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I've discovered this at my current job. I worked tons of unpaid overtime (I'm salary), did everything I could get my hands on, I was getting compliments from upper management, my reviews were stellar, etc, etc, and my raise was 3%. My rent went up more than my paycheck did. After that, I started doing only the bare minimum. Some days I even play some Xbox in the afternoon to kill time. My latest review was excellent, and I got a 5% raise. They can go fuck themselves. I'm not going to work any harder for this company than I absolutely need to. Working less got me a bigger raise.
I've noticed with each increase in my income, the work has gotten easier and easier to do. The opposite result of what I have been told to expect. We have nothing in common with a meritocracy.
Food for thought: I bet you were happier when you were working less and taking time. Good things (career wise) seem to find happy people.