Wage growth is doing something odd these days.
Typically, wages grow at a faster clip each year for workers who switch jobs, compared to those who stay in their current role.
That makes sense: Workers generally leave a job when they find something better for them, which often includes a higher salary, according to labor economists.
But in 2025, the roles have reversed as workers, faced with a souring job market, shift from job-hopping to “job hugging” — that is, clinging to their current roles.
Annual wage growth for so-called “job stayers” has eclipsed that of “job switchers” for the past six months, since February, according to data tracked by the Federal Reserve Bank of Atlanta.
