Yeah I just show up to work and try to do a good job, so I can see how I'm not like them I guess. It really sucks having to change from a job I really liked to another just to keep up with inflation or get to the pay range they're hiring ln

This is the real reason. A universally beaten-down workforce is how you keep people working hard for the minimum pay. One new employee being paid more than the others from the get-go isn't anywhere near as damaging to the bottom-line as one employee getting a nice raise and inspiring the rest of the office to demand one as well. With the taboo against asking people how much they get paid, nobody will ever know that the new guy gets paid more, and soon enough even they'll get paid well under what they're worth with inflation constantly rolling away.

And we're just looking at salary difference with the new hire here. Hiring and onboarding the right person costs.

It also sadly risks undeserving employees getting raises and becoming much harder to dispose of, especially in jurisdictions where it's hard to fire people.

It's shit. Top talent and young people suffer for it.

Doing that at my new company. They're paying for my master's :)

In which case, who cares? If the person can do the job and is happy to do it for $5k less than a new hire and no training is required, you could be Pinocchio for all I care.

I've come to understand that but it's a foolish way of operating on their part

Yes, middle management gets a bonus for keeping costs down, so it's in their personal interest to refuse raises.

The one in charge of hiring gets a bonus for bringing in people because work needs to be done and there aren't enough workers.

The incentives make the system as it is. And good long term incentives seem to be few and far between.

I think that's the point where I'd start considering trying to find something else in the same company. If I can make lateral moves for pay raises, I'd prefer that to toeing the company line and hoping they're nice enough/like me enough to promote me

I had that happen to a team member (me as a manager). She came to give me notice, the pay jump was huge. 45k to 70k. I loved her and I tried to swing it with my boss, but the ultimate answer was no and she left. I hope she is happy now. She really was awesome and I wish she stayed working for me, but I'm happy for her. She was a single mom to 2 teenagers so there's no way she couldn't accept that money

The lower management people that I've worked with haven't been like that for the most part. I guess my frustration is mostly with the fact that the message of retaining people isn't getting to the people who make decisions on things like that

One less year is not a compelling reason to stay either. 2 weeks << 9 years

Shitty companies will never care about things which can’t go on a spreadsheet or entry in their earnings report.

But I agree.

Small business with one person leaving having a catastrophic impact, sure.

Giant corporation, one person can't tip the scales, regardless of skill and knowledge.

And the sapped productivity from existing employees training the new employee