Although the peak of the resignation crisis has died down, statistics revealed that Arizona is still experiencing voluntary dismissal, with a 4.3% quit rate last March 2022. It indicates that for every 1,000 people employed, 42 of them decided to leave their jobs and find better opportunities elsewhere.
In a local news article on the Great Resignation in Arizona, experts claimed that this shift allows employees and job seekers to have bargaining power over employers. The Director of the Economic and Business Research Center at Arizona State University, George Hammond, said, “For workers, this can reflect increased opportunities in the state, and it can also offer workers the chance to increase wages by changing jobs.” Similarly, Danny Seiden from the Arizona Chamber of Commerce and Industry stated that these rising numbers are not inherently negative. He shared, “Increasing quit rates are often a sign of confidence in the economy [since] people tend not to quit their jobs when they don’t think they can go out and get another one.”
And due to the shift in employment trends, employers are also changing things in the workplace. This is significantly evident in the hospitality industry in Arizona, which traditionally has low wages compared to other jobs. In March 2020, Arizona employers in the leisure and hospitality industry were paying an average of just $17.55 an hour. Today, that figure rose to $20.81, nearly a 19% increase from before. The service industry is also now offering higher minimum wages plus fringe benefits like free college.
Some employers, like Arizona CEO Chris Ronzio, are even offering a $5,000 bonus to new hires to quit after two weeks on the job. According to Ronzio, this is part of their unique company approach to staff retention as the Great Resignation continues to sweep the American workforce. Compared to providing higher wages, bonuses, or education opportunities, Ronzio explained that this approach allows his team to be accountable for hiring the best-fit employees and gives his employees the power to “fire the company.”
Why Are Employees Leaving?
Despite the increasing wages, some people are still adamant about leaving their jobs and changing careers. When employers are left wondering what to do, experts recommend that employers must focus on providing engagement and job fulfillment for their employees, for a start. Today, employees believe their jobs should no longer be solely about their salaries or position. It’s more about the available opportunities to grow and learn as well as to significantly contribute to the organization that will make their jobs more fulfilling.
Moreover, our previous article on how experts can navigate the Great Resignation, shared that in the past few years, people have had new standards and expectations for their life. This includes how their life relates to their work, where they work, the kind of work they do, and who they work for. Because of these changes in values, employees are no longer settling for jobs that don’t offer what they want and look for in a company.
Is the Great Resignation Slowing Down?
Even if the Great Resignation has been around for quite some time, recent surveys revealed that voluntary dismissal is not yet over. A news report by CNBC discussed that 52% of Gen Z and Millennials workers were likely to consider changing employers this year, a 3% increase from last year. Although the numbers are lower, a substantial 35% of employees aged 42 years and above said they are also thinking about a job change. This illustrates how even if the Great Resignation started a few years ago, it’s still affecting the majority of the American workforce, especially the younger generation. As one industry expert puts it, the concept of job loyalty may now as well be a thing of the past.