Top 5 reasons employees are quitting in 2023
When asked why employees recently quit or are considering quitting, 46% indicated it was due to a lack of career opportunities, up a staggering 29% from 2022. This was followed by low pay (35%), management (28%), non-supportive culture (27%), and stressful working conditions (26%), according to people2people Recruitment’s 2023 Annual Salary and Employment Report.
“On reflection, 2022 wasn’t without its roadblocks,” people2people Recruitment’s Group Managing Director Mark Smith said.
“Given the uncertain business landscape in 2023, an unyielding focus on talent attraction and retention will be essential to ensure organisations continue to perform in the current market and remain in a strong position to navigate high market volatility.”
Based on people2people’s report and Microsoft Work Trend research ‘Hybrid Work is just work’, key findings employers need to take into consideration this year include:
- Diversity, Equity and Inclusion, as well as mental health, have increased in importance by 30% in thelast three years.
- Employees would be seven times less likely to look for a new job if there is clarity on their workpriorities.
- 66% would stay longer if it was easier to change jobs internally. This rises to 77% for decision-makers.
- 76% of Gen Z and Millennials aspire to pursue side hustles in the future.
“Providing the flexibility for employees to pursue their side projects is a positive way to increase work satisfaction, engagement and increase talent retention in 2023 for the younger demographic. Employees’ needs and wants have significantly changed over the past 12 months and are still evolving due to the ever- changing market conditions,” adds Mark.
Top five areas where employers can improve their retention strategies include:
- Offering flexible work arrangements (71% – top factor in the last two years)
- Increased base pay (59% – up 31% in 2022)
- Increased variable pay (56% – up 39% in 2022)
- Additional training and development (42% – up 10% in 2022)
“Interestingly, review of employer value proposition decreased significantly, while the desire for regular wellbeing employee surveys and increased annual leave was on par,” said Mark.
people2people Recruitment’s annual salary and employment report has been built on the insights of over 1,050 employers over the past four years. These employers, from a wide range of industries, represent more than 1,000,000 employees across Australia, New Zealand and the United Kingdom.
