years ago I was working for a company that was very toxic. I stuck it out for a year because it paid more than my previous job that I had been let-go from. (Similar situation as yours, new regime, “cleaning house”) It is a very tough decision to make, and $4/hr less can be very big depending on how much you are making. But I agree with the logic that “hurt” now versus “catastrophic” later tips things towards jumping ship now and tightening your belt. Take the job, work your butt off and negotiate a raise next year. I can attest to the fact that the grass can be greener somewhere else (but not always). I am at a job now, been there almost 3 years, and am very happy. Good work environment, interesting job, enjoy what I do and don’t mind getting up in the morning to go to work. (Everyone would rather sleep in!) Don’t worry about jumping ship from the new job if a better opportunity comes along. These days job hopping is not frowned upon as it once was, especially if you are really good at your what you do.

By: Leanne

Leanne — Sat, 02 Feb 2019 11:29:40 +0000

Take the pay cut and enjoy the ‘Life Raise’!
BEEN being there ;) and doing much better, despite the ‘cut’. There’s no pound or dollar amount that can really compensate for working in toxicity…
Lx

By: J. Money

J. Money — Fri, 01 Feb 2019 23:22:54 +0000

In reply to Linda Meltzer. Thanks for jumping in here, Linda! Fascinating world you're in, and one I'd probably get eatin' up in, haha...

By: Linda Meltzer

Linda Meltzer — Fri, 01 Feb 2019 13:05:56 +0000

Great question..and one familiar to me during my days on Wall Street.
Yes, there are such things as pay cuts on the street.
For me, the issue happened in different situations.
When first started at a bank, and made a switch to another with greater upside opportunities, the relatively small cut came with modest benefits….more training, better management, and they paid for a chunk of my MBA, so I leveled out but my personal expenses were low.
The bigger challenge came at a much higher level as a sellside analyst when my firm decomposed (BZW) and I took a major cut to go to a startup investment bank rather than take a position at a blue shoe old line firm.
Hard decision, but a chose the start up, the significant cut in compensation but was young enough to take risks. I worked really hard at the new firm and it took two years or more to catch up to what I was making. There was no guarantee that the firm would stay alive so luck was on my side.
I finally did catch up but learned about reducing costs, traveled less (in part because I was working 24 x 7) and oddly, the other firm closed after more than 100 years on the street (not Lehman!)
There are benefits to going with your gut!
Linda

By: Paul

Paul — Fri, 01 Feb 2019 00:01:49 +0000

At one point in my career I also took a step back and accepted a $12,000 a year pay cut. Best decision ever! The cut in money definitely hurt, but my mental stability was at stake and I wound up recouping those missing funds over the next two years in the form of salary raises.

From my perspective, you’ll spend 8+ hours a day in a job. If you get good money but are miserable what have you got?

By: J. Money

J. Money — Thu, 31 Jan 2019 23:40:56 +0000

In reply to Abi. Wow - nice!!!

By: J. Money

J. Money — Thu, 31 Jan 2019 23:40:07 +0000

In reply to Steveark. Love the tough love and insight - thanks for taking the time, man.

By: J. Money

J. Money — Thu, 31 Jan 2019 23:38:20 +0000

In reply to SL. Good point about the dependability! They also realize your worth in most cases I find too!