Companies that made it through the pandemic in one piece now have a major new problem: more than a quarter of their employees may leave.
What's happening: Workers have had more than a year to reconsider work-life balance or career paths, and as the world opens back up, many of them will give their two weeks' notice and make those changes they’ve been dreaming about.
“The great resignation” is what economists are dubbing it.
Surveys show anywhere from 25% to upwards of 40% of workers are thinking about quitting their jobs.
"I don't envy the challenge that human resources faces right now," says Anthony Klotz, an associate professor of management at Texas A&M University.
Anumber of colliding trends are driving the resignation boom, experts say.
University of Michigan economist Betsey Stevenson tells Axios, "People have had a little more space to ask themselves, 'Is this really what I want to be doing?'" So some are deciding they want to work fewer hours or with more flexibility to create more time for family or hobbies.
Others are considering switching careers entirely.
A cruise ship staffer trained and pivoted to work in a data center because the pandemic showed her the volatility of her industry.
An insurance broker and her restaurant manager husband both left their jobs to start a landscaping company because they realized during the pandemic that they wanted to spend more time outside.
Some are quitting because their bosses won't let them work from home post-pandemic. Others are leaving because they miss their offices, but their companies are now hybrid or all-remote.
"A lot of people who want to go back are finding that the office that they come back to is not the office they left behind," Klotz says.
There's not much firms can do to hold onto employees who want to switch fields. But human resources may be able to retain some workers by offering as much flexibility as possible, says Cathy Moy, chief people officer at BDO USA, a financial services company.
But, but, but: The big churn could ultimately be good for workers and employers.
Zlatarog on June 15th, 2021 at 19:57 UTC »
Got hired at a new job literally yesterday that is 100% remote, tons of benefits, and 75% increase in pay from my current shithole. My current boss allowed no remote work throughout the pandemic. Claims we are "essential" business. Bruh we have 4 people working here total. The US economy won't collapse if we fuckin work from home. Glad to go to greener pastures
TipMeinBATtokens on June 15th, 2021 at 17:54 UTC »
This is the best time to look at your opportunities in a while. So many places are desperately trying to hire around here. Many have increased their offer rates trying to lure workers in. A hotel near my parents in a summer town was offering people $20/hr on top of a $3000 bonus if they stay the entire summer. That's barely scratching the surface. Almost everywhere has hiring banners, its kind of crazy.
It won't last much longer than three or four months if or when the unemployment extensions end in September.
TaskForceCausality on June 15th, 2021 at 17:45 UTC »
Something to point out is how covid-19 acted like a great leadership filter. Every company promises to put their employees first. It’s an easy commitment to make in normal times.
During the pandemic? Not so much. Many workers found out firsthand which companies backed their commitments....and which ones didn’t. The companies who treated workers like disposable expenses are getting their just desserts.