I think its the best way to get a meaningful raise. Many jobs will promote you but still can't go more than 10% of your current base, max. While switching jobs you can net a lot more than that.
It's 7% at my company. Not even worth it since they expect a 15% increase in hours and increase your responsibilities. Hourly, it's actually a pay cut, even if the yearly comp goes up.
There is a flip side to this. As employees see this happen, they get jaded and stay in their position, then work less and less until they effectively get an hourly rate promotion.
