Insights into the forces shaping our industry.

According to Labor statistics, in 2021, 47 million people voluntarily left their jobs.

In this article, we are highlighting the top reasons employees are changing jobs in 2022 and these trends are appearing across each of the verticals that Egret Consulting serves:

• Candidates want more flexibility and a better work / life balance. There is strong demand for positions where employees can work fully remote or from home at least 2 – 3 days per week. This can help companies save on infrastructure, office equipment and furniture, and other office services. In turn, companies are assisting remote employees with technology: home office equipment, training, etc.

• Companies began hiring people virtually during the pandemic and that trend has continued even as travel has opened. Foregoing the in-person interview speeds up the time frame of making an offer while still ensuring the candidate can meet with all the necessary team members. The interview process should not be more than an initial interview followed by no more than two panel discussions. The timeline from first conversation to offer presentation should not exceed two weeks.

• Candidates are interested in company culture now more than ever. They want to join a company and team where they fit in comfortably and are excited about. Structuring the remote interview process so the candidate learns about company culture is vital.  Continued, open communication with remote employees is essential and will keep your team cohesive. It’s proven that companies with a strong organizational culture outperform others that do not.

• Candidates are seeking opportunities with companies that will invest in them and will allow them to achieve professional development and growth.  They want access to the latest training and learn more about emerging technologies.  Having cross-functional relationships across the entire organization is important. During the Pandemic, candidates started to analyze what was required for their current position, how that fit into career goals and did it align with their values and life goals.

• Many companies are no longer providing company cars and are discontinuing car allowances and instead offering mileage reimbursement. This has been a trend for a couple of years now. Case in point Signify, which just announced their company car program is ending.  This shift could affect the candidate’s compensation requirements since they may need to purchase or lease a car.

• It is becoming extremely difficult for a candidate to get excited about making a lateral move and will require your company to have a compelling value proposition. Consider the following questions:  Are your team members viewed as industry leaders?  Do the product(s) you manufacture incorporate emerging technologies that will differentiate you from your competitors?  Do you have a new product development plan to fill holes currently in the market? Are you opening new channels and new markets?  Can you provide a rewarding challenge to the candidate that other organizations cannot? Lateral moves will require value and growth potential.  Be prepared to sell your company’s strengths!

• While compensation is not always the main reason candidates change jobs, we are seeing that candidates are asking for and receiving significant raises of 10 – 25% on average.  It is important to be educated and competitive regarding your industry’s salary ranges.

• It is essential to make 2022 the year you set your company apart from your competitors.  Make it a priority to evaluate hiring practices and organizational culture.  Find creative ways to promote your company to attract and retain the best talent. Be the company that employees want to work for!