Tag: Resignation

Resignation numbers show no signs of slowing

A global Talent Trends survey of almost 70,000 working adults has uncovered seismic shifts in employee attitudes and motivations – 90% of global respondents and 86% of UK respondents cited they are open to new opportunities in the jobs market.

Conducted by global recruitment consultancy, PageGroup, the survey is one of the largest studies of skilled, white-collar professionals to date. Of the 2,145 UK respondents, 50% classified themselves as active job seekers, either looking for a new role or planning to look in the next six months. A further 36% are on the fence about looking elsewhere – waiting for the economy to improve.

For employers, these figures suggest only 1 in 10 current staff members are confident they will stay put this year. New joiners are likely to be open to new opportunities as their more tenured counterparts, with more than a third of those who started their job as recently as 2022 considered ‘active job seekers’.

The year 2022 witnessed a staggering increase in resignations, with levels almost three times higher than the previous year. In 2021, the resignation rate stood at 15%, but it skyrocketed to 44% in 2022, highlighting a significant shift in employee loyalty and commitment.

The survey also explored the changing landscape of work arrangements. While traditional full-time office roles still accounted for 26% of UK workers, the dominance of remote and hybrid working models became increasingly evident. Fully remote positions accounted for 19% of workers, while a majority of 55% embraced the hybrid approach, combining remote and in-office work.

Economic conditions also played a vital role in employees’ decision-making processes. The study found that 53% of workers were more inclined to seek new employment during periods of poor economic performance. This correlation was even more pronounced in Europe and globally, with percentages reaching 58% and 70%, respectively.

Despite the wave of resignations, a considerable portion of the workforce expressed satisfaction with their current workloads (67%) and salaries (59%). This indicates that many employees are content in their roles but still keep an eye out for potential opportunities that may align better with their aspirations.

Notably, salary emerged as the most important factor when considering a job, with 23% of respondents ranking it as their top priority. However, a concerning 32% of UK respondents revealed that they had not received a pay rise in the past two years, indicating a potential source of dissatisfaction for a significant portion of the workforce.

In terms of overall wellbeing and work/life balance, the survey revealed that UK workers prioritise these aspects over career success. An overwhelming majority of 76% indicated that they would prioritise a better work/life balance and mental health over climbing the career ladder. Comparatively, in Europe, this percentage was slightly lower at 73%, and globally, it stood at 67%.

Furthermore, the study highlighted that 57% of UK workers would reject a promotion if they believed it would negatively impact their wellbeing. This finding underlines the growing importance of maintaining a healthy work/life balance and prioritising personal wellbeing in the face of professional advancements.

The survey findings offer valuable insights into the current dynamics of the UK job market, indicating a need for employers to adapt and cater to the evolving expectations and desires of their workforce. To attract and retain talent, organisations must not only offer competitive salaries but also focus on providing flexible work arrangements, nurturing positive work environments, and prioritising employee well-being.

Doug Rode, Managing Director UK and Ireland at Michael Page said: “There’s a lot of fog and ambiguity around what’s going on in the market, which is why we wanted to go straight to the source and find out what’s making both workers and employers tick. Happy workers are still liable to leave if a better opportunity comes along and many professionals are adopting a more ‘transactional’ view of their jobs, putting their own value first.”

Nicholas Kirk, CEO, PageGroup added: “Every region has seen a transformative change across all age groups, markets, and industries. It’s clear there has been a universal reset of people’s relationships with their jobs. Work-life balance, a competitive salary, and strong career progression prospects have become non-negotiable, and professionals are willing to leave their current roles to secure these elsewhere.”

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Malaysian organizations warned about talent loss 

A recent report has cautioned organizations across Malaysia about the potential loss of skilled employees, as a study revealed that salary continues to be a significant motivating factor influencing career decisions.

The 2023 Salary and Bonus Expectations report by Randstad highlighted that 91% of surveyed employees stated that a higher salary serves as a motivation to switch employers this year. The remaining nine percent of respondents cited various reasons for their decision:

  1. Unfavorable workplace culture (50%)
  2. Poor work-life balance (27%)
  3. Excessive workload (12%)
  4. Desire for a career change (11%)

The study’s findings emphasized that employees now anticipate higher salaries and fair bonuses due to inflation and increased living costs. Approximately 54% of respondents expressed the belief that their compensation did not adequately reflect their contributions, skills, and experience.

Despite these expectations, only 49% of respondents reported receiving a salary increase of up to five percent. Additionally, 39% indicated that their salaries would not be adjusted this year, and 31% stated they would not receive an annual bonus for their previous contributions. These figures differ significantly from the experiences of 30% of respondents who changed employers within the past 12 months, as they reported receiving higher pay. Among them, almost half (49%) received a salary increase of over 20%. The remaining respondents received the following salary increments:

  1. 16% to 20% increase (12%)
  2. 11% to 15% increase (12%)
  3. 6% to 10% increase (11%)
  4. Less than five percent increase (16%)

Randstad emphasized the “crucial” importance for employers to recognize the role of salary in motivating and retaining talented individuals. The company stated on its website, “To attract top talent and meet new expectations, companies must conscientiously review and adjust their internal salary and bonus structures to align with evolving skill demands, meet employee expectations, and remain competitive in the market.

