In 2019, Anthony Klotz, an associate professor at Texas A&M University, predicted a mass exodus of workers and coined the phrase “the great resignation” as he foresaw this phenomenon. Fast forward to just a year or so later and, as the COVID-19 pandemic accelerated, Klotz’s prediction unfolded. Employers all across the U.S. are scrambling for ways to bolster their teams.
How Large Is The Great Resignation?
Throughout 2021, 25% of U.S. workers quit their jobs and, with every month gone by, percentages have increased. In November 2021, a whopping 4.5 million people quit their jobs, the highest number of resignations to date.
While the term “Great Resignation” is true, it’s somewhat misleading. Statistics show incredibly growing numbers of people are quitting their jobs, but aren’t leaving the workforce. Instead, they’re seeking other jobs as business hiring increases. This suggests many people are simply unhappy with their current situation. To rectify this problem, employers will have to try harder than ever to attract and retain top talent, lest they lose them to competitors.
What is Driving The Great Resignation?
To identify a solution, the best course of action is to understand the root causes of the problem. A report published by Inc. cites a LinkedIn study that found 74% of the workers surveyed said the time spent in lockdown during the COVID-19 crisis gave them time to rethink their job situation and start considering other options. Common issues they highlighted include:
- Stress and burnout from their work environments
- Fear of knee-jerk reactions by employers in response to the pandemic
- Frustration with employer-initiated holds on promotions, merit increases, and layoffs
- Tired of being undervalued by bosses
- Become self-employed to gain flexibility and control
One-third of the individuals surveyed expressed concern over their personal safety when returning to the workplace, suggesting many people prefer to continue to have the option of doing all or at least some remote work.
What Steps Can Employers Take to Bolster their Teams?
High employee turnover is extremely costly for employers. To prevent the effects of The Great Resignation from drastically impacting their sustainability, employers should consider looking at the long-ball game instead of focusing on surviving the short game. The problem isn’t going to be resolved because the pandemic caused an overall shift in fundamental values. People are reevaluating what they want from life.
As a result, the rules have changed. Job candidates have numerous options, meaning they no longer need to feel grateful to get a job. If anything, in 2022, the shift is likely to be employers feeling lucky to hire skilled talent over their competitors.
However, this doesn’t have to be viewed as a negative—employers can perceive the current situation as an opportunity to make positive changes to create a purpose-driven, engaged business and make it a place where employees want to stay.
Earn Employee Loyalty
For starters, company leaders can strive to build an environment where employees feel both valued and safe. Routinely recognize their accomplishments and emphasize the importance of their mental and physical well-being. Let them know they matter.
In the past, businesses tended to leave employees out of important decisions, blindsiding them with big changes. Ax that mentality and be transparent about everything reasonably possible. People feeling they are part of a larger something will have stronger levels of ownership and want to contribute, further fostering loyalty.
Work on Retention Strategies
The huge loss of workers has caused organizations to acknowledge a lack of successful retention strategies. Taking a data-driven approach solution can help employers identify how many people are quitting, who is giving notice, and why. Once these can be identified, employers can start initiating strategies to address the factors leading to increased resignations.
Possible retention strategy solutions include strong work-life balance options, such as:
- Flexible work hours
- Telework opportunities
- Provide ample paid leave time
- Encouragement of breaks and vacations
Employers can also make investments in their employees by offering better compensation, promotional opportunities, and education options. The possibilities are many. Solutions should align with the specific problems uncovered.
Build a Strong Work Culture
Toxic work cultures are a thing of the past. The majority of future employees will want no part in these stressful and health-endangering work environments. Leaders today can flip the proverbial switch and focus on building a stronger—and better —work culture.
- Encourage good engagement
- Invest in team-building strategies
- Avoid micromanagement
- Offer strong, two-way communication
- Act socially responsible (employees don’t want to be part of companies’ harm to others)
- Avoid burning bridges with team members who quit (show kindness)
These and other strategies can go a long way to fostering a strong work culture. Bottom line, leaders who focus on showing they care and demonstrating to employees they’re assets, not liabilities, will find themselves building the foundation for a company culture where people will be attracted to work.
Impro Can Help Your Organization to Survive the Great Resignation
If you’d like to learn more about strategies that you can use to attract and retain top talent, Impro can help. Our personalized coaching and leadership development program, is based on the principles of micro coaching, and a methodology of self reflection and self coaching—in only 5 minutes a day.
Learn more about Impro on our website today or schedule a meeting with one of our Coaching Specialists. We’re happy to talk to you and answer any questions.