The Great Resignation: Why 4.3 million Americans quit their jobs in August
In March, there were 8.1 million job openings in the United States. According to the government data, the overall hiring rose less than 4% during the same period because businesses couldn’t find enough people to hire. So, why are employers finding it so difficult to find workers? The answer is not as simple as you may think.
The hiring problem is caused by a variety of factors including fear of contracting covid, vaccine mandates, and enhanced unemployment benefits and stimulus checks from the Federal government. Rather than going back to work or getting a job, some workers prefer to stay home and collect free money from the government and invest in cryptocurrencies like bitcoins and dogecoins. In July, four million people quit their jobs in what some are calling the beginning of the “Great Resignation.” But the situation is not getting any better.
In August, a record 4.3 million Americans voluntarily quit their jobs, according to a report by the Independent, citing the latest data from the US Department of Labor. The data further shows that the number of people leaving their jobs is particularly high in the leisure and hospitality sectors. Overall, the Bureau of Labor Statistics reports found that people are quitting their jobs across a whole range of industries.
The Great Resignation is a term first coined by Texas A&M University professor Anthony Klotz and has become another buzzword on social media. Klotz argues that “when there’s uncertainty, people tend to stay put, so there are pent-up resignations that didn’t happen over the past year.” In May, Klotz told Bloomberg Businessweek that companies should expect employee resignations as the workforce stabilizes.
Another study conducted by Microsoft confirms Professor Klotz’s view and also explains why companies are finding it difficult to find the right workers. In June, a Microsoft study found that 41% of workers worldwide are considering quitting their jobs, with 54% of Gen Z, aged 18 to 25, saying they are contemplating the decision, the World Economic Forum reports. Across the nation, 15.4 million Americans are not working and are collecting unemployment checks from the government as of mid-May.
Even as companies are offering all kinds of perks and bonuses, millions chose not to return back to work and decided to quit their jobs instead. So far this year, 4 million Americans have quit their jobs. Today, companies are experiencing a mass exodus of employees only one year after we’ve seen the highest unemployment rates since the great depression.
So, why are workers leaving their jobs in droves? Does it have anything to do with the recent vaccine mandates because employers are now requiring workers to show proof of vaccination? Experts offered many insights including workers not wanting to go back to the office due to the fear of getting sick, flexibility, and work-life balance. Others said workers are leaving their jobs to focus on what is important in life such as family and their children’s education.
But Katie Lynne, a YouTuber who herself escaped the corporate rat race, thinks there is a deeper underlying issue than what we see on the surface. Lynne argues that the “I quit trend” certainly did not happen overnight. She explains that even before the pandemic, the vast majority of the workforce has already been living in silent agony working at their jobs.
In the video below, Katie Lynne explains how we might have got here and also offers seven great reasons where workers are quitting their jobs and what they mean for the future of work, and what it might mean for you. Enjoy!