The Great Resignation Explained

The Great Resignation Explained

Business

The job market in today’s time is going through the greatest upheaval. With lots of people resigning from their jobs, the business world is experiencing “The Great Resignation”. Experts believe that this havoc wrecks the job market after the outbreak of the Pandemic. The quarantine, lockdowns and remote working gives people the opportunity to explore more career options or a better alternative that allows them to earn extra. 

What is The Great Resignation? 

The Great Resignation refers to a situation in which employees in large numbers across multiple sectors are switching their jobs for either a better job or starting their own business. According to a recent survey by PwC, one in every five employees is likely to switch jobs. The various reasons for people to leave their jobs include an unsatisfied work environment, a lower pay scale, and poor work-life balance. 

Many people feel that the pandemic was a wake-up call for them. Those workers or employees who specialised in special skill sets are confident and ready to take the risk of quitting their jobs and moving to a better alternative. 

Anthony Klotz, a Management Associate Professor at Texas A&M University predicted the greatest upheaval of mass resignation in 2021. It is not that before the pandemic people were not switching jobs but the self-realisation in the quarantine period encouraged people to move to better opportunities. 

Driving Forces Of The Great Resignation 

There are not any single reasons why people are resigning in such huge numbers. There are many reasons that drive the storm of the great resignation. The most prominent ones are:

  • Demand For Hybrid Or Remote Working 

The Pandemic make us all habitual of remote working and that is why the idea of working full time from the office does not appreciate by people very much. Employees are happy with remote working or a hybrid working model because it saves them a lot of time and costs that go in commuting.  

Apart from this, the silver lining of hybrid or remote working is that it allows people more time for their personal life and maintains a good work-life balance. If we talk about productivity, the study reveals that 81% of people believe that while working from home they are able to meet their goals more efficiently. While 67% said that they enjoy working from home. Therefore, the idea of working from the office is not very much appreciated among employees and resulting in the job switch by them.

  • Delays In Promotions

The fire of the great resignation is fueled by the lower salary levels and delays in promotions. The quitting ratio was seeing the highest among those with a lower pay scale. The Great Resignation offers working professionals an opportunity to quit their jobs with lower pay scales and switch to better ones. 

During the pandemic era, most companies freeze the promotions of their employees for an indefinite period which triggers resignation among employees. The feeling of not being valued and appreciated by the employers was the final nail in the coffin that lead to the great resignation. 

  • Burnout and Work Anxiety

After the eruption of the covid pandemic, people become more aware of their physical and mental health. They are now more familiar with the consequences that happen due to burnout and workplace-related anxiety.

Many companies failed to see the problem with assigning extra work to their employees. What they don’t realise is that the extra work leads to the employees’ burnout and anxiety. And once an employee gets burnout it becomes very difficult for the company to retain the employee. And then no money or promotion will help the company to retain its best talent.

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