We’re all used to being told that white-collar workers have an advantage in the world because of their higher-paying jobs. It seems that even their advanced degrees and spacious offices can’t protect them from the pitfalls created by this economy and job market, though.
According to research conducted by New York University’s School of Professional Studies and Burning Glass Institute, the white-collar workers society has idealized for decades now are actually losing thousands of dollars because of a crisis few talk about but many experience. These employees are, essentially, stuck.
White-collar workers are facing what experts call a ‘mid-career stall.’
The researchers described this kind of stall as “a period of five or more years with no meaningful promotion and negligible wage growth.” 24.2% of employees who are considered to be “mid-career,” or 10 to 15 years from the beginning of their professional experience, have been hit with this unfortunate stall.
A CBS News analysis of the research noted that this lack of mobility can add up to tens of thousands of dollars less made over the course of a career, as well as other work- benefits being diminished.
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Carlo Salerno, an economist at Burning Glass Institute and one of the authors of the report, said this creates a vicious cycle by also taking away opportunities for development and leadership that are needed to advance in your career.
The phenomenon is present across all industries in the workforce, but appears to be most prominent in public administration, real estate, utilities, manufacturing, and wholesale trade. Loss of opportunities also varies by location.
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Salerno said this problem for the white-collar workforce is indicative of the labor market as a whole.
It is, admittedly, hard to feel terribly bad for these people when there are a lot of other workers facing unemployment and bringing in no paycheck at all, but Salerno seems to think that’s the point. The market actually looks pretty good if you’re just focused on the numbers, but that’s not the experience individual workers are having.
The unemployment rate currently sits at 4.3%, which is much better than it’s been in the past. Industries like healthcare and retail are actually adding new jobs. However, Gallup data showed that 49% of Americans feel like they are struggling financially, and only 28% thought now was a good time to find a new job.
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Salerno said that this makes the mid-career stall feel like even more of a betrayal. “Stalled workers are doing everything society asked them to do,” he stated. “They got a degree, tried to build a career and stay employed, yet somehow they stop moving forward. This is why it’s a hidden crisis, because none of these things show up in unemployment statistics.”
Apparently, companies are also hurt by the stall because workers aren’t being used as efficiently as they could be. It’s no surprise that companies are also responsible for the problem in the first place, though, since they aren’t offering as many promotions and it’s harder to job hop these days.
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People who have felt the stall themselves had their own theories about why things looked so bleak.
One Reddit user argued this is not breaking news by any means. “Upward mobility has been dead for decades for all but a select few,” they said. Another commenter pointed out that older workers no longer have the money to retire and vacate their jobs for new employees to take on.
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What seemed most upsetting, though, was Salerno’s advice that those who were stuck simply learn new skills so they can improve their chances of moving up. “Wow, thanks!” one Redditor said. “Didn’t think of this!”
The mid-career stall is certainly unfortunate. But, given how many people feel like they’re struggling with the cost of living right now and the way recent graduates can’t even find entry-level positions, it’s easy to wonder if this really is the most pressing issue facing today’s workforce.
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Mary-Faith Martinez is a writer with a bachelor’s degree in English and Journalism who covers news, psychology, lifestyle, and human interest topics.
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