… many even before their first 3 months on the job.
There is something strange happening in the labor market right now. We’ve been tracking this quit trend for the past 12 months. Although it wasn’t obvious from the labor statistics, anecdotal evidence from our customers revealed a shift in the traditional employee/ employer compact starting at the end of 2015.
Hiring managers are asking, ‘what the h**l is going on?!’
In simple terms, many people in the labor market today no longer care about their professional reputations. Even more disturbing – they don’t find it important to maintain a steady source of income. This new attitude isn’t limited to hourly workers or millennials. We’ve seen this happen with engineers, accountants, Gen X’rs, and even a few Baby Boomers. So what the hell is going on?
Does this sound familiar?
- A new engineering graduate was recruited by an international manufacturer for a career development program guaranteed to provide 3 years of progressive experience. The job includes higher-than-market salary, great benefits, and the expectation of promotion to a leadership position. She calls the company one week before her start date to turn down the job. The reason? She’s not really sure what she wants to do yet.
- Next, a 30-something accountant accepts a controller position with a growing company. It’s a step up in both compensation and responsibility from his previous job. He works for six months and informs the CEO that he’s leaving the company. For a better job? No, he’s taking an internal audit position for the same amount of money.
- This one is even better! A social services professional with a Masters Degree is hired for a position of responsibility with a not-for-profit agency in her specific field. She works there for 3 weeks and quits on a Friday without notice. Did something bad happen to her? No, she decided after just twelve days on the job that it wasn’t right for her.
It is not hyperbolic to say that there’s something seriously broken in the labor market right now. We’re not sure of the causes, but the effects are real. Many businesses are losing money from hiring activity gone awry. It’s not just the wasted salaries. Opportunity costs are rising as a result of management distraction and capacity shortages.
To mitigate this risk, managers must fundamentally change how they employ and deploy human resources across their organizations.
Integrity has identified this as a long-term trend. Companies will continue to experience losses and reduced capabilities from a fickle workforce. Don’t let yourself be misled; this is not an H.R. problem – it’s a financial problem.
I invite you to email me descriptions of your recent hiring experiences to email@example.com. At the very least, it may make you feel better to know that it’s not just happening to your company.
Love Your Work