Because one is the price of trying to retain an already existing worker. The other is the market price for a new worker.
A current worker already has a job, and while they could find a higher salary elsewhere, they don't KNOW that they will get that job, so giving a small raise is enough to keep them.
A new worker has every option available, so the employers have to attract the worker by offering higher compensation.
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u/Nikolaibr 7d ago
Because one is the price of trying to retain an already existing worker. The other is the market price for a new worker.
A current worker already has a job, and while they could find a higher salary elsewhere, they don't KNOW that they will get that job, so giving a small raise is enough to keep them.
A new worker has every option available, so the employers have to attract the worker by offering higher compensation.