> Because it works? Only if you have people who crave stability more than they need/want more compensation or who are invested in the work with you (i.e. they

> Because it works? Only if you have people who crave stability more than they need/want more compensation or who are invested in the work with you (i.e. they find it _really_ interesting). Otherwise it just creates churn, as people need to leave to get much of a bump up and leave the next place next time they want a bump up too. So it only works overall if most people are in the "wanting stability" group. This is probably part of the driver towards contract work rather than perm: if you need to switch jobs regularly to keep improving your conditions, then why not have the extra flexibility and/or extra compensation of working contract?