From the Great Resignation to the Big Stay

The COVID-19 pandemic ushered in a period of unprecedented change, forcing businesses across the UK to adapt swiftly to a new reality. During this time, the UK labour market saw record-high vacancies and a surge in employee turnover, a phenomenon famously dubbed “The Great Resignation.”

However, as we transition into a post-pandemic world, the employment landscape is evolving once again. Recent insights from the CIPD Labour Market Outlook reveal a slowdown in the labour market, marked by decreasing employment rates and a significant drop in staff turnover.

The era of the Great Resignation has come to an end, giving rise to a new phase: the “Big Stay.”

What Is the Big Stay?

The term “Big Stay,” introduced by the CIPD, reflects the current trend of declining staff turnover and a reduction in job vacancies. In this new era, employees are increasingly prioritising stability over change, leading to fewer job openings and a growing reluctance to switch employers.

How Are Employees Responding?

Employees today are gravitating toward job stability, preferring the security of their current positions over the uncertainties of change. This cautious approach, characterised by the mindset of “better the devil you know,” has resulted in fewer people leaving their jobs post-pandemic. The desire for familiarity and the avoidance of risk are driving this shift, as employees are less inclined to engage in job-hopping.

What Does This Mean for Business Owners?

Now in 2024, the labour market is beginning to revert to pre-pandemic conditions, with staff attrition rates dropping significantly. This shift in the power dynamic means that employers are gaining more leverage in the market.

According to the latest CIPD report, 55% of employers are now prioritising the retention of their existing workforce – the highest focus on retention since 2016-17. For business owners, this presents a golden opportunity to invest in learning and development (L&D) initiatives, which are crucial for retaining and nurturing top talent.

The Challenge of Recruiting New Talent

While the Big Stay era offers stability, it also presents challenges for businesses looking to recruit new talent. With fewer people actively seeking new opportunities, it may become more difficult to find the right candidates for your open roles.

To attract top talent in this environment, it’s essential to enhance your employer brand and offer compelling packages that can make your organization stand out. A strong employer brand can entice potential candidates to consider your company as a place where the grass is truly greener.

To discover learning and development opportunities for your workplace, contact Paradise Training on 01604 655900 or visit paradisetraining.co.uk. Need expert HR services? Connect with our trusted partner, Rachel Collar at Haus of HR.