Around one-third of workers are planning to quit their jobs and are actively looking for a new role, despite signs of a recession, revealed a new survey.
Additionally, 94% of those who left their company in the last year do not regret their choice to leave, according to the Conference Board study. “Despite worries of a recession – and the hiring slowdown and layoffs that often result from a downturn – the labour market remains strong. And this robust jobs market is continuing to empower workers,” stated Rebecca Ray, PhD, Executive Vice President of Human Capital at The Conference Board. “Our survey results reveal they continue to want more flexibility and higher pay, and they’ll go elsewhere to attain these benefits. But slowing economic growth makes the decision to jump ship riskier. To retain talent, companies should work with their employees to determine to what extent they can accommodate their needs.”
The latest workforce survey captured the thoughts of more than 1,100 individuals; predominantly professional/office workers. Respondents weighed in on their plans and reasons to stay or leave their organisation.
GREAT RESIGNATION NOT OVER
Key findings revealed that the Great Resignation isn’t over, with one-third of workers looking for a new job. When employees were asked if they were planning to leave their organisation in the next 6 months, 31% said they are actively looking for a new job. Another 28% are unsure if they will leave their company in the next six months. Only 38% indicated they would like to stay with their current company.
One in four would return to their previous organisation if given the chance. In fact, 23% said they are somewhat or highly likely to accept a role at their previous organisation if offered. Interestingly, more people of colour would accept an offer to return to a new job at their previous organisation:
- African American: 32%
- Hispanic/Latino: 38%
- Asian American/Pacific Islander: 43%
- White: 25%
JOB FATIGUE & FLEXIBILITY
Flexibility was among the top reasons workers quit their jobs. Around 17% of workers voluntarily left their company within the last year for a flexible work location, flexible work schedule, or the ability to work from home/anywhere. Other top reasons workers left their jobs were higher pay (22%) and career advancement (14%) – the usual drivers of job change. More flexibility (54%), higher pay (53%), and career advancement (33%) were also the top factors that would influence workers’ decision to stay at their company.
Job fatigue is driving workers to quit, especially women and Millennials. More than one in 10 workers (11%) quit their jobs over the last year because of job fatigue due to workload. A quarter of Millennials quit because of job fatigue; more than twice the rate of Baby Boomers (25% versus 11%). Additionally, a quarter of women (25%) quit because of job fatigue, compared to 13% of men.
“Employees are voting with their feet to gain flexibility. But with flexibility must come boundaries,” noted Robin Erickson, Vice President of Human Capital, The Conference Board. “Combine the ability to work any time with heavier workloads as colleagues resign amid the Great Resignation. And it’s no surprise we’ve seen a severe increase in employees who are overwhelmed at work. And now, this survey reveals that more than one in 10 are quitting because of it. Managers should regularly monitor their employees’ workload to ensure it is manageable.”
GENERATIONAL DIFFERENCES
One in four Millennials quit their job within the last year. Approximately 23% of Millennials are employed at a different organisation than one year ago, compared to 13% of respondents overall. Millennials left their jobs at more than three times the rate of Baby Boomers (23% versus 7%).
According to the research, Millennials want higher pay. Three in four Millennials (74%) say higher pay would influence their decision to stay with their organisation. That’s compared to only 52% of Gen X and 47% of Baby Boomers. Of those who changed companies in the last year, Millennials received a 30% or higher pay bump at three times the rate of Baby Boomers (13% versus 4%).
The main driver of CEO turnover is a company’s mission and purpose. Around 45% of CEOs who left their organisation did so for a stronger connection to mission and purpose. That’s compared to only 14% of individual contributors/staff. Interestingly 36% left because they had greater faith in the positive trajectory of their new company. That’s compared to 11% of individual contributors. On the otherhand individual contributors/staff are seeking flexibility and higher pay. Individual contributors quit for more flexibility at two times the rate of CEOs (37% versus 18%). Individual contributors would be influenced to stay at their organisation for higher pay at nearly three times the rate of CEOs; (61% versus 22%).
Companies also risk losing staff if access to professional development is not offered, which is vital to retain people of colour, women and Millennials. Click here to read more.
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