Employment trends expert examines reasons behind Great Resignation and what employers can do

The Great Resignation just became the Greatest Resignation. The January jobs report reveals that a record number of people quit their positions in November… 4.5 million of them, in fact.

Is it true that people just don’t want to work, or what can explain the millions of people who have decided they no longer need gainful employment?

Rob Wilson, employment trends expert and President of Employco USA, a nationwide employment solutions firm with clients across the country, weighs in:

“While much of the media focus has been on the fact that white-collar workers are turning in their proverbial keycards, this latest jobs report actually reveals that it is low-wage workers who are quitting in the millions,” says Wilson. “Sectors like food service and hospitality are the ones who have been hit hardest by the Great Resignation.”

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Employment expert discusses breaking new study which spells disaster for manufacturing employees

A new study from analysis firm Oxford Economics predicts that by 2030, over 20 million workers in the manufacturing industry will lose their jobs to robots.

“As machines become cheaper to build and artificial intelligence technology becomes more comprehensive and affordable, many industries are going to become robot-centric,” says Rob Wilson. “Just look at the automotive industry: Starting in the 1980s, companies were spending billions of dollars to create robots to perform basic tasks in their automobile factories. Now, 43 percent of the world’s robots are used by the automotive industry. We should expect to see a similar trend in manufacturing as well, although the good news is that robots create jobs in some fields even as they take them away in others.”

Wilson cautions that battles over minimum wage could increase the application of artificial intelligence in some industries, especially as it relates to entry-level, unskilled work.

“Findings show that fast-food workers could be at serious risk of losing their jobs to robots in the next several years. One study found that each new robot added per 1,000 workers causes wages to drop in the surrounding area by around 0.25 and 0.5 percent,” says Wilson. “We can clearly see that in specific industries, the impact of automation can not only impact job numbers, but also a worker’s wages.”

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Employment expert discusses new findings about “job switching” among young people

“Job switching” is a fast-moving trend which has changed the face of the American workplace.

“Gone are the days of retiring after 50 years with a gold watch,” says Rob Wilson, President of Employco USA and employment trends expert. “A new study has found that job-switching continues to rise, particularly among Millennials and those working in the tech industry.”

Wilson says that “job-switching” is the result of employees seeking greater learning opportunities and increased pay. “Today’s young workers aren’t afraid to leave a well-paying, suitable job, which makes them different from former generations. And, research shows that this willingness to try new things pays off, especially when you are young: New research shows that workers who spend 2-3 years at their first job end up earning more money over their lifetime than workers who spend 4 or more years in the same role.”

The employment trends expert says that becoming complacent could stagnate an employee’s growth, as well as keep them from learning new skills and networking with new people.

“A person who shows up to the same office every day for years is probably not going to be greeted by opportunity very often,” says Wilson. “On the other hand, workers who are willing to put themselves out there and keep their skills sharp could find that their tenacity pays off.”

So, what should employers do to keep employees from bailing?

“Make sure that you are offering your employees more than just a paycheck. Along with room for advancement, offer your employees continued learning seminars and educational opportunities. Allow them room for creative control where possible, and help tease out their hidden skills and abilities.”

For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.

Employment trends expert explains new findings and whether humans should fear being replaced by A.I.

A new study suggests that previous findings regarding job automation predictions might have been way off. The Organisation for Economic Co-operation and Development (OECD) says that fears over artificial intelligence stealing jobs might be overstated.

“The findings from the OECD are helping to reassure some workers who feared that they were going to be replaced by robots in the next 20 years,” says Rob Wilson, President of Employco USA and employment trends expert. “These researchers are now saying that previous numbers were overstated and did not take into account different types of jobs which fall under the same name and title.”

In other words, says Wilson, previous studies regarding job automation may have been too broad. In fact, when it comes to considering the risks of artificial intelligence’s impact on the workforce and our economy, Wilson says we need to break down the numbers as much as possible.

“The fact remains that earlier findings show that fast-food workers could be at serious risk of losing their jobs to robots in the next several years. Another recent study found that each new robot added per 1,000 workers causes wages to drop in the surrounding area by around 0.25 and 0.5 percent,” says Wilson. “We can clearly see that in specific industries, the impact of automation cannot be overstated.”

Wilson says minimum wage hikes could also make robots the preferred option for employers. “Robots don’t need raises,” he says. “They don’t need healthcare or sick days. For employers who are looking down the barrel of ever-increasing business costs, robots are a cost-saving option in the long-run.”

The employment trends expert also points to a new study which highlighted the fact that Seattle workers lost $129 a month on average after the city’s minimum wage was increased to $15.

“Higher wages sound like a boon for employees, until you realize that employers simply cannot keep pace with these increased costs,” says Wilson. “As a result, they cut staff, limit hours…and consider new technology like automation to replace workers. This is just the beginning of a very disturbing new trend which could lead millions to end up out of work.”

For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.

Employment trends expert breaks down the numbers from Friday’s jobs report

After a pleasantly shocking jobs report on Friday, employment experts are now saying that the United States is at ‘full employment.’ But, what does this mean for Americans, and are the numbers really as good as they seem?

“February’s jobs report is a solid sign that our economy is getting stronger,” says Rob Wilson, president of Employco USA and employment trends expert. “Not only were 313,000 jobs added in a variety of low, middle, and high-wage industries, but we also saw an influx of hundreds of thousands of people rejoining the job market. This is huge news, as there had been fears that our workforce was depleted and that many Americans were simply opting to not seek employment.”

However, the employment expert explains that some people might be misled by the news that America is now at ‘full employment.’

“Full employment does not mean that every American has a job,” says Wilson. “Full employment is a term that economists use to describe optimal employment, when unemployment is at the lowest possible level without causing an unhealthy rebound of inflation in which employers have to compete too intensely for workers and bump up wages too quickly.”

In other words, our current economy is one that is optimal for both workers and employers.

Wilson says, “2018 is already off to an incredible start. We have added an average of 276,000 jobs a month, compared to 182,000 in 2017, and this growth shows no signs of stopping.”

For more on this topic, please contact Rob Wilson at rwilson@thewilsoncompanies.com.