This phenomenon might explain why you won’t leave a career or job you hate
Have you ever thought to yourself, “I really dislike – or hate – my career or job, but I’ve invested so much money, time, and effort into it that I can’t abandon it. I can’t just give up what I’ve built over years or decades and do something else. That would be a complete waste. I’d feel like a failure.”
If so, you are suffering from what’s known as the Sunk Cost Fallacy.
What is the Sunk Cost Fallacy, and why does it happen?
According to The Decision Lab, “The sunk cost fallacy describes our tendency to continue to pursue an endeavor that we have already committed to in terms of investing money, time or effort into it, even if those costs are not recoverable.
The sunk cost fallacy occurs because our emotions often cause us to deviate from rational decisions. Abandoning an endeavor after committing to it and investing resources into it is likely to cause negative feelings of guilt and wastefulness. Since we want to avoid negative feelings of loss, we are likely to follow through on a decision that we have invested in even if it is not in our best interest.”
How can you avoid (or recover from) the Sunk Cost Fallacy in your career?
First, acknowledge that you are susceptible to this phenomenon. Have you ever purchased a movie ticket and 30 minutes into the film thought, “This movie is terrible, but I can’t just leave. I spent $10 on the ticket and don’t want to waste that money.” Or have you ever kept reading a book you dislike because you’ve already read 50 pages and you feel like stopping would be a waste of the time you already put into it? Of course you have. And if you’re susceptible to the phenomenon in general, you’re susceptible to it specifically in your career – where the costs are much higher.
Second, assess your situation by asking yourself these questions:
“Irrespective of past costs (which I can’t recover), what is better for my future-self: continuing in a career or job I dislike (or hate), or pivoting to, and investing in, something else that gives me more energy, makes me happier, allows me to have a bigger impact, and helps me achieve my personal and professional goals?”
“Should the decisions I made 5, 10 or 20 years ago be allowed to restrict what I do in the future? Restrict my agency? Restrict my freedom?”
“What will feel worse, abandoning a career or job I invested heavily in but that no longer serves me, OR continuing to work in that same career or job I dislike for the rest of my professional life?”
“Knowing what I know now, if I had to do it all over again, would I make the same career or job choice?”
Finally, act to make your present and future circumstances better. If, after setting your emotions to the side and having thought rationally about your past investments/costs, and your future desires and needs, you recognize you are a victim of the sunk cost fallacy, start taking deliberate steps to pivot towards, and invest in, a career or job that better serves you.
You only have one life. Don’t double down on your commitment to a career or job that is no longer in your best interest. Don’t let your emotions anchor you to investments that no longer serve you.
🗝 Making career decisions based on desired outcomes rather than past costs is a better use of your money, time, and effort.
[This article was originally published on LinkedIn on 6/12/23: https://www.linkedin.com/pulse/phenomenon-might-explain-why-you-wont-leave-career-bill-leonard-mhrm/?trackingId=ku2W9LzkS1Shx53SfqRWgQ%3D%3D]