Editor’s Note: Looking for current information on compensation in the Canadian nonprofit sector? Check out the 2017 Canadian Nonprofit Sector Salary & Benefits Study.
Imagine reading job ads on CharityVillage® and seeing a position advertised that is similar to yours — only the salary listed is five to ten thousand dollars more than what you are making in your current role. The million dollar question is: should you make the $10K leap?
Many people who read ads and news on CharityVillage® are already employed within the nonprofit sector, but may be looking for a slightly better job. The 2011 Canadian Nonprofit Sector Compensation and Benefits Survey, which collected data on over 16,000 employees in the sector showed, for example, that compensation tends to increase with the size and location of the organization. A host of other factors can come into play, as well.
There is no denying that most of us would welcome making even a little bit more money, but when you’re tempted to switch jobs for higher pay, the decision warrants some careful consideration. Is that $10K leap really worth it?
Is the grass greener?
Curtis (not his real name) took that leap a few years ago. His position as a human resources professional in a nonprofit organization that depended on government funds gave him inside information indicating his job would soon be at risk because of cutbacks to the sector. Newly married, with a mortgage and a baby on the way, Curtis enjoyed his role very much — but he had strong motivations for a good, secure income, and naturally he took the leap when he got the opportunity.
Several years in, Curtis’ experience has been mixed. On one hand, he has had new opportunities in his new role, which make him more marketable. He has a steady salary and the job security he was hoping for. He also has more flexibility, allowing him time with his young family.
On the other hand, the expected cuts in his old sector never materialized. In fact, his former colleagues are now making far more money than Curtis. He also has a much longer commute to his new job — something that has been very costly with recent spikes in gas prices. Changing employers also meant he took a financial hit in lost contributions to his pension.
“The grass looks greener on the other side,” says Curtis. “But it really isn’t. A new position may pay more, but if you have to buy a second car and pay insurance and gas, or move to a new neighbourhood — is it really worth making the change?”
Because Curtis was young when he made his move, he believes he will have time to recover from these setbacks. He advises anyone who is not financially stable or who is looking to retire in the next few years to think very carefully before making such a move.
He also says that everyone should do what he did not do: “Make a five-year plan and stick to it. Figure out where you want to go and who you want to be and don’t second-guess yourself.”
Five year plan
Lee-Ann Bainbridge had worked in human resources so she knew the idea of having a five-year plan. She decided early in her career that a middle management role would be the best fit for her skills, allowing her to advocate for staff and not be consumed with administration.
A few years ago, Lee-Ann took a leap that helped her achieve her goal. When an acting assistant registrar position came up at North Island College on Vancouver Island, Lee Ann took the position. The role eventually became permanent.
“Yes, taking the new job meant more money than I had been making in my role as an advisor,” Lee-Ann says. “But I made the leap because this was where I wanted to be.”
Lee-Ann had deliberately forged relationships with key administrators at the college, making sure that her immediate supervisor knew of her aspirations. When the interim position came open, the registrar, who knew Lee-Ann’s skills and goals, suggested that she apply.
“The pay in my new role is better and that’s nice,” says Lee-Ann. “But if I was going to be unhappy, I wouldn’t do it. It’s very simple. Your job is 40 hours of your awake time each week. It’s a big chunk of your life. You have to be happy.”
Why do you want more money?
Alan Kearn, founder of Career Joy, always asks clients what may seem a strange question: Why do you want to make more money? “The ‘why’,” he says, “has to be about more than money.”
According to Kearns, career satisfaction research says people often have financial goals — to upgrade their car, for instance — that lead them to change jobs in order to make more money. Once these short-term financial goals have been achieved, however, an increase of five or ten thousand dollars does not create ongoing satisfaction. An increase in salary does not always correspond with increased fulfillment.
In fact, Kearns’ studies show that the more money a person makes in an unfulfilling role, the more the person feels trapped. “It’s the golden handcuffs,” he says.
While we all would welcome more income, Kearns points out that all business is trade: a service or product exchanged for pay. He asks clients to consider why they should be paid more than they currently are. Some organizations are able to pay more for the same skills and experience because they have more resources, but for the most part, whether in the nonprofit or for-profit world, Kearns believes the exchange of skills needs to be a fair trade.
“People don’t give you more ‘just because’,” Kearns says. But rather than making a move to another organization, he reminds clients that they have a lot invested in their existing organization and advocates that people start where they are — and make a business case for an increased salary to their current employer.
“Being underpaid doesn’t feel good,” Kearns says. “Money can be a bit of an uncomfortable topic in the nonprofit sector and sometimes people get taken advantage of. Or they undervalue themselves and their skills and don’t get what they are worth.
“This conversation can be a testing point. If your manager isn’t hearing you, you can then choose to move forward to another organization. Likewise, if your organization doesn’t have the resources to pay you fairly for your skills and services, you may choose to move on.”
The next next move
Kearns advises clients not to look at the next move, but “the next next move”: to consider where a move would lead, what opportunities it would create, what the next step after that would be.
Lee-Ann Bainbridge’s goals were so clear that at times her next move was a step backward: when she first moved to Vancouver Island, she took on a few part-time jobs, including one as a cashier at the College. When another of her jobs offered her a full-time role, she turned it down because she believed that the College was where she wanted to be, and would ultimately be the best fit for her abilities.
Kearns says that eight times out of 10, unhappiness with salary is a symptom of a deeper need. It could be that the employer is not treating staff fairly and money is a tangible indicator of this, but it could also be that a job is not satisfying or that there are interpersonal conflicts and power struggles. He suggests that people considering a move really assess what’s behind their dissatisfaction before they throw away everything they have invested.
Working for less?
Sometimes, in fact, an assessment process might lead people to make a $10K leap — to make less money. Carol Froom, director of resource development of ERDO, moved a year ago from a large nonprofit to a smaller one. “I actually gave up a lot of material things…and a wonderful large team I hired and crafted,” she says. The reasons for her downward mobility were “to see my family more, get healthier, have time for other social activities and church ministry, and not drive 500 kilometres per week. The idea to leave came to a head for me as I nursed my mother through her illness and death, then had executor activities.” She notes, “It’s come with a pricetag: I’ve gone from being the vice president of a robust department to operating at a tactical level as a director. I could moan about having no assistant, no corner office, no reserved parking. But it wasn’t trading an apple for an apple, but making a conscious decision about what mattered most to me.”
Making any decision is a calculated risk — whether it is to stay in an existing role, to propose an increase in salary or to make the leap to another organization. At the heart of each decision, though, is an assessment of values: What am I willing to risk? What am I willing to risk it for? What cost am I willing to pay? What am I not willing to pay?
“I took the chance,” Lee-Ann says of her move, while Curtis notes, “If I hadn’t taken the risk, I might have always been kicking myself, wondering, ‘What if?'”
Sometimes, though, as Kearns says, “You can turn it around and make it better where you are.”
Susan Fish is a writer/editor at Storywell, a company that helps individuals and organization tell their story well. She has written for the nonprofit sector for almost two decades and loves a good story.
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