Interesting. My observation in the labor market is that companies are desperate for people and are offering incredible incentives. A lot of people are quitting crappy jobs for good jobs or good jobs for great jobs.
The number of Americans quitting their jobs has hit record highs over the past several months in a phenomenon economists have been calling the “Great Resignation.” In August, 4.3 million U.S. workers — almost 3 percent of the entire American workforce — voluntarily left their positions, the highest number since the Bureau of Labor Statistics began tracking “quits” in 2020.
Workers are quitting at high rates in every industry, but the trend has been especially pronounced for frontline businesses like restaurants, hotels, retail stores and health care providers. Recent quit rates are a stark contrast to early in the coronavirus pandemic, when the number of quits plummeted to the lowest levels in a decade, as COVID-related business closures put millions of Americans out of work.
Rather than offering one reason so many Americans are quitting their jobs, experts mostly believe the Great Resignation is the result of a variety of forces coming together. Something not on that list is employer vaccine mandates, which don’t appear to have caused a significant number of people to quit.
One of the most common explanations is that workers are simply burned-out. The high quit rates in customer-facing jobs and health care suggest that people in these fields have become exhausted after 18 months of extra hours, confrontations over COVID mitigation rules and fear of catching the virus. Many white-collar workers, on the other hand, may be eager to maintain some of the elements of pandemic-era work that benefitted them — like remote work and flexible hours — and willing to move on as their employers transition back to the office.
Others see the Great Resignation as the sign of a major shift in the power dynamic between workers and their employers. Labor Bureau data doesn’t track whether people quitting are finding another position, but record levels of job openings mean prospects for quitters have never been higher. While many have struggled financially during the pandemic, a large share of Americans have actually increased their savings — meaning they have more of a cushion to absorb a job transition. These factors mean workers have greater freedom to leave unsatisfying jobs to pursue something that suits them better.