'Concern' over pay as young people switch jobs less often
The earning potential of young people has been hit because of a slowdown in the number of times they change jobs, a study has found.
The frequency of job switching has been falling over the past decade, particularly among young workers, despite the recent growth in employment, said the Resolution Foundation.
Research by the think tank suggested that young workers' pay would be 3% higher if job mobility had not slowed.
Hourly pay for 22 to 29-year-olds only recovered last year to its level in the year 2000, said the report.
Laura Gardiner, senior policy analyst at the Resolution Foundation, said: "Frequent job moves are the main route to the rapid pay increases young people should experience as they begin their working lives. So it is a real concern that job switching slowed down for all groups, and particularly for young people, even before the recession hit.
"Unpicking the reasons why young people are staying put in their jobs for longer is crucial to understanding whether job switching can return to its previous level, or whether we are seeing a 'new normal' of fewer job moves and subsequent slower pay growth for generations to come."
The study was published ahead of the latest unemployment figures on Wednesday.