If you recently left a job, you’re not alone!
About 50.5 million people were part of ‘the Great Resignation’, last year.
What exactly is the Great Resignation?
It’s a term that describes the ongoing economic trend in which employees voluntarily resign from their jobs in large numbers. This movement began in early 2021, after the COVID-19 pandemic.
The Great Resignation was caused by various factors, from work-life balance to low pay.
Curious to learn about the impact of this economic movement?
Check out these Great Resignation statistics:
Top Great Resignation Statistics: Editor’s Pick
- According to Statista, 4.5 million people quit each month between November 2021 and April 2022. [1]
- 50 million employees in the US quit their jobs in 2022. [2]
- A McKinsey survey conducted across six countries in 2022 showed that 40% of workers were dissatisfied with their jobs. [2]
- The number of total separations was 5.7 million in August 2023. [3]
- About 70% of US workers plan to leave their jobs in 2023. [4]
- The hospitality industry had the highest number of resignations in 2021. [5]
- 92% of employees state that the pandemic made them realize they didn’t want to stay in a job they weren’t passionate about. [6]
- About 90% of Gen Z employees who quit during the Great Resignation regret their decision. [7]
Great Resignation Statistics by Demographics
Many employees part of the Great Resignation were younger workers and those with lower incomes.
Here is a more detailed look at the relationship between demographics and the Great Resignation:
Great Resignation Statistics by Age
66% of Millennials and 72% of Gen Z employees are considering switching jobs in the next year. [8]
55% of Gen X employees and 30% of Baby Boomers want to change jobs in the next 12 months. [8]
Pay growth for job changers was 8.4% in 2021, while job stayers reported a 5.7% year-over-year pay rise. [9]
According to a study by the Pew Research Center, almost 40% of employees who resigned in 2021 were younger than 30. [10]
| Age | % of Resignation |
|---|---|
| 18-29% | 37% |
| 30-49% | 17% |
| 50-64 | 9% |
| Older than 65 | 5% |
Attrition Rates by Income
24% of workers who resigned during the Great Attrition had lower incomes. [10]
18% were from the middle-income group, and 11% had higher incomes.
Great Resignation Trends by Gender and Education
Of the total employees who resigned, 20% were women and 18% were men. [10]
Here is the data based on education levels:
| Education | % of Education |
|---|---|
| Less than a high school diploma | 30% |
| High school diploma or equivalent | 26% |
| Some college, no degree | 23% |
| Associate’s degree | 21% |
| Bachelor’s degree or higher | 15% |
Attrition by Race and ethnicity
Check out the Great Resignation statistics by race and ethnicity [10]:
- White: 20%
- Black: 24%
- Hispanic: 23%
- Asian: 17%
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Great Resignation Statistics by Industry
The Great Resignation had a big impact on various industries. Almost every industry faced shortages of talent and challenges in attracting talent.
The number of employees who resigned in the private sector is 4.28 million, while 252,000 workers left their jobs in the government sector. [5]
Here is the breakdown of the resignation rates by industry:
| Industry | % of Resignation |
|---|---|
| Accommodations and food services | 6.60 |
| Leisure and hospitality | 6.40 |
| Arts, entertainment, and recreation | 5.70 |
| Retail trade | 4.40 |
| Trade, transportation, and utilities | 3.60 |
| Nondurable goods | 3.50 |
| Professional and business services | 3.30 |
| Other services | 3.10 |
| Health care and social assistance | 2.90 |
| Education and health services | 2.80 |
| Manufacturing | 2.70 |
| Transportation, warehousing, and utilities | 2.70 |
| Construction | 2.50 |
| Durable goods | 2.20 |
What Were the Causes of the Great Resignation?
The COVID-19 pandemic was one of the major factors that triggered the Great Attrition. It disrupted normal operations and forced many workers to rethink their priorities.
Check out the reasons why employees resigned from their jobs:
Low pay: 63% of employees left their jobs because the pay was too low. [10]
Lack of career growth: Almost 63% quit because there were no opportunities for growth in their current roles.