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A toxic workplace is the primary reason for employees resigning

Brits are more than twice as likely to leave their job due to negative company culture or a toxic working environment – more than the limitations of flexible working, a survey revealed.

The Cpl’s Talent Evolution Group survey of 1,500 UK employees, puts the onus on employers to prioritise employee satisfaction and instil an inclusive and positive culture in the workplace. Organisations need to meet the expectations of employees to attract and retain talent at a time where the talent shortage is at an all-time high.

Over 80% of 25–44-year-olds would not consider limitations to flexible working a reason to hand in their notice, challenging the general consensus.

The top reasons for why employees to consider resigning are;

  • Ineffective or toxic line management
  • Lack of recognition
  • Negative company culture
  • Toxic working environment
  • Poor job security

Barry Winkless, CSO of Cpl and Head of Cpl’s Future of Work Institute said: “In a world competing for the best talent, many businesses are ill-equipped to position themselves as an attractive, destination workplace that puts a human and holistic approach at the centre. The creation of a true destination workplace requires a constant focus on ensuring a fully diverse and inclusive environment which allows people to be themselves at work.

“By focusing on holistic needs- personal, emotional, and social- across diverse workforces, we can continuously improve the humanity of an organisation. Meeting these new expectations of employees will be fundamental to retaining precious talent.”

For more information; https://www.talentevolutiongroup.com.

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Less than 1 in 5 employees have completely shut the door on previous employers 

A  new report highlights the rise of the “boomerang” employees with almost three quarters of professionals open to returning to their pre-Covid employer, with half admitting the reasons why they left are not relevant in today’s market.  

The poll, from recruiter Robert Walters, cites 45% of workers who left their job after lockdown did so for better pay – with a further 35% leaving for a better workplace culture or a more fulfilling role. 

Fast-forward two years and 48% of professionals admit their current employer is no longer meeting their needs, realising the ‘grass wasn’t greener’ – with 24% saying the cost-of-living crisis and hybrid-working fatigue has changed how they feel about their current employment. 

Key report findings;  

  • 71% considering returning to pre-Covid employers  
  • Quarter admit to having already reached out to previous employer 
  • 49% admit original reasons for leaving – purpose, pay and flexibility – are no longer relevant 
  • 48% claim current employers no longer meets their needs in current climate 
  • Quarter admit cost-of-living crisis has changed how they feel about current employer  
  • 82% remain in touch with previous employer – with third saying it is to keep door open 

A quarter of professionals have admitted to reaching out to a previous employer in the past year regarding job opportunities, with a further 11% stating that they have not done so, but intend to this year. Less than 1 in 5 employees have completely shut the door on previous employers, with 18% stating that they keep zero contact with their previous manager. 

Whilst the sentiment may be there from professionals – the same cannot be said for managers – with 44% being hesitant in allowing an old employee back into the team, with just a fifth stating that they would only consider it if they had been an ‘exceptional employee.’   

Toby Fowlston – CEO of global recruitment consultancy Robert Walterss said: “The post-pandemic bounce back saw record numbers of employees leave their job in what was billed as ‘The Great Resignation.’ However, our research indicates the first signs of ‘The Great Regret’ – with 71% of professionals stating that they would like to return to their pre-Covid employer, a mere 18 months after leaving. 

“Across 2021 we saw record pay rises offered to professionals, with promises of an uber flexible and hybrid culture. Come 2023, and these pay rises now pale in comparison to the rising cost of living and inflation – with those new starters who were offered inflated salaries being much less likely to have received a pay increase this year. It appears workers are realising that the grass may not have been greener after all.” www.robertwaltersgroup.com 

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35% of employees leave for more money

Energy business Gazprom Marketing and Trading released the results of its recent survey which have enabled the company to create a profile of the average UK job hunter, discover the most common reasons for moving job, and determined how important company reputation really is.

Findings stated that 60% of respondents look for a new job because they want new challenges and better progression which a bigger motivator than more money (24%). Despite this, the biggest factor for workers accepting their current role was revealed to be an attractive salary (35%). With culture being the third reason employees seek out new roles.

Three quarters of candidates said a company’s reputation is important when looking for a job, which emphasises the importance of employer branding. A staggering 84% of job seekers find a new role within the first six months of beginning their search with almost half (49%) finding one in the first three months.

We’ve heard time and again that the onboarding process is key to retaining staff and the survey revealed that 95% of applicants attend fewer than five interviews during the selection process before securing a new role, while only 5% attend six or more. Employers need to ask themselves if five interviews are too many interviews because remember, while you’re interviewing a potential candidate, so are other employers.

Interestingly, more jobseekers use employer websites directly (57%) than job posting sites (54%), with only 12% working directly with recruiters. Professional networks (40%) and social media (26%) also play a role.

