![]() Much of the media discussion about the Great Resignation has focused on employee dissatisfaction with wages. Top Predictors of Employee Turnover During the Great Resignation We then analyzed which topics best predicted a company’s industry-adjusted attrition rate. For each Culture 500 company, we measured how frequently employees mentioned 172 topics and how positively they talked about each topic. We also analyzed the free text of more than 1.4 million Glassdoor reviews, using the Natural Employee Language Understanding platform developed by CultureX, a company two of us (Donald and Charles) cofounded. This measure, which we call industry-adjusted attrition, translates each company’s attrition rate into standard deviations above or below the average for its industry. To dig deeper into the drivers of intra-industry turnover, we calculated how each Culture 500 company’s attrition rate compared with the average of its industry as a whole. The pattern is not limited to technology-intensive industries, since innovative companies like Goldman Sachs and Red Bull have suffered higher turnover as well. More-innovative companies, including SpaceX, Tesla, Nvidia, and Netflix, are experiencing higher attrition rates than their more staid competitors. Not surprisingly, companies with a reputation for a healthy culture, including Southwest Airlines, Johnson & Johnson, Enterprise Rent-A-Car, and LinkedIn, experienced lower-than-average turnover during the first six months of the Great Resignation.Īlthough the sample is small, these pairs hint at another, more intriguing pattern. (See “How Culture 500 Company Attrition Rates Compare Within Industries.”) Workers are 3.8 times more likely to leave Tesla than Ford, for example, and more than twice as likely to quit JetBlue than Southwest Airlines. ![]() ![]() The figure below compares competitors with high and low attrition rates within their industries. Even within the same industry, we observed significant differences in attrition rates. Industry explains some of the variation in attrition rates across companies but not all of it. Enterprise software, which also suffered high churn, employs the highest percentage of engineering and technical employees. Management consulting, in contrast, had the second-highest attrition rate but also employs the largest percentage of white-collar professionals of any Culture 500 industry. Some of the hardest hit industries - apparel retail, fast food, and specialty retail - employ the highest percentage of blue-collar workers among all industries we studied. The Great Resignation is affecting blue-collar and white-collar sectors with equal force. ![]() (See “Industry Average Attrition Rate in the Great Resignation.”) Apparel retailers, on average, lost employees at three times the rate of airlines, medical device makers, and health insurers. The graph below shows the estimated attrition rate for 38 industries from April through September, and the spread across industries is striking. Industry explains part of this variation. Attrition rates for the six months we studied ranged from less than 2% to more than 30% across companies. While resignation rates are high on average, they are not uniform across companies.
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