2022 Predictions

The Great Resignation

2022 Predictions - The Great Resignation

Over the last year, as the pandemic has evolved, the working model has been turned on its head. Businesses had to navigate another national lockdown, more working from home advice as well as office returns. Now they are faced with the widely discussed 'Great Resignation'.

The Great Resignation phenomenon that describes record numbers of people leaving their jobs after the Covid pandemic ends, has been widely discussed across sectors and regions, and it doesn’t just apply to the UK, with similar trends in a number of countries and economies. Nearly a quarter of UK workers are planning to change employers in the next few months. This is a sharp increase on the usual yearly rate of resignations which stands at approximately 11%.

There are numerous reasons, including workers becoming disillusioned with their roles, lack of support given to them by employers or a reevaluation of their work-life balance.

So, is now the time for 'The Great Re-set'? The recruitment market is now candidate driven so retention of talent is key, as is truly standing out as an employer of choice to attract top talent, where
previous pay and perks are unlikely to do it any longer, with many younger workers having different priorities, such as flexible working and environmental concerns.

The challenge for employers in 2022, where we can work from any location, is considering what employees gain from the workplace outside of a salary. It’s about upskilling people, not just in the
core skills needed to do their job, but in the skills needed for them to be effective and productive from anywhere. Employers should also produce clear development plans that suit their employees
career aspirations.

So, how can you help ensure your employees stay?

Positive changes aren’t just financial, employees enjoy incentives that make them feel valued, such as more holiday time, encouraging people to rest, sabbaticals, health insurance or volunteering opportunities.

A study conducted by Aviva found that the top five reasons for a career move over the next 12 months are:

  • Finding a role that will allow them to work from home fulltime
  • Planning to re-train or learn more skills
  • Gaining more academic qualifications
  • Taking a completely different career path
  • Planning to find a role which helps others

Flexible options were desired by 88% of those who took part in the Aviva study. It’s important that workers are afforded a degree of flexibility in a world that’s increasingly adopting a hybrid model.
Rethinking what ‘productivity means in order to understand that it should not be measured in contracted hours each week alone.

Today’s employees want to be measured on the value they deliver, not the volume. They expect to be given the space and trust to do their very best work.

Employees want to work with a diverse workforce and want to work for a company that prioritises diversity. 66% of HR directors have even said that as skills, roles and company requirements change over time, a diverse workforce will become even more important.

Companies will get so much more from their employees when they work flexibly and as the workplace continues to evolve throughout 2022, the biggest pitfall a company may make is not embracing change.

Business insurance from Towergate

At Towergate we don’t just offer traditional insurance broking: we believe that prevention is better than cure. That is why we have our own risk management consultancy focusing on pre-loss mitigation and business continuity, and have developed our own business interruption calculator.

We engage actively with insurers and our clients to obtain protection for businesses of all sizes. Our wide range of covers help protect your organisation should the worst happen.

See our range of specialist business insurance or contact your local office.

We are passionate about tackling the unprecedented levels of underinsurance in the UK: watch our video on how to avoid this for your business:

Mark Brannon Cert CII, commercial, sales, broking and client directorAbout the author

Mark Brannon Cert CII is a respected industry leader with over 17 years’ industry experience in a variety of roles within the business insurance sector. He works across a wide spectrum of insurance product and policy development, delivery and optimisation for clients, including claims, insurer relationships, marketing and communications, and risk management.

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The information contained in this bulletin is based on sources that we believe are reliable and should be understood as general risk management and insurance information only. It is not intended to be taken as advice with respect to any specific or individual situation and cannot be relied upon as such. If you wish to discuss your specific requirements, please do not hesitate to contact your usual Towergate Insurance Brokers adviser.