Big Quit: simple buzz or underlying trend?
For several months, the media has been dealing with a new trend: “The Great Resignation”. But the current resignation rate is not so unprecedented (2.7%) compared to the resignation rate recorded in 2007 (2.9%)*. This trend is above all the sign of an imbalance between the aspirations of employees and the expectations of companies, especially among the youngest: 42% of those under 35 are thinking of resigning in the next 12 months**. However, this “Great Resignation” is not one, because executives leave their company to join another, more in line with their professional aspirations.
The underlying causes of this new trend are numerous, the Covid-19 pandemic being only the catalyst for employee demands:
- Higher compensation (59%)
- Have a meaningful job (55%)
- Greater flexibility in work organization (45%)
- Better work/life balance (22%)
These underlying trends also cause difficulties in recruiting for companies (71% of cases)***. Bargaining power is on the side of the employees, who can then leave a company that does not suit them, and find a new job within 6 months (among 80% of respondents).
Today, the central question of well-being at work can no longer be reduced to a seminar or a few slogans plastered on the walls. Employees expect companies to take concrete action. Telework has become the norm and is no longer considered an advantage by many employees, especially the youngest. To attract and (most importantly) retain talent, companies need to be proactive and speak their minds:
- Have interesting missions to avoid boreout
- Organize “stay interviews” to gather information on the reasons for an employee’s loyalty
- Facilitate the departure of an employee: like Chateauform’ which encourages professional mobility to other organizations
- Adjust wages according to the context: rising prices and location of the workplace
- Train employees: a study carried out by ESSEC shows that training employees improves employee retention
HR is at the center of this new strategy to be implemented within organizations. Having an Employer Brand is now the bare minimum required by employees, especially in the most stressed sectors. Also, they are in the best position to contribute to the good development of their company thanks to their skills to attract, retain and allow talents to flourish in the organization, thus improving growth.
*** Source : APEC