Have you heard of the “Great Resignation?”
That’s the phenomenon of people choosing to leave their jobs permanently during the Covid-19 pandemic.
A survey by two Israel-headquartered international companies confirms it’s for real.
Fiverr Business and Hibob surveyed 501 HR executives and 501 hiring managers in the United States. Most agreed that employees are leaving their jobs due to an increased desire for flexibility in their work-life balance.
Some 54% of respondents said that workers leaving their companies are not re-entering the workforce, opting instead to work as freelancers, founders or small business owners. This leaves many companies struggling to fill positions.
Key findings from the Great Resignation report:
- 30% of respondents said that people are leaving their jobs more now than pre-Covid because they want more flexibility. This is now valued above better pay (27%) and promotions (26%).
- 46% said that at their companies, more managers and directors are leaving than entry-level employees. The majority reported that employees leaving their companies are aged 36-45.
- 58% said that turnover has either some negative effect or a very bad effect on their team’s productivity.
- More than half (61%) said that it takes, on average, up to six months to hire new full-time employees; 39% said it takes more than six months.
- 54% of HR leaders and hiring managers said that many people that have left their companies are already working for themselves.
- 42% agreed that hiring newly available freelancers could add flexibility and innovation to an organization, but 58% of respondents said that they never or rarely work with freelancers to fill skill gaps and complete tasks.
“At Hibob, we have seen this last year a tremendous emphasis on workplace flexibility — hybrid working solutions and remote setups,” said Ronni Zehavi, founder and CEO of Hibob.
“HR leaders and hiring managers are seeing that employees continually expect their direct managers and companies to help them achieve work-life balance as well as to trust their commitment and engagement when goals and tasks are communicated well,” Zehavi said.
“HR leaders realize that skilled candidates and remarkable people will work for organizations that offer flexible work arrangements in terms of location, hours, commuting and various contractual arrangements — whether that’s in a full-time role or as a freelancer.”