The job search website Monster has released its 2024 “New Year, New Career” report, and based on a survey from earlier this month of more than 600 U.S. workers across industries, 95% said they’re looking for—or plan to look for—a new job this year.
For some insight about the findings, I had a chat with Monster career expert Vicki Salemi. During the Great Resignation, which began in early 2021 during the pandemic, a lot of workers changed jobs at the same time, Salemi explained.
“But looking back, some workers realized that they may have jumped ship too quickly, or they jumped at the highest salary number without really vetting the culture,” she said. “Or even some employers may have had a ‘bait and switch’ situation with a job description.” So then there was the Great Boomerang, where people started returning to former employers.
This year, Salemi expects workers will be more discerning in job searches and not rush into things. “People looking for jobs know it’s more of a marathon, not a sprint right now,” she said, adding that some prospective new hires may even be thinking about what skills they can develop to make them more marketable.
According to Monster, 68% of workers think it will be difficult to find a new job in 2024 due to the state of the economy, up slightly from 66% last year. Just over a third (38%) anticipate the overall job market to improve, while 22% expect it to decline.
So why are people eyeing the exit? “I think it’s a combination of seeing the higher cost of living and their wages not adjusting to those higher costs, as well as burnout,” Salemi said. For example, some workers have to fill in for employees who’ve left the company and not been replaced. “In these cases, workers are most likely stretched too thin and not seeing any reprieve in sight,” she said.
About 45% of workers said they needed a higher income, up 5% from 2023, and 64% expected a higher salary due to inflation and the increased cost of living, up 18% from last year, according to the report.
Deloitte’s Q4 2023 CFO Survey released earlier this month found that domestic wages/salaries were only one of the six metrics reviewed in research where finance chiefs raised their expectations for year-over-year growth. The CFOs surveyed also mentioned the labor market as a factor that could constrain their ability to achieve financial performance goals.
“It’s in the best interest of employers to be clear and transparent to hopefully keep their workers happily engaged and working but also make sure they’re paid equitably,” Salemi said. If salary increases during this time aren’t feasible, employers should think of other ways to compensate employees, such as being more flexible with policies such as return-to-office mandates.
BDO’s 2024 CFO Outlook Survey Report gauges how 600 middle-market CFOs are shifting strategy this year in attempts to preserve the bottom line and gain competitive advantage. As the role of the CFO continues to evolve, the finance chiefs surveyed plan to maintain or increase involvement in areas including ESG strategy (75%), product or services strategy (71%), and workforce strategy (66%). According to BDO, 36% of CFOs surveyed plan to increase monetary compensation, up 13 percentage points year over year, likely in response to inflationary pressures and cost of living increases.
Another key finding of the research is nearly half of organizations (49%) have formalized or are in the process of formalizing a policy around generative AI for their business.
The Wharton School's “What I’ve Learned,” series puts the spotlight on Wharton faculty who have made a lasting impact on their fields. In a wide-ranging interview with Wharton Dean Erika James, professor emeritus of management Mike Useem discusses his unique journey through academia and why leadership skills are critical for all ages.
Overheard
"To my surprise and delight, we have landed softly. Risks we veer off the runway into resurgent inflation or recession are real but balanced and not unusually high. Fed deserves a lot of credit."