The sunk cost fallacy: Understanding the psychological bias that hinders you from leaving a job you no longer desire
Switching jobs often generates fear, but in many cases resistance is not logical, but psychological. The sunk cost fallacy describes the tendency to cling to a job just because of the effort put into it, even if it no longer compensates or brings satisfaction. Recognizing this bias is essential for making rational decisions, avoiding stagnation, and regaining professional motivation without dragging burdens from the past.
### What is the sunk cost fallacy?
This cognitive bias was described by Amos Tversky and Daniel Kahneman in the seventies and popularized by Richard Thaler. It refers to the tendency to stick to a decision because resources have already been invested in it, even if the most sensible thing would be to abandon it. In the workplace, this translates into indefinitely postponing a job change just to not “lose” what has been invested in reaching the current position.
### The weight of loss aversion
The underlying factor of this bias is loss aversion. People often feel that leaving a job is equivalent to wasting years of training, effort, and sacrifices. Also, there is the social pressure: the fear of being seen as wasteful or inconsistent. As a result, even if there are clearly better alternatives, the decision is postponed, and the discomfort lingers.
### Consequences for health and well-being
A study from the University of Kansas with over a thousand participants showed that those who fall into this fallacy experience and tend to delay seeking professional help. Other studies warn that “having dedicated irrecoverable resources to a project does not mean sinking with the ship.” Ignoring this reality increases frustration, limits professional growth, and deteriorates mental health.
### How to break free from the psychological trap
The key to overcoming the sunk cost fallacy is to recognize it. Instead of focusing on what has already been invested, it is necessary to assess objective data and future scenarios. Taking an external perspective—consulting a mentor, analyzing the job market, or reviewing personal goals—helps break free from immobility. As highlighted by experts, the only way to move forward is to base decisions on real opportunities, not on the fear of losing what cannot be recovered.
