In 2022, the “great resignation” saw a record 4.5 million workers quitting their jobs each month, amounting to about 3% of the U.S. workforce. While some believed this trend to be over, new research from Microsoft and LinkedIn indicates that more individuals are planning to leave their jobs in 2024. Nearly half of professionals surveyed in the research, which included over 30,000 people across 31 countries, stated that they are considering quitting in the year ahead. This is a higher percentage compared to the previous year’s great resignation, indicating a continued desire for career change among workers.
In the U.S., LinkedIn observed a 14% increase in job applications per opening since the fall, with 85% of workers expressing intentions to seek a new role in 2024. Confidence in job-hunting prospects has also reached a two-year high among Americans, according to a ZipRecruiter survey. Despite concerns over high inflation, the U.S. economy managed to evade the predicted recession in 2023, with strong and stable job growth being reported since the beginning of 2024. However, ongoing dissatisfaction with inflation and current job roles may be motivating individuals to explore new opportunities in search of better prospects.
Inflation is a significant factor driving workers to consider changing jobs in 2024, with nearly half of those planning to switch citing the need for a higher income. Data from the Federal Reserve Bank of Atlanta suggests that individuals who change jobs tend to experience more rapid salary growth compared to those who remain in their current roles. ADP data indicates that the median pay increase for job switchers rose to 10% year-over-year in March, a significant improvement from 2.9% six months prior. With salaries finally aligning with inflation, the potential gains from switching jobs appear more appealing to workers.
Despite the allure of switching jobs for higher pay and better opportunities, there is a growing sense of resigners’ remorse among individuals who left their jobs during the great resignation. A substantial portion of those who quit during that period express regret over their decision, particularly Gen Zers missing the office environment and Gen Xers longing for work-life balance. However, opportunities remain abundant for individuals seeking new and improved job prospects, with the labor market boasting 8.5 million openings in March across various sectors such as health care, private education, government, and leisure and hospitality.
In order to pursue their dream job in 2024, individuals can take advantage of resources such as CNBC’s online course on how to ace job interviews, which offers insights into what hiring managers are looking for, body language techniques, discussing compensation, and other key aspects of the job search process. By staying informed and proactive, individuals can navigate the evolving job market and position themselves for success in their career pursuits. Subscribers to CNBC Make It’s newsletter can also receive valuable tips and advice on achieving success in the workplace, managing finances, and overall personal growth.