Lack of respect: 57% resigned because they felt disrespected at work.
Working hours: About 4 in 10 (39%) employees say the reason was that they were working too many hours.
Lack of flexibility: 45% left their jobs because they did not have the flexibility to choose their working hours.
Fewer Benefits: 43% of workers resigned because the benefits were not good.
How to Attract and Retain Employees during the Great Resignation?
During the Great Resignation, several companies revamped their strategies to attract and retain talent.
Here’s how companies improved retention rates amidst the Great Attrition:
59% of employers considered eliminating college requirements in 2022. However, 75% felt that an undergraduate degree was the minimum requirement. [12]
76% of companies were open to more applicants from different types of positions and/or industries.
One-fourth of hiring managers said that an applicant’s degree rarely matches the industry.
From the data, it’s evident that in a tough labor market, organizations need to be a little flexible with the educational requirements for a role.
94% of Gen Z and 84% of millennial employees would not take a job that required them to work from the office full-time. That’s why several companies switched to hybrid or remote work options.
Better compensation, reproductive health benefits, and growth opportunities are some of the other factors employers focus on to retain talent.
FAQs about the Great Resignation
What are the impacts of the Great Resignation?
The Great Resignation has had a significant impact on the economy. It caused labor shortages, wage increases, and a decline in productivity.
It also had a personal impact on many workers and families, since people transitioned to new jobs or left the workforce altogether.
How can businesses address the Great Resignation?
Businesses can address the Great Resignation by:
- Offering competitive wages and benefits.
- Creating a positive and supportive work environment.
- Providing opportunities for career advancement.
- Offering flexible work arrangements.
- Investing in employee training and development.
When will the Great Resignation end?
It is unclear when the Great Resignation will end. Resignations are still higher than during the pre-pandemic.
Many other workers are quite quitting by staying at their jobs but doing the minimum to avoid being fired.
Is the Great Resignation good or bad?
The Great Resignation is both good and bad.
On the one hand, it is giving workers more power and bargaining leverage. It is also forcing businesses to improve their workplaces and offer more competitive compensation.
On the other hand, the Great Resignation is causing disruptions in the economy.
What is the difference between the Great Resignation and the Great Retirement?
The Great Retirement is the large number of baby boomers who are retiring from the workforce. The Great Resignation is a large number of workers quitting their jobs.
Summary
The Great Resignation is complex, with implications for both workers and employers. These Great Resignation statistics remind us of the magnitude of this trend and the urgent need to address its underlying causes.
While the Great Resignation has created challenges for businesses, it has also presented an opportunity to rethink the way we work.
Understanding the latest statistics and trends in employee turnover, hiring costs, and retention can help employers redefine their employee engagement strategies.
Keep an eye on our website for the latest statistics, facts, and trends about various topics.
Sources
- Statista. Chart: The ‘Great Resignation’ Is Winding Down – Statista
- McKinsey. ‘Great Attrition’ or ‘Great Attraction’? The choice is yours
- US Bureau of Labor Statistics. Job Openings and Labor Turnover Summary
- Yahoo Finance. Almost 70% of US workers plan to leave their jobs in 2023 — and Gen Z, millennials are blazing the trail. 3 tips to successfully carve out a new career path this year
- US Bureau of Labor Statistics. Quits rate 6.6 percent in accommodation and food services in September 2021
- Indeed. The Future of the Great Resignation: What Employers Need to Know for 2023
- CNBC. 80% of workers who quit in the ‘great resignation’ have regrets, according to a new survey
- LinkedIn. Ready for Anything: Jobs Come and Go, But Your Career is Here to Stay
- ADP Research. ADP® Pay Insights
- Pew Research Center. Majority of workers who quit a job in 2021 cite low pay, no opportunities for advancement, feeling disrespected
- Social. 15 Great Resignation Statistics To Make Smart Decisions 2023
- Indeed. The Future of the Great Resignation: What Employers Need to Know for 2023
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Anandhi is a career expert with experience in people management and marketing. She is on a mission to leverage data and statistics to educate job seekers and help them make informed decisions.