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Americans hoping for a promotion in 2025 should prepare to face stiffer competition.
Economic instability took a bite out of payroll budgets in recent years, and as employers finally find themselves in a position to start dishing out raises and promotions again, they’re expected to have their fair share of worthy candidates to choose from.
According to a recent survey of 2,000 employers by ZipRecruiter, most are anticipating stronger earnings this year, and intend to use some of those funds to increase compensation. Roughly 55% are planning modest pay increases of 1% to 4%, and about a quarter expect to bump up salaries by 5% or more. By comparison, nearly half of employers planned to reduce payroll budgets this time last year.
While that’s good news for employees, the significant swing in employer sentiment means many promotions have been deferred, and more employees are waiting in line for their next career advancement opportunity. At the same time, a weakened economy has resulted in less job-hopping in recent years, meaning there are fewer vacancies to fill.
“We’ve seen overall quit rates drop, and there’s not a lot of turnover within companies, so people are staying in their positions longer, meaning there’s potentially fewer spots available,” says Amy Garefis, ZipRecruiter’s chief people officer. “So, it’s even more important to stand out from a group of people that may be tenured, all vying for the limited promotion positions available.”
Here are a few key steps that employees can take to help their odds of getting one of those coveted promotions in 2025:
1. Don’t be indispensable
Those looking to move up the career ladder this year need to walk the fine line between effective and irreplaceable, says Garefis. Continue reading