The COVID-19 pandemic triggered a significant change in the working landscape in the United States, leading to what is now known as The Great Resignation. Factors such as pay, working conditions, and the cost of living prompted a wave of workers to leave their jobs. However, while the trend of workers quitting continues, there has been a noticeable slowdown compared to the peak of the pandemic, marking a new phase termed The Big Stay.
According to reports from USA Today, industries like retail trade and leisure and hospitality are still experiencing high rates of employee turnover. Nevertheless, the overall rate of job resignations has decreased as the demand for new hires has started to cool down. Nick Bunker, the economic research director for North America at the Indeed Hiring Lab, highlighted that the reduced demand for workers has resulted in fewer people leaving their current jobs for new opportunities.
Data from the Bureau of Labor Statistics indicates that while job openings remain higher than pre-pandemic levels, there has been a decline from the peak in March 2022. In January, there were 8.9 million job openings, showing a decrease in comparison to previous months. The BLS also reported that the number of people quitting their jobs in January dropped by 54,000 to approximately 3.4 million, down from around 3.9 million a year ago.
States like Alaska have seen higher resignation rates compared to others, with a quits rate of 3.6%. The BLS data for January revealed the top 10 states with the highest resignation rates, ranging from 2.8% to 3.6%.
The current shift in the US working culture reflects a transition from the mass resignations seen during the peak of the pandemic to a more stabilized job market. While the trend of workers quitting continues, the pace has notably slowed down, indicating a new phase in the labor market dynamics.
