The rate of resignation across the United States in 2020 plummeted because of the fear, anxiety, and uncertainty that the pandemic caused. But just a year later, a collective workforce burnout led to many individuals leaving their jobs at alarming rates. Some have described this phenomenon as the Great Resignation. Now that we know what the great resignation let us find out more about the great resignation in the paragraphs that follow
What Happens After the Great Resignation?
In 2021 November, around 4.5 million workers quit their jobs, as per the US Labor Department. This implied that 3% of the workforce was giving up their jobs each month. Estimates indicate that 75.5 million people in the United States submitted their resignations in 2021. Moreover, as per ResumeBuilder.com, approximately 23% of the labor force are looking for new jobs in 2022.
It was found that it is more likely for the workers with lower wages to resign compared to the workers who are well paid. The most affected sectors include social assistance, utilities, warehousing, transportation, healthcare, and hospitality. Approximately 4.4% of all the positions in the education sector are open, 6% in retail, and 8% and more in the healthcare industry.
According to an MIT Sloan study, it was observed that those companies that expected more from their employees and assignments usually give an impression of them not being stable due to their cutting-edge nature. But on the other hand, those companies that have reported satisfactory workforce lost less number of workers.
The analysis by MIT found that a corporate culture that is usually toxic predicts a higher attrition rate, about ten times more than predicting instability compared to wages. In the table below, let us find out what is causing the great resignation. Take a look at the great resignation percentage.
Source: 2021 Study on The Great Resignation conducted by Zesty
What can be done about the great resignation 2022? The MIT Sloan study gives a few remedies for the same. The first one is providing lateral move opportunities to workers, allowing for international postings, having a healthy work culture, hosting social events frequently, and better bonding between team members. Offer attractive incentives to workers from time to time to retail your assets of the company.
