The Herman Trend Alert

September 14, 2022

Quiet Quitting

According to a recent survey from the Gallup Organization, half of US workers now consider themselves to be "quiet quitters." If you saw my teaser about this Alert last week, you know that I have been thinking about the topic of disengaged employees for years. And for years, I have been encouraging employers to create higher levels of engagement or simply give their tenured people a "creative career redirection opportunity." This Alert calls attention to what's going on and what employers must do about it.

Quiet Quitting Defined

Gallup defines Quiet Quitting as doing the minimum necessary to keep jobs. In the past, we at the Herman Group, described these disengaged employees as simply "attending work." They didn't like their jobs or their bosses or their coworkers, but they stayed in their jobs because they were scared. Their fear is usually from not being able to find another job that pays as well or because they fear they are "too old" or because they are already working for the company that pays the best in their field/industry. However, I sense there is something else happening here and now as well.

How COVID Changed the Workforce

COVID and remote work created opportunities for workers to reassess what was really important to them. Many realized that their families were more important to them and the compromises that they had made in the past were no longer acceptable. Others, particularly young people, became disenchanted with remote work and missed the social interaction. However, with their return to work they have discovered their expenses are now higher and with the increasing costs of everything, they are feeling the squeeze. They are having a tough time readjusting.

Why Quiet Quitting is Happening Now

During the Pandemic lockdown, many long tenured employees were asked to exercise discretionary effort without additional compensation. Now that inflation in the US and elsewhere is in excess of 8 percent and cost of living increases---if people even got them---were typically at about 3 percent. Is it any surprise that workers are feeling unappreciated and choosing to quietly quit?

Quiet Quitting is Infectious

When industrious employees see their peers making less effort and not caring, at first, they are annoyed. Then they often say to themselves, "Why should I knock myself out for my employer, when other people are getting away with doing the minimal amount of effort?" Frequently, this malaise will lead to lower sales and lower productivity. Addressing this issue is not an option.

What Employers Must Do Now

Due to the lack of understanding on the part of employers, sadly, the percentage of disengaged workers has risen steadily since 2016. Add to that, the tight labor market and you have a recipe for disaster. Employers need to act---right away---to engage their workforces at deeper levels and in meaningful ways. First, leaders need to make sure they have the right people in the right seats on the bus. (A reference to Jim Collins' landmark book Good to Great). What this means is that employers not only need to make sure they have hired the right people---defined as people who have the skills and willingness to do the jobs, but they also need to ensure that they have those valued people in the right positions. Nothing turns an "A Player" into a "C Player" faster than asking them to do a job they do not like. Second, employers must make sure that their people feel valued and appreciated for their contributions. WORK HUMAN is a company that has a "lock" on how to accomplish this seemingly daunting task. They really understand how to use technology to ensure that workers receive the acknowledgment they deserve. And finally, but by no means least, companies must confirm that they are paying their people a fair wage for the type and amount of work delivered. This problem is especially true in the case of women and minorities who, for years, have been working hard and being paid below the levels of white males. If not addressed, this third item will be a source of additional quiet quitting, as underpaid employees search for better paid positions. Employers who ignore quiet quitting will end up with overall lower efficiency and productivity. They need to take action as soon as possible.

Next Week's Herman Trend Alert: The State of the Global Workforce

'Sorry folks, I really thought I had covered this momentous research earlier, but I had not. Gallup surveyed 15,000 workers worldwide for this impressive report. In this important Alert, you will discover how employees around the world experienced life and work over the last year. In fact, I used a couple of stats from the study in the Herman Trend Alert you just read. Gallup's work is always eye-opening, and this study is certainly no exception. See you next week!

To read the articles from which I researched this week's Herman Trend Alert, you can visit:

https://hrexecutive.com/quiet-quitting-why-its-exactly-what-should-be-happening-today/?oly_enc_id=4579D6129945I5Y

https://www.washingtontimes.com/news/2022/sep/12/spike-quiet-quitting-rocks-job-industry-pandemic-f/

https://hrexecutive.com/what-can-hr-do-about-quiet-quitting/

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