5 Reasons to Consider Taking a Pay Cut
Change in industry
Imagine you enjoy your job; however are finding that the industry you’re employed in has aspects that cause a negative impact on the job in question. Perhaps you don’t enjoy working in the public sector in places such as a school or local authority office. Other examples may be struggling to work in noisy environments such as factories or travelling between building sites. If you find a similar role in a sector that is more suitable long term, then taking that pay cut can be worth it.
If you’ve watched enough episodes of Friends, you may remember ‘The One with Christmas in Tulsa’ where Chandler quits his job without notice. This was largely due to the amount of time and distance he was forced to take from his wife and friends to keep his job. He goes on to pursue his dream aspirations in advertising without pay before finally being given a permanent role in ‘The One with the Lottery’.
This example is somewhat extreme, though it does show how a sacrifice in wages can lead to long term job value and satisfaction. It makes you consider that if the time isn’t now, when will it be?
A common reason employees consider leaving a job are a lack of change or ongoing training. Maybe your wages haven’t increased above inflation for some years with no future hope of doing so. In the event you find employment elsewhere which a reduction in pay, you should remind yourself of the opportunities that may be available. Perhaps you can move to other departments throughout the business, apply for roles with higher wages and accept training courses that were previously unavailable. In addition, there’s a chance that your job satisfaction may improve in the meantime.
Let’s say for whatever reason you’ve realised that your job isn’t something you can continue doing. One evening you sit in front of the computer or laptop searching for work when you see what would be the perfect job. It has everything you’ve been looking for, is set in the right sector and you seem to be the right person to do it. But oh wait… the wages are somewhat lower than what you’re currently earning.
If you find yourself in this position, just think of your initial feelings when you saw the role and apply. In the event you’re offered the job and are still not sure, it can help to discuss the issue with family and friends. Furthermore, consider whether the hours you spend working each week would be improved by the role and whether that could out-weight the reduction in salary.
This is last on the list as for some it is a no-brainer, there are people out there that just don’t want to work for ‘the man’ or have always wished to be their own boss. However, for many it may be seen as a pipe-dream. Not only would you be taking a pay cut, you would also be risking your savings and livelihood entirely…
The mistake would be to leave it there. You really should look into your self-employment dreams further rather than question your decision not to pursue them later in life. Who knows what you could do!