The Great Resignation and the Rise of Co-Working
At the end of 2021, it was revealed that around 40% of the global workforce was considering leaving their jobs. This is such a high percentage that it’s been named “The Great Resignation.” This has led to a rise in co-working. We’re going to explore the Great Resignation and what it means for the future of work.
A Closer Look at the Numbers
In the United States, it started in April 2021. There were more resignations in one single month than ever before. In July 2021, there were even more and again in August 2021. These resignations surpassed the historical numbers.
What Caused it?
The year 2020 is what started The Great Resignation. It was driven by a few factors, which we will explore below:
Increased Flexible/Remote Work
The pandemic led to work-at-home mandates around the world. This opened the eyes of many employees who realized that they enjoyed the flexibility of working remotely and didn’t want to go back to an office.
Unfortunately, many employers are not fully ready to adopt hybrid work. Therefore, employees feel they should explore other opportunities that allow them to be more flexible and create a better work/life balance.
Disconnect Between Employees & Supervisors/Leaders
Surveys show that workers feel disconnected from their supervisors/leaders. Around 61% of supervisors/leaders claim to be thriving, but their employees/teams do not share this belief. Only 38% of employees/teams feel the same way. This has led to 37% of employees believing their company asks them to do too much- especially during such a challenging time.
Productivity Increased, but Employees are Burnt Out
Around 82% of employees feel their productivity has, at the very least, remained steady, and some feel it has improved since 2020. However, there’s a cost:
- 20% believe employers are not concerned with work/life balance
- 54% feel they are overworked
- 39% are exhausted
As you can see, there’s a disconnect between the well-being of employees and their productivity. This has caused employees to hate their company and look for other options where their work/life balance is more respected.
Gen Z is Not Fitting In
Studies show that approximately 67% of Gen Z employees believe they struggle to get by. Since they are becoming the largest generation in the workforce, their well-being directly impacts workforce stability. Gen Z is having a hard time finding work/life balance, they feel undervalued by their employers, and they are dealing with many financial challenges because they are under-compensated. These factors have led to them looking for better opportunities that align with their needs.
Companies are More Isolated
Remote work led to increased isolation, which resulted in connections between close networks growing and those between distant networks beginning to shrink. This isolation diminished team interactions- which means collaboration began to suffer, and teams were unable to create new ideas and stay ahead of the competition. Co-working spaces helped mitigate this issue by reducing isolation and reinforcing strong bonds between team members.
Zero Borders in a Hybrid Work World
The Great Resignation has led to many people re-evaluating their careers, leading to an increase in remote work and a rise in co-working spaces. At one time, employees were limited to working for companies near their homes. However, remote work has removed some of those barriers and opened up many new opportunities. This has allowed employees to re-think what they want from their work and whether or not they want to seek out new employment.
As remote work opportunities increase, co-working spaces will grow too. These spaces allow virtual employees to be part of a professional community- even if the company they work for is in a completely different city or state. Contact Bevmax Office today to learn more about how we can help you. We have four convenient locations in NYC, and we would love to book a tour for you to come to visit and see everything we have to offer.
After all, The Great Resignation will continue to create significant changes in the workforce, and flexible work arrangements will become the norm. These employees will need an environment that empowers their success and places them in a strong, professional community.