Why are Americans Quitting Their Jobs?

• Author: Jessica Williams
• Posted: 2024-09-10

In September 2021, America broke a new, dubious record: 4.3 million Americans actually quit their jobs, setting a new record for the highest all-time amount of quits in modern American history. This high number is unquestionably worth examining further, as it is clear that the lack of Americans willing to work is having detrimental impacts on our economic progress and recovery as a nation.

Where it is Occurring

One thing is for certain: These job quits are not happening evenly. Indeed, they seem particularly locked into certain sectors.
First, the quits are higher in certain locations throughout the country. In particular, they have been highest in the South and the Midwest. Not coincidentally, these are areas where COVID rates remain stubbornly high, and the quit rates are lower in the Northeast and the West - areas that have done a better job at keeping their case rates down and their vaccination rates up.
Quits are also higher in many sectors of the economy. In terms of raw numbers, food service and accommodations led the way, with 892,000 quits. Next was retail jobs, with 721,000 quits, followed by healthcare and social assistance, with 521,000 quits. All of these jobs have high levels of contact with COVID and a difficult time working from home. They are also relatively high-stress positions - particularly at the moment.

Why is this Happening?

There have been many reasons theorized about why this is happening.
First, there is no question that fear of COVID is causing these quits. A similar set of circumstances is happening across the world, and in many other nations, as people throughout the planet reevaluate whether or not it is worth working in certain jobs, given the ongoing health crisis that seems unwilling to slow down.
However, in America, some of these issues are even more acute. America lacks many of the robust social service supports that have been seen in many other western countries, including transportation, child care, adequate pay, hazard pay, and more. As a result, many Americans simply lack the ability to work, or they are unwilling to do so under the circumstances.
Furthermore, many of the job sectors that have seen the highest levels of job quits are the same ones that have seen high levels of stress and burnout. They often involve interaction with rude, inconsiderate individuals, causing the employees who work there to simply decide that their job isn't worth it, no matter what the pay is.
Of course, all is not lost, and there is good news in this spate of quits, as more people may be simply looking for work that is better or pays better. Pay for new employees is at an all-time high. and many companies are falling over themselves to offer individuals unique benefits in order to attract new employees. Furthermore, many people are theorized to be quitting their job so they can leave for a higher-paying one. This would indicate that a balance of power has shifted towards employees, with real wages improving dramatically over the past year. Of course, this comes with its own problems: Namely, a growth in inflation.

It's Not for Benefits

One thing is for sure: the quits aren't related to job benefits. During the pandemic, many states ended expanded and extended jobless benefits early, believing that doing so would incentivize more people to get back into the labor market. However, most studies have shown that people didn't immediately return to work. Furthermore, those benefits expired in early September - and yet, people quit their jobs anyway. This seems to clearly indicate that people aren't quitting their jobs so they could sit around and collect government benefits.
There is no question that this is a complicated, multi-faceted issue - one that requires additional study in order to truly be resolved. However, it is clear that Americans are in the middle of a dramatic reevaluation of the way that they work and their work-life balance, with many Americans deciding that they would prefer to exit the working population altogether, rather than continue to work. This could have massive ramifications on the American way of life if it continues in the long term.