2021 was marked by challenges and change—a year for the books. Its chapters: The Great Resignation; The War for Talent; Resignation Nation; Turnover Tsunami; The Great Attrition; ‘Striktober and The Labor Market Fallout—kept businesses turning the pages—hoping for a better ending. But it didn’t come.
These coined terms—backed with the latest data from the U.S. Bureau of Labor Statistics—adds to the labor outlook story and suggests that The Great Resignation will roll on in 2022.
According to the BLS, more than 4.5 million people voluntarily left their jobs in November. That was up from 4.2 million in October and was the most in the two decades that the government has been keeping track. And with a sharp rise in COVID-19 cases in December and January already weighing on demand in high-contact service sectors, new headwinds for the labor market will create a bigger impact on labor supply.
Results from a study conducted in November 2021 by the US Chamber of Commerce, also suggested that labor shortages could even be permanent, given how many people left jobs during the pandemic and have not returned to work.
Although it’s a new year—there aren’t many indicators that the labor shortage is going away anytime soon. So, what comes next when demand for workers has recovered, but the number of willing workers has not?
The latest Pew Research report shows how the gig economy has ushered in new way of connecting people with consumers and those who want to hire them. A vast majority of U.S. adults—94% according to their report—believe gig platform jobs are a generally good way to earn extra money as a side job or to have the ability to work a flexible schedule.
Certainly, the emergence of companies like Uber, TaskRabbit, DoorDash and Hyer—have expanded the way people earn money and added another dimension to today’s the labor force. A welcoming one for gig workers and businesses alike.