Pretty much what the title says.
I have (had) a co-worker who crossed his 10 year mark with the company last month. As per company policy, the final bump in pay and PTO is at the 10 year mark. He is now making the most money he will ever make with this company. He could stay for another 10 years and will not get another raise after this one.
This last week, he put in his resignation. When HR asked him why he’s leaving, he them that he has no incentive to stay with the company. He said that because he can’t get anymore raises from this employer, the only way for him to make more money is to go to a different company.
He is using this most recent raise/benefits bump as a bargaining chip when negotiating wages at the next company. He took an offer with a company who is giving him 15% raise from his now maxed out income and apparently they are matching all of his other benefits.
Moral of the story: companies who are removing pensions and putting caps on income/benefits after a certain point, are encouraging their most loyal employees to leave the company.