More employees choosing to stay in their current jobs
In a notable shift from the job resignations witnessed during the Great Resignation, more employees are choosing to remain in their current positions for longer periods.
This, said Jack Kelly, Founder and CEO of WeCruitr, is driven by a sense of perceived safety from staying with current employers. Writing in a Forbes article, Kelly highlighted how many individuals are hesitant to accept new job offers out of fear that they may face layoffs shortly after joining a different organisation. The risks associated with job-hopping outweigh the potential benefits, as a slight salary increase may not justify the stress, aggravation, and uncertainty of a job search.
In the US, the rate of Americans quitting their jobs has decreased by 5% in 2023, compared to 2022, while job openings in the country have fallen by 20% since 2022, he pointed out, drawing on research from the ADP Research Institute.
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This comes amidst a continuing shift in power dynamics, which has seen employees gaining greater leverage in the job market. According to Kelly, the supply-and-demand equation has changed, particularly in the technology sector, where thousands of professionals are actively seeking employment. During the Great Resignation, attracting and recruiting top talent proved challenging, necessitating substantial compensation packages to entice employees to switch employers. However, ADP data revealed that wage increases for job switchers have slowed down, with a growth rate of 13.2% in April, the lowest since November 2021.