Job-hopping boosts wages to three-year peak, possibly aided by Trump legislation
A Bank of America study shows that workers who changed jobs in July earned about 15% more, while those who stayed saw only a 4% rise. The gain is especially strong for Gen Z, whose pay jumped nearly 20%.
July figures from a Bank of America study reveal that employees who changed employers received roughly a 15% pay boost, dwarfing the 4% increase for those who remained in the same job. The surge was greatest among 18- to 30-year-olds, whose compensation rose by almost 20%, whereas workers aged 62 to 80 saw the smallest benefit. The analysis cites the One Big Beautiful Bill Act, championed by Donald Trump, which removed an overtime tax and appears to be fueling wage growth for lower-paid workers.
Hourly employees also experienced notable gains when they switched jobs. With inflation staying above 3% and gas prices over $4 per gallon, even a $200-$300 monthly raise can ease household budgets, especially as a recent Self survey found many consumers have little or no money left after expenses.
Why it matters
Higher wages from job changes can help workers offset rising living costs and inflation.
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