The Great Resignation

Post-pandemic business will throw up new challenges and obstacles to Business Owners.

One of the emerging trends in America has been coined The Great Resignation. The Great Resignation sees workers leaving their current employment in significant numbers.

In this blog, I explore The Great Resignation and how business owners can combat it and retain team members.

The Great Resignation is a trend that has seen high volumes of employees leave their jobs post-pandemic. The reasons for this are many.

It started with people working from home. In removing long commutes, and often dreary repetitive 5-day office visits, many workers found a new independence and rhythm to their working from home arrangements. More time, flexibility and less stress.

Others struggled to work from home and longed to return to the office to work collaboratively with their teams in a neutral environment, away from home.

Some workers have reflected on their vocations, and decided after two years of Groundhog Day, that they wish to pursue a new career.

Others, sick of long lockdowns, have made a sea change or tree change to a new location and start afresh.

Many have changed jobs for higher salaries, better condition or both.

Some have dropped out of the workforce entirely.

Others have sold homes and retired.

The point is that the reasons are many and varied.

But the fact remains that workers are reflecting on their life in a way in which they have never done before.

The status quo is shattered.

The anxiety and uncertainty created by the pandemic has resulted in people looking through a different lens.

Suddenly, ideas that may have seemed fanciful or unrealistic are being considered as legitimate life-changing options.

People are reflecting on their lives, mortality and careers more holistically.

The initial industries experiencing The Great Resignation have been health workers, administration workers, retail workers and white-collar professionals.

There will be many more.

In Australia, it is expected that we will see this play out early in 2022.

After enduring the pandemic, Australian workers have limped to the line for Christmas exhausted to take their annual leave. I expect this leave period will have included intense and deep reflection on the past two years. Underlying this will be a major consideration of personal life and work choices.

With little real wages growth over the last decade and employers facing a labour shortage, workers will hold the balance of power in bargaining for higher wages or better conditions.

It is predicted that we will follow the overseas experience in seeing workers depart for all of the reasons mentioned earlier.

This talent drain will likely lead to more labour shortages forcing employers to materially increase wages and improve conditions.

So what can employers do to fight The Great Resignation and retain staff?

Ensuring that employees are engaged, empowered, remunerated, reviewed and rewarded is the key.

Engage employees by including them in strategy, establishing dynamic project teams, reporting the news, clearly articulating your vision and creating win/win outcomes in the roles they play within your business.

Empower them by articulating the game plan and how their role contributes to achieving that. Focus on less micro-management and more outcome-based management styles.

Remunerate at or above market. Progressive businesses will introduce bonuses, incentives, profit-share and even equity to lock in talent.

Review will also be a major player with leading businesses adopting more effective internal meetings, team sessions, 1-1 sessions with individuals and regular periodic reviews and appraisals.

Reward acknowledges the contribution teams and individuals make. This can be seen through improving employment policies, virtual/physical workplace arrangements, hours, benefits and working conditions.

And finally, the circle around all of this is employee care. Caring for people includes welfare, mental health and wellbeing. Ignore this at your peril.

 While we can’t predict the extent to which The Great Resignation will impact us, we can say that it will be a major challenge (and opportunity) in rebooting business out of the pandemic.

Allocating time and resources to this threat is key.

Businesses that adopt a consultative collaborative approach with their workforce, combined with an ability to implement meaningful change for their teams, will thrive.

Unfortunately, business owners that are unwilling to listen, act and change will face significant threats.

The first step to great change is acknowledgement and The Great Resignation is here.

What are you going to do about it?

 

I write blogs & videos just like this one on business, productivity and human development. If you'd like it delivered straight to your inbox head to https://darrenkbourke.com/the-fourth-moon-blog and let me know your email.

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