A Resourcing Partner at GM&T commented: “If a business effectively builds its reputation, their dream candidates will soon start knocking on their door. And while this takes time, it’s a worthwhile investment that will ensure relevant, high-quality candidates, while helping to lower an organisation’s recruitment overheads in the long-term too.”

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38% of employees are looking to change roles  

Almost all HR leaders are concerned employee turnover will skyrocket in the coming months, according to a Gartner survey of 572 HR leaders.  

Another Gartner survey of 1,609 candidates between May and June 2021 found that nearly half of today’s applicants are considering at least two job offers simultaneously. 

Talk of “The Great Resignation” is still dominating the news, despite no concrete evidence of its existence. According to data by Personio, close to two-fifths (38%) of employees are looking to change roles within the next six to twelve months.  

To gain competitive advantage in today’s war on talent, employers need to focus on retention strategies such as the following:   

  • Ensure career progression plans: empower your staff to be the CEO of their careers and ‘grow your own’ instead of hiring externally.  
  • Implement mentorship programmes. These foster a sense of belonging in the workplace.  
  • Emerging talent is very focused on diversity and inclusivity. Ensure your business is inclusive.  
  • Promote a work/life balance. Wellbeing is a key focus for employees now more than ever.  
  • Widen your business’s talent pool. Hire outside of the normal parametres of the preferred skillset. It’s not always about skills, it’s about potential, too.  
  • Offer flexible working that aligns to employee and work needs: flexibility is no longer a perk, it’s a prerequisite for employment since coming out of the pandemic. If you’re not prepared to offer your workforce flexibility, they will find an employer who does.  

Photo courtesy of Canva.com

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Over half of employees feel undervalued

Research released by Firstup, a digital employee experience company, revealed that employees are unhappier in the workplace now more than ever post-pandemic. The survey showed a mounting dissatisfaction among employees across the UK, US, Germany, Benelux and the Nordics, with talent feeling undervalued, uninformed, and un-unified.

Lack of communication from leadership was cited as a main contributing factor to unhappy employees with almost a quarter of respondents to the survey agreeing that better communication will lead to increased productivity and work satisfaction.

Nicole Alvino, founder and CSO of Firstup, said: “Businesses need to provide more valuable working experiences or remain responsible for the career reboot of the decade that some are calling The Great Resignation of 2021. This research is a clear and urgent call to action – an organisation’s employees are its most valuable asset with employee satisfaction having a direct impact on the bottom line. Business, HR and Internal Comms leaders must act now to stem this workforce dissatisfaction and engage their teams with personalised information that helps them do their best work.”

Research from the 23,105 workers found that 56% don’t feel valued in their role and 38% want employers to ‘create better lines of communication between executives and employees’.

It appears that remote workers seem to feel these complaints most keenly, with a growing tension between desk based and deskless workers. It found that 25% of respondents felt they get more attention from their employer when they are physically at the office, only 30% of deskless workers think that their employers listen to them, and 39% of desk-based workers felt that their deskless colleagues could learn from them about ‘how to communicate with colleagues and ‘how to work as a team’.

The great temptation

This comes off the back of research from Reed.co.uk which found that almost three-quarters of Britains are actively looking for a new job or are open to opportunities. The survey, which canvassed 2,000 employers attempting to attract new talent and retain restless employees, suggests that businesses will need to adapt their offering to align with new employee priorities that have been shaped by the pandemic.

Salaries remain a top driver with 39% of respondents stating that they would stay should their employer offer a high salary. Flexible working hours is also at the top of the list. Other suggested incentives from the survey included: more annual leave (25%), a promotion (21%), and 18% asked for increased training and development opportunities.

Commenting on the research, Simon Wingate, Managing Director of Reed.co.uk, said: “We are in the midst of a sea change in the labour market, with it very much having shifted from a buyers’ to a sellers’ market due to the sheer – and record-breaking – number of job opportunities available.

“After a challenging 18 months for jobseekers which gave rise to a culture of uncertainty in the labour market, workers are now mobilised by the prospect of new and exciting opportunities with better rewards. Employers must find creative solutions and adapt to the new market conditions following the pandemic in order to maintain the resurgent economy’s trajectory.”

Following LinkedIn’s recent research highlighting 6.8 times the number of recruitment roles posted on its site in June compared to the same time last year, is the Great Resignation spreading to the staffing sector?

“There is a lot of potential for ‘revenge resignation’ for all those who were put on furlough through successive lockdowns, in the wider economy but particularly in recruitment, but it’s less likely to impact employers who offer flexibility and authenticity with a client-centric culture,” said Tim Cook, Group CEO of nGage, who will be speaking on this topic at the World Leaders in Recruitment conference on 5th October.

Commenting on the growing debate about the Great Resignation, TALiNT Partners Managing Director, Ken Brotherston said: “In general it is always wise to treat dramatic headlines or simple phrases with a large pinch of salt. My general rule of thumb is this: does the person promoting the headline have an interest in it being true? If so, approach with caution.”

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