Turnover is a common occurrence throughout any given year. However, during the COVID-19 pandemic, turnover rates fell dramatically. Now, a significant number of employees are unwilling to return to the status quo that was established pre-pandemic. That’s a major reason why experts predict a “turnover tsunami” coming in the latter half of 2021.
What’s Happening? Throughout the COVID-19 pandemic, workers clung to their jobs as a way to maintain financial security, having seen countless others get furloughed or laid off. In fact, LinkedIn found that 74% of employees have been “sheltering in job.” That means workers are staying in their current roles to collect a steady paycheck and keep household finances stable—that is, until the pandemic is over. Now, as the economy opens back up, employers are pushing for employees to return to the workplace. But a significant number of employees are unwilling to return to the status quo established pre-pandemic. Workplace stressors— worsened by the pandemic—are partly to blame. Additionally, dissatisfaction with compensation, benefits and work-life balance are top reasons why employees are job hunting.
A recent survey revealed the following shifts:
- Employees are on the move, considering or planning to move more than 50 miles away from a core office location.
- Employees deeply value extra paid time off, including dedicated time to upskill or volunteer.
- Employees are focused on building skills learned from the pandemic, such as adaptability and the ability to learn and apply new skills quickly.
- Employees are primarily looking for flexible work options including remote or hybrid work, protection from burnout, and competitive compensation.
What can employers do? To stay ahead of these trends, employers will need to look inward toward their unique employee populations and determine what’s important to them. This inquiry may include surveying employees to learn about what they are looking for. The most accurate approach may include managers directly asking employees about their current mindsets, which workplace factors are most important to them and for any other feedback. To help meet the demands of a workforce, employers can consider implementing changes, such as:
- Providing remote or hybrid working arrangements
- Providing flexible scheduling options
- Adopting or expanding employee assistance programs to help with mental health and burnout
- Increasing compensation or bonuses
- Having managers meet more frequently with employees to discuss challenges and concerns openly
Each organization is unique, and its employees may have varying opinions about what they value. Contact us for additional retention resources.