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The Top 3 Reasons People Quit Their Job (and What You Can Do About It)

Why are workers quitting their jobs?

This question has perplexed employers for years, even though it’s relatively simple. But answering it can be the key to building a positive workplace culture, reaching your business goals, and saving time, money and resources.

In this blog, we’re looking at the top three reasons people are quitting their jobs and what you can do to solve constant turnover. Read on to learn why it may be time to consider a radically different solution.

The Top 3 Reasons People Quit Their Jobs

 1) Toxic Company Culture

According to this study, toxic workplaces are the primary reason people are quitting their jobs.

There are many ways to spot a toxic workplace. Some characteristics include:

  • Employees can’t unplug because the line between their work and personal lives is constantly crossed
  • Low pay and/or pay that is not competitive with the market
  • Employees are not recognized or rewarded for exceptional performance
  • Employees don’t feel like they can trust their employer
  • Employees aren’t allowed to grow in their careers
  • Employees don’t have a voice in the direction of the company or other factors that impact them
  • Leadership prioritizes customers over team members

As the leading cause of high turnover, a toxic workplace will cost your company money and can damage your employer brand. Toxicity can also take an emotional toll on all your team members, and their work will suffer in both productivity and quality.


2) Low Salary

Low wages—the second most cited reason for turnover—is becoming even more of a problem as inflation and the cost of living rise.

Employees expect that companies will provide an annual cost of living increase at a minimum. But many employers have not been able to raise wages as much as perhaps we would like. It’s common for employers to spend more money on new hires, leaving less money for merit increases for existing employees.

According to this article from the Society for Human Rights Management (SHRM), “In the aftermath of the Great Recession of 2008-09, U.S. companies have largely refrained from raising their salary increase budgets … Yet in recent years, amid a tight labor market, companies have committed substantial sums to recruiting new hires.”

This creates a backward model for employee wages in which proven, dedicated employees who have put in their time are often paid less than new recruits.

Many employers know that bringing up wage negotiations and pushing for raises is not fun for their employees. Indeed, many workers avoid pushing for a raise because it can be such an uncomfortable and unpleasant experience. While this may suit businesses that would rather avoid increasing their employees’ wages, you should never equate a worker’s reluctance to push for more money with job satisfaction.


3) Poor Management

Many people will say you can’t fix poor management because it’s too hard to define “bad.” After all, without the benefit of data or performance metrics centered on manager performance, what actually constitutes “bad management?” Is any manager ever good or bad across the board for every worker? “Good” and “bad” are often subjective, further muddling an honest evaluation of your management team.

But subjectivity aside, where there’s a clear problem like high turnover, there’s usually a cause. And more often than not, that cause originates in management. But don’t be surprised if your management team isn’t keen on changing their habits. It’s usually easier to perpetuate the status quo, and humans often like to take the easy route. And while they may never say it aloud, some managers may secretly consider turnover—even a high turnover rate—an inevitable and acceptable result of a management style that may include:

  • Poor communication
  • Micromanagement
  • Overworking their team
  • Interrupting the work/life balance of employees
  • Failure to address workplace conflicts

When leadership fails to demonstrate a genuine commitment to their employees, they create an environment in which workers begin to lose confidence that management cares. Next, they stop believing that anything they do matters, and they start looking for opportunities elsewhere.


The Radical Solution to High Turnover

We should preface this section by reiterating the top three reasons people are quitting their jobs. It’s important to remember that business owners are not just running a business, they’re curating a community. So, they should treat their community with care, consideration and respect.

The reasons people are quitting their jobs are not inevitable. And the reality—especially given today’s job market—is that employees no longer have to accept a subpar situation.

That said, even businesses that pay their employees generously and have a great management team and workplace culture will experience turnover. For these companies, we suggest a radical solution: changing your hiring model.

By switching from a full-time, permanent employment model to that of temporary staffing, you are essentially making room for turnover into your team. By doing this, not only can you potentially avoid the negative effects of turnover, but you’ll be more empowered to:

  • Adjust your staffing levels according to the demands of your business
  • Improve your employer brand
  • Improve your workplace with employees who can refresh your team with new ideas and perspectives

While temporary staffing doesn’t solve poor management or a toxic company culture, it can mitigate many of the long-term factors that can build up to create a difficult work environment. Additionally, you’ll be freed to continue allocating the majority of your budget to recruiting new hires.

Work with ITAC Solutions

If you’re interested in a major change in how you hire talent and run your business, let’s discuss our temporary staffing solutions. We’d love to help. Contact ITAC solutions today.