Nearly half of Americans are planning to leave their jobs in the next year, and Generation Z is likely to lead the mass resignations, according to a new report from Bankrate.
In the report that was released on Monday, 48 percent of Americans said they were likely to search for a new job in the next 12 months. Gen Z, the generation born between the mid-1990s and the early 2010s, was especially likely to plan their resignation for the next year, with 39 percent saying they planned to quit their jobs this year. That was compared to just 25 percent of all workers.
Meanwhile, only 29, 19, and 11 percent of millennials, Generation X and baby boomers, respectively, said the same.
Bankrate commissioned YouGov to conduct the online survey, with a total sample size of was 2,326 U.S. adults of whom 1,124 are working full-time or currently looking for full-time employment. The survey was conducted between July 23 to 25, 2024.
Mark Hamrick, Bankrate’s senior economic analyst, said it wasn’t clear yet whether the job market and employers will accommodate those looking for new jobs with higher pay or more flexible work conditions.
“This is not the red-hot job market coinciding with the reopening of the economy a couple of years back,” Hamrick said in the report. “It is more in line with what we experienced before the pandemic.”
The job market has cooled since the Federal Reserve upped its interest rates, especially in sectors related to the housing market, Hamrick said.
“If we see a pattern of Fed easing in the future, hopefully avoiding a recession in the near term, these sectors should see some reinvigoration which translates to opportunities,” he added.
Michael M. Santiago/Getty Images)
Many workers, roughly 43 percent of Bankrate’s sample size, also plan to ask for a raise in the next year. This was more likely among younger generations despite the fact that workers were generally more concerned about their job security today than two years ago.
Meanwhile, around three in 10 workers said they were more worried about job security since the interest rate hikes began in March 2022, while 16 percent said they were less worried. Altogether, 70 percent of workers agreed they had some level of worry over job security.
In the most recent jobs report in July, the unemployment rate increased to 4.3 percent, and employers were said to add just 114,000 jobs.
Due to the current job outlook, Bankrate’s new report might reflect a desire by Gen Z and other workers to leave their jobs, but few might actually make the leap, said Alex Beene, a financial literacy instructor at the University of Tennessee at Martin.
“Saying you’re going to leave your job is much easier than actually leaving it,” Beene told Newsweek. “It’s easy to see the reasons many in Gen Z, along with other generations, are considering leaving their employer: a feeling of being overworked, underpaid given the inflated prices we’re seeing, and a desire for additional benefits, such as time off and work-from-home, that were standards during the pandemic but are quickly disappearing.”
While the white-hot job market of recent years was helpful during the 2022 “Great Resignation,” the tide is turning, and employees may not have as many options.
“That’s not to say people should stay put at a job they don’t like,” Beene added. “However, it’s becoming more important to have a game plan upon your exit, but the days of easy job-hopping may be coming to a close.”