What is the ‘Great Resignation’:

  • In the last several months, many people are quitting their jobs resulting in the era of Great Resignation. Many countries are facing this phenomenon, but the majority of resignations happened in the United States. In April 2021, approximately 40 lakh employees in US have quit their jobs.
  • Anthony Klotz, a professor at Texas A&M University predicted this in 2019 and coined the term – ‘The Great Resignation‘.

Causes of the Great Resignation 2021:

  • Many people are now questioning their career choices. COVID pandemic taught us so many lessons. It changed our perspective on life. Now people are feeling that life is uncertain and have realized the value of time. So, several employees have decided to work for fewer hours and to avoid the long commutes to spend more time on their personal lives.
  • Many employees, especially the ones who are working in the healthcare industry faced burnout due to increased workload and hence so much stress. To prioritize their mental health, many employees have decided to shift to companies that give realistic deadlines.
  • Some people felt that it is not wise to postpone their trials for the jobs they really like. So, they have quit their jobs to pursue their dream jobs.
  • The majority of resignations are from employees within the age bracket of 30 to 45 years. After years of working in the same field, they may be vexed by monotony and probably want to try new careers or entrepreneurship.
  • During the pandemic, several companies gave work from home options to their employees. Now, companies are reopening and hence calling the employees back to offices. So, people who liked work from home facilities are searching for jobs that continue to provide them.
  • Some people benefitted from the work from home option, but for some others, it means increased workload, the reduced balance between personal lives and professional lives. As schools were shut down during the pandemic, working parents had to take care of their children while handling the heavy workload in their jobs. So, this resulted in burnout for many. Even in these modern times, most of the childcare and household responsibilities are expected to be done by women, many women faced exhaustion due to working from home. And hence, the era of Great Resignation, 2021 witnessed more resignations from women than men.
  • Some employees are feeling undervalued at their work. They are expecting better pay, appreciation for their hard work, flexibility and more happiness.
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Consequences of the Great Resignation 2021:

  • Companies are facing labour shortages. They are spending so much money to recruit new employees and to train them.
  • Several employers are redesigning their work environments to attract the best talent and to retain their existing employees.

What companies are doing to retain their employees:

  • Several companies are now trying to provide better pay, more flexibility in work hours, the choice to choose where to work to retain their employees.
  • To improvise the work environment, employers need to know why their employees are stressed. So, some employers are trying to know their workers’ expectations and the causes of their stress by taking the feedback, and are working to incorporate them into the work ecosystem.
  • To keep their employees happy, several companies are offering many things such as more vacation time, games at the office etc. Games can also increase the sense of community, prevents the feeling of isolation and hence can help in retaining their employees.
  • Employers want to invest money in keeping their employees happy instead of spending the same on recruiting new people and training them.


People are now questioning their career choices after the world was hit by the COVID pandemic. Many employees want to come out of the rat race and are choosing jobs to suit their personal preferences. This resulted in the phase of Great Resignation. This forced companies to understand their employees’ expectations and to improvise the work environments.

Your Turn…

What are your thoughts on ‘The Great Resignation’? Express your point of view through the comment section below. And subscribe to our blog to read answers to the trending GD topics.

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  • Peter Horsfield, Jan 29, 2022 @ 2:36 am Reply

    Both from personal and profession experience, I’ve learnt and seen on a daily basis, and at its core, what we spend our money on, is a direct reflection of what we value most.

    For example when my self-esteem is high I start booking “experience” holidays, because new experiences and holidays are important to me.

    When my self-esteem is low my natural inclination is to buy and eat junk food.

    Why? Because important to me at that time are my feelings of comfort, rebellion and unworthiness.

    However, it’s also important to understand the connection between our money and our job.

    Our job probably means many diffident things to us. For most people, the core purpose of our job is basically to earn enough money, so that we can do the things we most value and are important to us.

    Asking yourself “What’s important to you?”, is like opening Pandora’s Box, however the academic community has concluded, the most direct route to happiness is achieved though the continuous combination of friendships, freedom, health, financial security, privacy, as well having a defined life philosophy and purpose.

    “Your Money or Your Life” is a book written by Vicki Robin, Joe Dominguez & Monique Tilford. It has many fantastic insights and prespectives about financial independence being within most peoples reach if they choose and ask the reader many questions; however one particuar question is of profound importance “How much are you trading your life energy for?

    Let’s use the following as an example of what a job costs us (based on a $25 hourly income)?


    Time/ week

    Cost $25/hr




    Tax 25%


    Preparation for work









    Unwinding (stressed out)



    Escape Entertainment






    Total Cost



    In this example not only is this real cost of the persons job 66.5hrs a week of their non-renewable resource A.K.A. time, they are also spending more than they earn.

    Sound familiar?

    So while everyone is different, my point is there are a multitude of indirect costs, and ways we may or may not be consciously factoring into the cost we pay for our jobs and the impact our jobs may be having on our health, relationships, and happiness.

    The important take out from this exercise is to ask ourselves “Is there a better way?

    And if so what are the activities we can do right now that will start to improve our life in a positive way?”

    For myself this required what others may call a radical shift .

    I expanded my business and relocated from Sydney to Cairns the doorstep of the Great Barrier Reef and Daintree Rainforest.

    Doing so has saved me more than $50,000 per year in my “job”, with the further upside of better clients, less risk, increased profits and more time to exercise, entertain, grow and help others. The very things that are important to me and my happiness.

  • Hariram Jangid, Oct 31, 2021 @ 9:40 pm Reply

    I am preparing for Indian Airforce and I need your help.

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