[beagle3]

I am amazed at how many people have your response. If you are looking at a timescale of days, you are right. If you are looking at a timescale of just a few years, you are dead wrong.

The employer down the road was profitable paying 13,000 SEK for an employee like you just yesterday. They know you're still getting 10,000 SEK. When they need an employee, they'll offer you 11,000 SEK. Many people will happily switch job for a 10% raise. Later, rinse, repeat: It will eventually converge to how much the employer was willing to pay before. Not more, of course - but why would YOU settle for less than you did before?

The time it takes salaries in high-tech to converge in active economic times is 2-4 years.

I'm talking about the steady state, the transient is short lived and irrelevant in the grand scheme of things.

It really is basic economics.