Solving the Great Resignation with a Return to Basics – Part 1

Starting in 2021, a new phenomenon swept over the U.S. labor market known colloquially as the Great Resignation. Due to the pandemic, the market created favorable conditions for workers to quit their jobs at near-record levels in search of better opportunities. Recruiting and retaining skilled talent has always been challenging for companies, but it has never quite been as strong a challenge as it is now during the Great Resignation. In a recent poll among Cartus clients, 71% shared that they experienced some turnover or resignations within the last two years. In a recent Bloomberg poll, 38 million U.S. workers quit their jobs in the last year! 

COVID-19 caused giant priority shifts in the labor market that still affect organizations today. The U.S. job market is currently in what is called “hot for workers”, meaning they are seeking better opportunities amid the high demand for labor, with a greater work-life balance, bigger paychecks, and an overall focus on holistic wellbeing. Many jobseekers today have greater access to new labor markets and wider work options. They have greater power to choose how, when, and where they work, and who they work for. Conversely, companies are aggressively competing to attract talent and are having to make concessions to the labor force.