Here’s more on what employers should take away from this study, how and why employee priorities are changing, and why employee experience is the essential factor for enterprise organizations in 2022.
The Beginning: Reviewing the Data
The statistics behind The Great Resignation show that in late 2021, over 4 million people in the United States resigned from their jobs. For the first time, the number of job openings in the United Kingdom topped one million. Meanwhile, France ranked fourth in Europe regarding COVID-related resignations, accounting for 2.3 percent of the workforce.
A data study done by Ian Cook, VP of People Analytics at Visier, studying more than 9 million employee records at 4,000 global companies explored the reasons for such a dramatic shift, showed the following trends:
- Resignation rates are higher among mid-career employees
- Resignation rates are maximal in the technology and healthcare sectors
At the start of the pandemic, the employment market was riddled with uncertainty and extensive dismissal of workers; many people lost their jobs, and those who were lucky enough to keep working had to stay in their positions.
As the world experienced flashes of recovery, many employees were able to move to other jobs. While many people cannot afford this luxury, certain trends have emerged within job mobility.
Evolution: The Great Reflection
The LumApps and CMSWire report, Employee Retention Strategies for the Digital Workplace and The New Era of Employee Recruiting showed the impact of COVID-19 on life and work. In fact, 68 percent of employees agreed that the pandemic made them rethink what they want out of their career.
Employees are focusing more on what they want out of life, or experiencing a huge shift such as transitioning from the office to working remotely. This leads them to reconsider their career goals and evaluate changes. The data shows workers want more job flexibility, and others wish to switch professions. Meanwhile, employers are modifying their efforts to understand why employees are looking for new employment.
The Great Resignation is being followed by a period in which employees are continuing to give considerable thought to their choices and possibilities. According to both employees and employers, employee retention is predicted to remain a major concern in the conceivable future. The COVID-19 pandemic was a once-in-a-lifetime incidence that affected workers at all levels. Predictably, this has forced many employees to consider and reflect on their life, both – the past and what’s ahead.
LumApps data shows that 63 percent of U.S. employees and a full 70 percent of UK employees have at least considered a new career over the past year. While the situation isn’t nearly as dire as France, 43 percent of French employees have at least considered looking for work.
How Can Employers Address The Great Reflection?
Employee experience was already a priority for organizations, and the Great Reflection only adds to this necessity. Employers have to analyze their turnover rates, employee surveys and overall experience profile to determine an action plan. Here are a few steps for getting started.
Analyze Turnover Impact
Analyze and assess the rate of turnover in your company and its effects on your business. When individuals leave a business, remaining teams are left without essential talents or capabilities. It’s critical to analyze how high turnover affects key variables within a business.
Understand the Causes
Conduct a data analysis to determine what’s driving employees away. Metrics like salary, duration between promotions, raise frequency, duration, success, and training programs highlight the bigger picture. An average of 28 percent of employees surveyed by LumApps pointed to more flexibility as the primary reason for seeking another job.
Divide workers into categories such as geography, role, and other categories to understand how employees are affected across regions. These exercises help enterprises determine not only which workers are most likely to quit, but also which individuals can be kept through focused actions. For example, LumApps data shows 62 percent of the quitting employees would have stayed in the company if they had received better compensation.
Based on the segmentation data, devise strategies to retain employees by providing what they need. It could include better infrastructure, monetary compensations, flexible working opportunities, health benefits, and employee welfare programs. For instance, surveyed employers noted “Competitive Salary” as the most common strategy to attract new talent.
However as previously stated, flexibility was the top factor for seeking a new job.
The Great Reflection cannot be ignored. Employees have taken the time to reflect on what they demand from their employment, and many have decided to change their jobs. The businesses work hard to inspire their employees to stay — yet they are open to persuasion if employers reach out to them in time.
Employees are looking for remote work and flexibility. Employers who wish to retain their workers should emphasize developing mixed work models and providing employees with flexibility. Don’t be anxious; your culture will endure. Even in these conditions, retention is achievable. Employees are subject to counter-offers because not everyone is seeking a new job. Encouraging employee trust and establishing connections will go a long way toward keeping staff.
February 23, 2022