Job Options

[dunc0029]

Ok, I'm lacking an objective, informed observer to give me his/her opinion, so I thought I'd post here and see what people think. Making a long story short, I decided to "explore my career options". I'm fairly set on leaving my current position, although my manager may try to make me a fantastic offer to keep me ( I notified her by email today ). I have 2 leads. One is an internal position with the same company, in another department, that would jump me up 2 salary grades as a "Principal Data Migration Analyst". The other is with another company, which would cut my commute in half, and is a Fortune 100 company with stock options and the whole works. However, I have a few "handcuffs". First, I will be vested in a pension ( currently around 10-12k ) next September if I stay. Second, I get a bonus in March that will be about 7k this year. Third, my current employer is doing a mass-salary increase in April which could translate into a raise of up to 14%, but most likely up to 9%. I also "know what I'm getting" with my current employer - I can ask opinions of how my new manager is to work for, etc. I kind of like the idea of starting over at a new company ( hoping things are different there ), and just the LITTLE things about working close to home - spending less on gas, insurance, car repairs, getting home earlier/leaving later, being able to run home for lunch, etc. The outside position would be a Senior Development position. I don't have an offer from either one ( yes I am kind of counting my chickens before they hatch ), but I heard that the hiring manager was even going to track me down if I hadn't applied for the internal position and I have an interview for the external position in an hour. Both positions are with large healthcare companies here in Minnesota, so they are about equally "secure" with similar benefits.

Just wondering what others thought ( assuming the salary offers would be roughly equal )... thanks!!!

 

[Michael]

First, I will be vested in a pension ( currently around 10-12k ) next September if I stay.

If you take the internal position, you may still be able to vest in the pension plan next year. Thereafter, you would be increasing the size of the pension. How important this is depends upon how much you have saved for retirement in 401k, IRA, and taxable accounts.

 

[Brat]

Pay: Significant pay increases are just beyond the horizon, stick around until they are implemented. The pay offered by the other employer will be based, in significant part, on what you are now receiving. Employees actually make more money by changing employers as the 'bump' at hire is usually greater than internal pay increases. Max your starting pay.

Vesting: It is difficult to know the importance of the vesting, but if the other firm really needs and wants you they may offer a 'signing bonus' equal to your loss.

Managers: Moving within your own firm gives you the opportunity to learn about the manager's leadership skills. The manager in the new firm is difficult to vet. Better the devil you know than the devil you don't know (works both ways, by the way).

 

[nwsteve]

[quote However, I have a few "handcuffs".  First, I will be vested in a pension ( currently around 10-12k ) next September if I stay.  Second, I get a bonus in March that will be about 7k this year.  Third, my current employer is doing a mass-salary increase in April which could translate into a raise of up to 14%, but most likely up to 9%.  quote]


dunc0029
Brat has given you some good insight to the fundamentals of job change economics
It seems like you are in a market and occupation that both have solid opportunities in the future. Unless the job opportunity is the "job to die for", I encourage some vigorous work with the sharp end of the pencil.
You probability will have just as easy of time of changing job next Sept but you will not have put into your pocket a vested pension and a 14% raise.
The new job has to be either very lucrative, work you are dying to do or offer a life-style improvement worth leaping now versus in 9/10 months
good luck!
Nwsteve

 

[John Galt]

When I retired completely in June, 1998, I left behind
the most lucrative employment offer of my life.
More money/prestige/benefits just didn't do it for me any more.
I was convinced it was time. Turns out I was right.

JG

 

[Spanky]

Large health-care or medical device companies in the twin cities that I know are: United Health, Medtronic, Guidant, Boston Scientific, St. Jude Medical.

All are great companies.

I would choose the internal position because of the pension, benefits and familarity with the culture. Even though the other company may offer higher salary, the risk is higher since you have to demostrate your worth quickly. In addition, you will lose your pension and receive less vacations unless you can bargain for them. The only advantage, I see, is the shorter commute and possibly a more interesting job.

 

[gratefuled]

In a similar situation several years ago I was able to negotiate for a signing bonus in my new package equal to the size of the investiture and the bonus that I was abandoning at my old employer.

If you're at an appropriate place in the interview process you may want to float that idea to your contacts. It depends, but if they want you badly enough they may very well be willing to make you whole on those two components.

Ed

 

[KB]

After 19.5 years on the same account I changed employers. I did a pro and con list and balanced each item (salary, vacation days, benefits, retirement plan, bonuses) the new employer came out way ahead. When my current employer matched the salary, the new employer still came out ahead.

The only think they did not disclose and I didn't know to ask, was that any retirement benefits that I accrued could not be taken for 5 years.

SO here I sit with 2 years at the new employer hoping to retire in about 15 months. My choices are to ER and forfit my retirement accrual or wait another 21 months. I'll wait until I get close to ER to decide.

So my only addition to others coments are to factor in any delays in benefits.

 

[Spanky]

dunc0029,

Any update or decison?

Spanky