The Great Resignation, as some have called it, is here now.
As we know, one of the biggest threats to a company’s productivity and profitability is high turnover.
It is a phenomenon that has happened during the pandemic. Most employees say they’re considering quitting their jobs within the next year.
Therefore, employers should be 100% prepared.
To avoid this phenomenon, you must understand what drives employees to leave. You also find out how to keep them.
It makes us wonder, why now?
Whether the “Great Resignation” has already hit your company or not, you can use another strategy to help stem the tide.
Today’s article will explain The Great Resignation and how to retain your employees and the strategy to avoid the phenomenon.
What Is The Great Resignation?
The Great Resignation was first coined by Professor Anthony Klotz of Texas A&M University.
He used it to predict many people leaving/resigning their jobs post-pandemics. The Great Resignation, also known as Big Quit. It has become a phenomenon in the US.
Based on data from the U.S. Bureau of Labor Statistics, nearly 11.5 million workers quit their jobs in the three months from April to June of 2021. It shows no signs of slowing down.
The number of Americans quitting their jobs edged up to 4.4 million in September, marking another all-time high after notching a record 4.3 million in August,
Moreover, between January and October of this year, 4.7 million business applications were filed, a 34% increase from the same period in 2019.
This figure broke records.
The Great Resignation is usually referred to as a phenomenon affecting the American workforce. However, it is now affecting more countries.
In other words, the Great Resignation has become a global issue.
Our economy is undergoing a massive, unprecedented shift right now.
Education, transportation, leisure and hospitality, tech, and healthcare are impacted the most by the Big Quit.
They were also struggling to keep employees even before the pandemic. Limited staffing leaves companies unable to perform their daily job functions as needed.
Thus, professionals should pay attention as it will impact the business for the next few years.
Why Are People Quitting Their Jobs?
It’s difficult to pinpoint what caused The Big Quit.
According to a survey conducted by LinkedIn, 74 percent of those surveyed indicated interesting things. The time spent at home during the pandemic had caused them to rethink their current work situation.
Employees expect remote work to become standard. Once they return to work full-time, many employees will likely look for jobs that allow more flexibility.
In addition, many employees experience burnout and stress in their current position. As a result, it led them to join the Big Quit as a reason for looking elsewhere.
Many people have had time to reflect on their values. So, they make changes that align with it, such as work-life balance, time with family, and other interests.
Aside from these factors, job satisfaction, respect, learning and development, remote/hybrid working, etc., are all factors that contribute to the decision to leave.
Nonetheless, these factors are just a few reasons behind the Big Quit. Employees may also have specific reasons depending on the situation.
How To Retain Employees During The Big Quit?
Many leaders and HR professionals still find ways to strengthen your employee retention strategy.
The following tips will help you to strengthen your employee retention and keep your most valuable people on board from the Big Quit.
- Offer working method flexibility
- Focus on employee engagement
- Encourage a healthy work-life balance
- Improve communication
- Emphasize employee well-being
- Offer new benefits
- Empower lateral moves and career development
Final thoughts: If You Can’t Hold Them, Make Sure They’re Leaving For The Right Reasons
People leave their jobs for many reasons. Whether for better pay, employee benefits, a new role or progression in their current career, or simply the opportunity to try something new. Sometimes, the lure of a new role is simply too strong.
As a team leader, you must remember: the Great Resignation is real, will continue, and may worsen before it gets better.
Communication is a key to surviving the Big Quit. Your employee knows what they want and what keeps them employed.
To seize it, You need to take a step back, listen and learn. You also make the changes that employees want.
If some employees decide to leave, the leader can ask what the company could have done to support them better.
You couldn’t stop them from leaving, but you could stop the next person who wants to leave.
By understanding why they leave and acting thoughtfully, you may just get ahead of the Great Resignation and avoid losing your best people.
If you’re looking for ways to recruit and start your retention strategy for your top talents in today’s competitive labor market, Elabaram System is here to help.
With our 20+ years of experience, we provide advice and facilitate you to transform how the workplace operates, engage employees; improve performance, and draw up compensation and benefit plans.
Schedule a consultation call with us now!