Supermarkets and shopping malls often line up during rush hour, with logistics companies and ports piling up cargo. In front of shops, restaurants, factories, there are job advertisements everywhere. "We recruit workers", "need helpers"...
In the United States, there seems to be a lot of information about labor shortages.
Every employer seems to be able to offer a decent salary, better benefits, and even a signing bonus. According to the data, in December 2021, U.S. wage growth reached 4.5 percent. It is the highest level since 2001. Employers in the fast food industry are also offering more benefits, such as college scholarships and medical benefits. It seems that the working environment is more ideal, but why is there such a serious labor shortage?
It all starts with the "great resignation" of the United States.
According to information disclosed in the recent U.S. government jobs report, more than 20 million people in the United States quit their jobs in the second half of 2021, an appalling number, setting a record for the highest turnover rate in 20 years. Anthony Cruz, an associate professor of management at Texas A&M University, even coined a new word for this: "Great Resignation", which resonated widely in society and was quickly written into dictionaries and online encyclopedias, becoming the hot word of the year in the United States in 2021.
During the epidemic, the economic situation is tense, who has chosen to resign? Why did you choose to resign at such a time?
01
In 2021, who chooses to "stop doing it"
In terms of age, according to LinkedIn data, people of all ages are quitting: millions of baby boomers are retiring early, and millions of "Generation Z" young people are also quitting their jobs. Another survey shows that the turnover rate of people aged 30-45 is also high.
In terms of industry, recent data shows that people in every industry are quitting: 4.4 percent of jobs are understaffed in education, 6 percent are open in retail, and more than 8 percent are open in healthcare. Nearly 9 percent of the jobs are open in hotel restaurants, bringing the total to around 1.5 million.
Corsoberchinsky is a restaurateur who owns several restaurants in Greenville, South Carolina, and he needs both people working in the back kitchen and waiting in the front office. When asked by a reporter why it is so difficult to attract and retain employees? His answer was that they had not yet reached the point of negotiating conditions, and no one had come to apply.
Construction is another understaffed industry, with nearly 350,000 construction jobs in the U.S. understaffed in the last count.
James Jordan owns a fast-growing construction company in Greenville. He said the company's profits can double every year, and there is no problem of not being able to find a job, the problem is that it is difficult to find people who can start working quickly.
02
Why did Americans resign?
The first reason may be that the epidemic has made people reflect on life.
"We've all been working for a long time, and the pandemic has given everyone an opportunity to reflect."
Faced with a health crisis sweeping the globe, everyone seems to be thinking, "What exactly should I do?" What is what I like to do" "If you don't take action now, when will you stay?" LinkedIn Chief Economist and Oxford University Dr. Karin Kimbrow gave this answer.
Benjamin Granger, head of employee experience consulting services at Qualtrics, an American experience management firm, said: "People certainly behave differently when faced with a possible death. "People are taking a very different view of work: 'I'm not working for a paycheck.'" That's not what it's for. I need to get satisfaction. '”
Long before the pandemic, millennials in the United States had severe financial anxieties. Because of heavy college loans and the economic slowdown since the Great Depression, this generation will be the first generation in American history to accumulate less wealth than its parents.
The arrival of the epidemic has brought anxiety to the peak. According to a survey by Mind Share Partners, two-thirds of millennials mention mental health reasons in 2021. Generation Z is higher, at 81 percent.
Overall, the layoffs and economic depression caused by the pandemic have made people rethink what should be prioritized.
The second reason is that Americans are "overworked."
The turnover rate in the retail and service sectors is very high. Karin Kimbro said that for some people, such a job may not be worth it, because after leaving, they did not change to a company in the same industry, but went to rest.
Karin thinks it's probably not because they don't need the job, but because "Americans are overworked now," perhaps with a "you take over, I'm not going to do it."
Nate Mann, 40, spent most of his life as a bartender in Washington, D.C., staying up late and stressing in exchange for an annual salary of $80,000 a year. Because of the pandemic, the bar he worked for closed in March 2020. Nate decided to do what he had long wanted to do: painting.
The third reason is migration.
In 2021, many Americans will leave big cities like San Francisco and Chicago to move to smaller cities like Austin, Miami, and Greenville. The reason why people left was mainly because of housing costs. Housing prices and rents in big cities are too high, they choose to go to places where housing prices are more reasonable, smaller cities have more space, more security, and people are willing to live in a new environment.
The amount of money you can rent an apartment in San Francisco is about the same as buying a nice house in Greenville. Such an environment not only attracts big employers such as BMW and Michelin to open up new horizons, but also provides a good living environment for small businesses and start-up companies.
The fourth reason is that the relationship between the rights of employers and employees has changed.
In fact, job advertisements can still be seen on the main roads of Greenville, just like in big cities.
In response, many people believe that the government's generous economic stimulus checks and unemployment benefits are the real reason why many workers choose to side no matter where they live.
However, Cole is skeptical, arguing that some people who choose to quit their jobs are not completely at home, they have chosen other careers and life experiences, a more suitable lifestyle.
Karin said that from the data, after the relief payment was stopped, many people still did not go back to find a job, so the relief payment is not the only factor that everyone considers. Businesses are eager to recruit, and workers become very picky. This is largely because the power relations between employers and employees seem to have undergone a major shift.
Workers seem to have more say. Today's workers value both better pay and benefits, autonomy and flexibility, especially during working hours, so any company, large and small, needs to respond to the needs of its employees.
Gone are the days when employers say " it 's your luck to get the job' and that's the way to go. If employees want more flexible working hours and the employer can't cooperate with them, then sorry, you have to miss out on good employees.
If employees want to pursue further education, James Jordan's construction company pays their tuition. If they relocate here, the company will also pay for their move. Like many employers, he offers contract bonuses and flexible working hours for new hires. In addition, a new person in the construction company was recruited by the boss every day for two months.
The fifth reason is that Americans love remote work.
Americans have embraced remote work, and currently, people are 2.5 times more likely to apply for remote work than non-remote work. Karin said that before the epidemic, 1 in 67 jobs was remote, and now, 1 in 7 jobs is remote. Many companies should already be aware that if they want to attract job seekers, they need to meet their remote needs.
For some, this even becomes a new business opportunity. Kenzie Begis moved to Greenville in 2017, and a few years ago, she founded Work Bee, a company that focuses on executives and executive assistants looking for remote assistance for executives and companies across the country. Her idea was very advanced, but when she told others a few years ago, "You should find a remote administrative assistant," many people would look at her strangely, but because of the epidemic, this idea suddenly had the opportunity to be promoted. When the company first started, it also docked three or four people a month, and now it can negotiate 18 people per month.
Melissa, the housewife who chose to resign during the pandemic, is currently working as an administrative assistant for three groups through work bees. She worked from home, connected remotely with her three bosses, and was as busy as before, but happy because she felt she had the initiative. Melissa even got her fourth job as an English lecturer at Greenwell Technical College.
The balance of power may soon return to employers, especially when people who quit spend their savings. However, Karin Kimbroe expects the trend toward more flexible work to continue for a long time, and no office environment is more comfortable than her own home.