There are a lot more new jobs. People see that the market is starting to pick up. The grass is always greener.

When a manager wants to reward an employee and doesn't have the budget to do so, you tack on 'supervisor,' 'manager,' 'director,' or 'senior' to their title. But the problem then arises that you've given someone this 'manager' title, but they don't manage. You've created a disconnect between what their title is and what their salary should be.