Is your small business prepared for the Great Resignation?

With a lot of recent press around current surveys showing many people looking at quitting their jobs, now is a good time to think about what you can do to stave off A-players jumping from your ship. 

The shock of COVID in the last 20 months has caused some employees to consider not only if their industry and vocation is as fulfilling as they once hoped they would be, but also if their manager and business they work for is as good as it gets.

We hear of customer-facing industries, and those more known for lower pay – like hospitality, are having a very real labour crisis. But the Great Resignation seems to be affecting sectors further afield:

• Since April 2021 more than 15 million Americans have quit their jobs, according to McKinsey
• A recent Microsoft survey of 30,000 global workers found 41% were considering quitting or changing professions
• 20% of U.S. workers have seriously considered changing careers since the pandemic began
• For workers under 40, it’s ~30%
• Among workers 18-25, over 50% are contemplating quitting
• This ABC Australia article says 25% of women are contemplating leaving the workforce altogether
• In Australia, 52% of employers in recruitment mode are having trouble finding suitable applicants let alone any applicants at all

This is a good reminder for small business owners to not only be a great leader and manager, but to lean on the vision, mission and core values and show your team you live them. 

Work hard on delivering the best organisational culture you possibly can. 

In many long-standing HR surveys, pay is around fifth in the top reasons why someone works for your business. Ahead of that “hygiene” factor are things like:

1. Alignment with your mission, purpose and core values
2. Have challenging work
3. Feeling respected and trusted in the workplace
4. Knowing they are being developed as a professional

All that smacks of solid leadership and management.

In times of crisis, we sometimes lose focus on what drives value in our business.

As Jim Collins coined “people aren’t your most important asset, the right people are.”

If that’s true, have you worked hard to ensure your business will soon not be adding to the above stats?

This is an article for Business Blindspots Tasmania. To ensure you receive regular updates from expert business advisers across a range of areas follow our LinkedIn Group.