Nearly 1 in 4 white-collar workers is stuck in a mid-career stall, new research finds

Almost one in four white-collar workers is experiencing a hidden professional crisis: a "mid-career stall," defined as at least five years without a promotion or meaningful raise, new research shows.

The costs of a mid-career stall can translate into tens of thousands of dollars in lost wages, plus other benefits that come with career progression like retirement security, the researchers from Burning Glass Institute and New York University's School of Professional Studies found. 

The study, which tracked 1.3 million mid-career professionals across a range of industries over 25 years, determined that 24.2% of mid-career professionals are stalled in their workplaces. The researchers defined "mid-career" as the period roughly 10 to 15 years after a worker starts their professional career.

"People start to feel trapped. Stalled workers are doing everything society asked them to do. They got a degree, tried to build a career and stay employed, yet somehow they stop moving forward," Burning Glass Institute education economist Carlo Salerno, the report's lead author, told CBS News. "This is why it's a hidden crisis, because none of these things show up in unemployment statistics."

Salerno said the findings reveal a split between a labor market that looks healthy on the surface and the experience of workers who remain employed but are no longer climbing the corporate ladder or receiving the pay and benefits that come with advancement.

"Workers lose out on higher raises and bonuses, but they also miss out on valuable project experience, and not getting leadership experience," Salerno said. "Then you add those together and find yourself in a situation where you have lost access to things that you would use to grow a career." 

What causes a career stallout?

Persistent structural labor market problems are working against employees' upward trajectories, Salerno said. 

Organizations have become flatter, offering fewer opportunities for advancement than they did a generation ago. Workers also have fewer chances to move up by switching companies or relocating, he said.

"The stall isn't one singular event; instead, it's a bunch of small structural warning signs that show up much earlier than the event happens," he explained. 

The costs of staying stuck

There are financial costs to remaining stuck in place, though they vary by field.

The average stalled software developer misses out on $43,000 in wages over 15 years, researchers found. The costs to administrative workers are generally smaller because they offer fewer opportunities for advancement and don't pay out big bonuses, for example. 

"They don't have huge career ladders, so they stall and persistently lag behind," Salerno said. 

Stall rates vary dramatically across industries, ranging from a low of 20.7% in information technology to a high of 30.2% in public administration. 

Here's how different sectors' stall rates compare:

• Health care and social assistance: 21.8%
• Transportation and warehousing: 23.1%
• Professional, scientific and technical services: 23.2%
• Educational services: 23.4%
• Management of companies and enterprises: 24.8%
• Finance and insurance: 26.6%
• Wholesale trade: 26.9%
• Manufacturing: 27%
• Utilities: 28%
• Real estate: 28.9%

If you find yourself stalling out, intervene immediately, Salerno said.

"Look at what the skills workers who aren't stalling out have, like presentation, communication, or leadership skills that give them more flexibility to pivot out," Salerno said. "Figure out what skills you need to get off the ladder that shortened on you and onto the next ladder over." 

Employers also pay a price when workers' careers stall, he added.

"There's a lot of talent that could be working more effectively, and it's a missed opportunity for employers," Salerno said.