Looks like the ball is in workers’ court. For employers, it is getting difficult to keep the match running.
It’s no longer the Great Resignation. The year 2021 has turned the tides for real in the labor market and any efforts to cease the trend seem futile. The Great Resignation has turned into the Great Revolt, people want money but they no longer want to earn it in ways that are against theirs.
2021 is almost over and the mass resignations that began earlier in July, still show no sign of stopping. A staggering 2.7% of workforce of the U.S. resigned in April. This was followed by 2.9% in August and a record 3% in October. Talking about international trend, almost 41% of workers throughout the world are considering to quit.
There are a plethora of reasons fueling the mass resignation trend from burnout to lookout for better-suited jobs. However, the bottom line is, there is a rebellion stirring among the workers throughout the world. Pandemic has either taught them to prioritize personal care and family time over jobs or instilled the feeling to not settle for less if the job is not righteously rewarding.
So where is the Great Resignation or the Great Revolt is leading to and what does it mean for the global economy? Let’s find out.
To begin with, who are the drivers of the Great Resignation?
Some are taking early retirement, others are taking sabbaticals while some are simply switching their jobs, there are a variety of people taking a backseat in the workforce. However, every story narrates a different picture.
Employees between the age of 30 and 45 years make up the biggest portion of population that is quitting rapidly. The next in the line is the age group between 25 to 30 who are quitting at a greater pace than 2020.
Talking about the industries registering exponential resignations, hospitality and retail sectors are the worst-hit markets. Migration due to the pandemic has led restaurants, hotels, stores, factories, etc. challenged to find workers in the close proximity.
Healthcare is another sector that is recording a massive hit for obvious reasons. Healthcare professional across the globe are exhausted due to more than a year long battle against virus. Burnout rate among the workers in this sector is at all time high.
The Great Revolt is here
Resignations are not all. There is more shaping up in the labor market that is slowly turning into employers’ nightmare. According to a report by The Washington Post, the underpaid workers are launching strikes against employers for the stressful work culture and poor pay.
A strike at John Deere revealed how essential workers are feeling betrayed for keeping their life at stake while working during pandemic for the company. Watching shareholders and senior executives reap the benefits when profits are finally starting to pour in is causing mass stir among the unhappy workforce.
While the figures are worrisome, it is still not too late for employers. The fight of retention amid Great Resignation is real and there are some significant steps that can benefit.
The fight for retention — how to do it right
Raising the wages is the minimum as the competition for talent has already resulted in higher salaries and wages in the market. However, this is not all. Money is just one part of criteria for workers while selecting the job they want to work. Work culture matters a lot.
Choosing the right managers and training them well is a non-negotiable need for organizations to improve retention.
Another major reason demotivating workers from continuing is burnout. According to a study, 89% of employees are facing serious burnout. Burnout not only kills the motivation to work, it also eradicates the will power to take a positive action.
Leaders need to inculcate more provisions at workplace that help the workers to cope up with burnout. This can be paid leaves, extending therapy services, conduction wellness and mindfulness programs, etc. Job rotation is also an effective way to keep workers motivated given that increased variety of work would kill monotony.
And finally, organizations need to level up their reward mechanism. Recognizing employees who are working hard and contributing to organizational growth is an inevitable need of the hour. Thank your loyal employees in the form of increase bonuses, additional perks and increments.