Are you sitting down? Because this is shocking…
Microsoft recently released the findings of a study that revealed a staggering 40% of the global workforce is currently considering leaving their jobs.
This shift is so significant, it’s been named The Great Resignation.
But what’s driving this shift, and what does it mean for the future of work?
Here’s what you need to know.
An Overview of the Numbers
In April of 2021, the U.S. broke its all-time record for the most resignations in a single month. Then, in July, even more people quit. And then it happened again in August, surpassing all historical numbers.
On a global scale, Microsoft’s data is the result of a study of more than 30,000 people in 31 countries as well as an analysis of trillions of productivity and labor signals across Microsfot 365 and LinkedIn, as well as perspectives from experts who have spent decades studying collaboration, social capital, and space design at work.
What Caused the Great Resignation?
In a nutshell, it was the year 2020 that really set the Great Resignation in motion. And there were a few distinct factors that drove it.
The Pandemic Created a Spike in Flexible Work
When COVID-19 caused work-from-home mandates around the world, something interesting happened: employees started realizing that they loved the flexibility of remote work–and they didn’t really want to go back to the office.
The problem is that many employers weren’t–and still aren’t–ready to adopt hybrid work yet, and it’s got people feeling the need to explore alternative career opportunities that cater more closely to their desire for flexibility and work-life balance.
Leaders Are Losing Touch
Workers are feeling a strong disconnect from their leaders. In fact, 61% of leaders say they’re thriving right now–but this sentiment isn’t shared by their teams, only 38% of whom feel the same way.
This is causing 37% of global employees to feel as though their companies are asking too much of them, especially during times like this.
Employees Are More Productive But Also More Burnt Out
While 82% of employees say their productivity has remained steady or improved since 2020, it’s come at a cost:
- 20% of employees say their employers don’t care about their work-life balance
- 54% feel overworked
- 39% feel exhausted
And it’s this disconnect between productivity and employee wellbeing that’s making employees feel bitter with their companies and driving them to to seek opportunities that provide better balance as a result.
Gen Z is Struggling
It’s been shown that 67% of Gen Z employees feel they’re merely surviving or fully struggling to get by. And considering that Zoomers are quickly becoming the largest generation in the working world, their wellbeing has a direct impact on the stability of the workforce.
Gen Z seems to be struggling with work-life balance, feeling unvalued at work, and facing financial challenges as a result of being undercompensated.
And these factors are causing this generation to look for new and better opportunities that better align with their needs.
Companies Became More Siloed
As remote work caused increased isolation, connections between close networks grew while connections between more distant networks shrunk.
This caused companies to become more siloed and team interactions began diminishing over time. And, as a result, collaboration suffered and it became harder for teams to create new ideas and stay innovative.
Luckily, Microsoft’s analysis found that hybrid work, including the ability to work at coworking spaces, will help reduce isolation and reinforce strong team bonds once again.
Talent is Borderless in a Hybrid Work World
The rise of remote work effectively eliminated borders when it came to seeking great talent. Where employees previously would’ve been limited by working for companies close to home, the ability to work remotely has opened a ton of doors for new opportunities.
And this ability has made employees seriously reconsider what they want from their work–as well as whether they want to continue working for their current employer.
As remote employment rises, coworking is going to provide virtual employees with the ability to be part of a professional community and operate in an empowering work environment, even when the organizations they work for are in a different city or even state.
With the Great Resignation poised to create massive changes in the workforce for the foreseeable future, flexible work arrangements will become more prominent. And as they do, employees will be in need of professional workspaces that empower their success and put them in the midst of a strong community.
To learn more about why flexible office space is the perfect option for remote employees and satellite teams, get in touch with us today. Our team is available to speak with you.