As 2022 ends, a year of economic unpredictability leading some companies to cut budgets, trim back spending, or even lay off workers comes to a close. This uncertainty has affected some job seekers, many of whom felt worried about their job security based on our previous research in June 2022. So, let’s dig a bit deeper into the numbers and see what it tells us about the U.S. labor market.
Our November 2022 survey found that more than three-quarters of Americans (77%) plan to stay at their current job. That is a stark difference from 2021, when 53% of employed adults quit a job for a career change—a movement known as the Great Resignation.
Some other results from the survey include:
- 73% of American workers say the fear of a possible recession has motivated them focus on upskilling—the process of learning and improving their skill sets or taking on additional projects at work—to help ensure they keep their job.
- 61% of workers said they would be willing to take a pay cut to avoid being laid off if there is a recession. That is up from 53% in June 2022. Employees in management roles are even more inclined to take a cut in pay compared to non-management employees, with 3 in 4 (75%) managers saying they would be willing to take a pay cut.
- Nearly 3 in 5 (59%) managers say their organization is engaging in the practice of what some economists call “labor hoarding“—a trending behavior where employers keep employees on their payroll to avoid falling victim to another labor shortage post 2020.
Survey Says Employees are Less Concerned Now About Job Loss Compared to June 2022
Perhaps this approach is part of why employees are feeling slightly less worried about their jobs if there is a recession. In June 2022, we found that 78% of employees feared losing their job, and that number has dropped to 70% in the latest Insight Global survey from November 2022.
Insight Global CEO Bert Bean said that he believes “this is the time for leaders to double down on having a shared purpose among their teams, inspiring them to stay, and working together as a united front to tackle the challenges ahead.”
“I encourage leaders to channel that uncertainty into an opportunity to foster trust, transparency, and strong communication with employees so when things turn around, your teams will be stronger than ever,” he said.
Is It Possible for Employers to Reassure Workers in 2023?
With many staffers concerned about what another recession might hold for their futures, transparency may be the key to long-term confidence and success for all. This can include things like being open about your plans if there is a recession, being transparent with your teams about the future, and investing in your employees and company culture.
“As a staffing company, Insight Global sees firsthand how economic turbulence and layoffs can start a domino effect throughout all industries,” said Bean. “But when times get tough, like they did during the Great Recession, we’ve also seen Americans rise to the occasion.”
What If You Do Lose Your Job in 2023?
Bean goes on to say to anyone who loses their job during these complex times can “lead with grit, determination and an entrepreneurial spirit. You never know what startup or innovation will rise from the ashes.” If you’re in a position where you need to find a new job, career, or assignment, take a look at some of our open positions.
Other Data from the Insight Global Survey
The November 2022 survey also revealed some other interesting numbers including how employers are spending on employees right now:
- Nearly a third (32%) of American workers say their employers are no longer spending money on pay raises; almost 3 in 10 (29%) of Americans say the same about bonuses.
- But it’s important to note that nearly 3 in 5 (57%) respondents told us that they are looking for better pay, according to a survey of job seekers conducted in October 2022.
Insight Global commissioned Atomik Research, an independent creative market research agency, to conduct an online survey of 1,005 working adults in the United States. The sample consists of 504 full-time workers who hold a management position and 501 full-time workers hold a non-management position. Survey participants worked in professions within primarily white-collar industries. The margin of error fell within +/- 3 percentage points with a confidence interval of 95%. Fieldwork for the online survey took place between October 26 and November 14.