How Tech’s C-Suite Are Managing the Great Resignation

Over the past year, more and more American workers have quit their jobs. Due to the impacts of the COVID-19 pandemic, unemployment rates decreased while number of job openings rose. Suddenly, employees found themselves with a plethora of job options, leading to the nation’s highest “quit-rate” in 20 years. But why did so many employees quit? And what can companies do to manage their work environments and current jobs during the Great Resignation?

When recently surveyed, American workers cited low pay, no opportunities for advancement, and lack of respect as the top reasons for leaving their jobs. Other top reasons included childcare issues, lack of flexibility, and poor benefits. The Great Resignation has not ended, but many top tech companies are working to effectively manage their workplace to help retain their talent by offering more flexibility, increasing pay, providing top-notch benefits, and obtaining employee feedback.

Offer More Flexibility

Before the pandemic, only 8 percent of American employees worked from home full-time, but due to the pandemic, this number shot up to 70 percent. Now that it is safer to allow employees back into the office, it is important for organizations to consider what their employees want. With nearly 60 percent of employees wanting to work in a hybrid manner (both at home and in the office), many companies are offering a hybrid option.

Google, for example, recently announced its hybrid model, allowing employees to continue working from home two days per week. They also stated, “We’ll also offer opportunities for you to apply for completely remote work (away from your team or office) based on your role and team needs.” With 45% of employees listing lack of flexibility as a reason they left their job, making these flexible work arrangements are crucial for retention.

Increase Pay and Provide Top-Notch Benefits

The top reasons for employees quitting during the Great Resignation are related to pay. For companies to retain their top talent, it is important to provide a competitive salary, not just to new hires but to existing employees as well. Many top tech companies like Amazon are recognizing the need for pay increases.

Amazon recently announced they are raising their maximum base pay from $160,000 to $350,000 in an effort to better compete with other top tech companies. The company posted on their internal site that they will be adjusting compensation during their employee review process. It is not just pay that is important to employees, but benefits as well. Companies should keep in mind that poor benefits were another common reason employees quit during the Great Resignation. Studies show that in 2022, in addition to hybrid work arrangements, employees want an improved emotional and mental health program and holistic employee leave strategy.

Listen to Your Employees for Lasting Impact

While there are many ways you can look to improve your company’s operations and culture to reduce the impact of the Great Resignation, it is important to listen to your employees and determine what they want. Consider following the lead of other top companies and take the temperature of your workplace. Consider using employee engagement software that can help you conduct surveys to better determine what your employees want in their workplace.

If you are looking to expand or relocate your business to one of the top tech hubs in the country, Fairfax County Economic Development Authority is here to help. Northern Virginia is home to more than 8,600 tech companies, including Amazon’s HQ2. According to Tech Crunch, the Washington D.C. Metro area boasts the most concentrated tech talent market in the country after the San Francisco Bay Area. To learn more about doing business in Fairfax County, visit our website.

Employee Experience, Employee Protection