40% of Great Resignation Job Switchers Looking For a New Job
Around 40% of job switchers during the Great Resignation are now looking for a new job. According to a new survey by consulting firm Grant Thompson, these worker movements will continue the labor market’s upheaval. This means employers will need to revisit their hiring strategies yet again.
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Job Switchers Hold the Power in the Labor Market Now
With 40% of previous job switchers again looking for work, companies might need to reconsider upgrading their pay, benefits, and workplace conditions.
Tim Glowa, Grant Thornton’s human capital services head, said that workers have the upper hand at the moment. “The power is going to the employee right now. They are in the driver’s seat,” he said.
21% of American workers started a new job in the last 12 months. This is according to GT’s State of Work in America survey published last week.
The survey polled more than 5,000 employees. Of the recent job switchers, 40% said that they are actively looking for a new job. In contrast, only 29% of the entire US labor market is currently job-hunting.
Both workers and companies are likely on the hook for this imperfect job match. Glowa thinks it’s a case of buyer’s remorse for many job switchers.
Job Switchers’ Expectations Didn’t Match the Actual Job
For these workers, a misalignment between job expectations versus actual conditions is now making them reconsider. In many cases, it could be due to getting assigned to an incompatible manager.
For others, the lack of further advancement opportunities signaled a dead-end job. Either way, these job switchers are now bailing out as early as possible.
With the job market still reaching out for more workers, they feel hopeful about getting a new job. With openings outnumbering available workers, many Americans are biding their time in choosing a new employer.
In contrast, companies are now resorting to bidding wars and adding perks to entice workers to come to them instead. Glowa said that the job switchers already knew it was easy to make the jump from one work to another. They’re willing to do that switch again.
48 Million People Quit in 2021
According to Grant Thompson, around 48 million people left their jobs voluntarily in 2021, which is an annual record.
However, the demand for workers means that instead of job quitters, the economy created a market for job switchers instead.
In fact, 60% of newly started workers said they had two or more competing offers before they made a decision. Glowa said that the “war for talent is continuing. It’s really not showing any signs of slowing down.”
However, some workers may have grabbed a big payday before weighing in on what their new job was all about. 40% of job switchers said they received a pay increase of 10%.
In contrast, only 18% of all workers got the same pay raise rates. The switchers cited pay raise (37%), advancement (27%), and benefits outside of health and retirement (18%) as their main reasons to leave.
Watch the Wall Street Journal’s video featuring The Great Resignation, explained in one chart:
What do you think of workers who left their jobs last year and are now looking for even better opportunities? Do you think this cycle will continue for the next few months?
Tell us what you think about job switching in this day and age. Share your comments below.