2021 turned out to be a year that introduced many new terms into the common vocabulary. One of the most popular terms – The Great Resignation.
- Hybrid Work
- Non-Fungible Token – and many more
For the human resource professional, none turned out to be as life-changing as “The Great Resignation”, at least, on the professional front.
Sure, for HR teams, the pandemic caused a lot of strife. Re-engineering of processes that support the hire to retire Lifecycle of employees, was the need of the hour. Supporting colleagues as the threatening environment led to mental health issues, was equally, if not more, important. Amidst all of this, however, what ended up taking precedence was hiring. Fueled by the aforementioned wave of resignations that corporates witnessed. But, why did The Great Resignation happen?
Let’s try and understand this by recounting the sequence of events that occurred starting in early 2021.
The Great Resignation – Why?
When the pandemic initially started digging in deeply across the world leading to lockdowns (or curfews or variations, thereof), the expectation was that hiring would stall. That companies facing a business impact would control operational costs by laying off or redeploying their staff. Unsure about the way the economy would play out, most organizations tended to err on the side of caution. Consumers were, after all, expected to become conservative and cautious in their approach.
What happened, however, was quite unexpected. For the most part, consumers changed their behavior while making their purchases. The growing e-commerce world became the gateway to personal happiness in a much bigger way. Unable to visit farmer’s markets and malls, shoppers filled up their e-carts. Clicking away on their screens, keeping the economy going. Restricted from dining at their favorite hangouts, people ordered in, making full use of services like UberEats.
Unexpected Revenue Shifts
Other than in industries like travel and hospitality, executives in most other sectors were pleasantly surprised to see that the dive in revenues and profits was not as sharp as expected. In many cases including technology and healthcare, there was a rise!
As swiftly as the revenue graphs had sloped downwards, they turned upwards and started reaching new highs! Further waves of the pandemic led to additional learning over the course of the following months. This experiential learning enabled policymakers to change their approach when it came to managing their economies.
At the start of the pandemic, many governments across the world had locked down their entire nations. In more recent times, the preferred approach has been to try and create containment zones whenever there seems to be a fresh outbreak of the virus. This new mechanism of fighting the spread of this disease is extremely beneficial for the world of business. It prevents a complete stop of the production cycle.
So, what has been the benefit of this new reality for our workforce?
The Destruction of Boundaries
For the first time ever in many industries, “human capital” is truly free from the shackles of the physical office space. The past twenty-odd months have shown us that work can continue seamlessly even when carried out remotely. All it needs to keep these running smoothly is an evolution in work practices.
Even in organizations that are in the manufacturing or product space, there are enough roles that can be played off-premises. An additional benefit is the “remote interview”. Candidates can be interviewed virtually (literally and figuratively) at the drop of a hat. No more juggling personal schedules or taking a leave of absence from the current job. Just thirty minutes sculpted out during the day.
The Rise of Digital
A huge reason for the world being able to come out largely unscathed (relative to what was anticipated at the start) is the fact that technology has advanced to a level where the element of distance has been negated. Exploding technologies have been brought into mainstream facilities like video conferencing, showcasing tech-enabled shifts in the way business work is now conducted.
The digital landscape also propelled learning across walls. Aspirational professionals, ranging from fresh graduates to experienced C-suite executives, used this opportunity to pick up new skills and dig deeper into chosen fields of work.
The Availability of Choice
One of the major (positive) side-effects of the pandemic has been the self-awareness that many have gained. This self-realization has encouraged many to decide the operating rules for themselves. From flexibility in terms of work location to flexibility in terms of work hours, workers are looking at customizing the kind of work commitments they make, much like the way they choose to personalize their Subway® sandwich. The talent-hungry corporate world had chosen to play ball – creating work models that suit varied types of individuals. With a shift from ‘pay-for-time’ to ‘pay-for-output’, employees balance their work and personal life, in a more controlled way, putting themselves in the driver’s seat.
In essence, 2021 can be clearly proclaimed to be the year when workers woke up and The Great Resignation started. Truth is that not all may have awakened out of choice. Some amongst us might have been jolted awake by the rude interruption of the dreaded virus, as they found themselves retrenched or having had to leave their work to take care of an ailing family member. But, the end result is the same. It seems, as we get further into 2022, that professionals are indeed awake and about enjoying their days in the sun! What a time to be working!