The “Great Resignation” Is Over. Welcome to the “Great Stay”

Job hugging is the new job hopping, and it signals a cooling job market. After years of the “Great Resignation” where employees freely switched jobs for better pay and opportunities, a new trend called “job hugging” has emerged. This is where employees stay in their current positions out of necessity, not desire, due to a weak labor market and financial concerns.

What’s Driving the Trend?

Several factors are contributing to this shift:

• Economic Insecurity: Rising costs and financial strain are making workers prioritize stability over job satisfaction.
• Concerns about the Job Market: Recent surveys show that nearly half of U.S. workers feel like “job huggers,” citing fears about the job market as the main reason for staying put. The number of job openings is now lower than the number of unemployed workers for the first time in years.
• Fear of Layoffs and AI: A recent surge in layoffs and the growing threat of AI-driven job automation have made the job market feel “treacherous” to many workers, leading them to hold on to what they have.

The Consequences of “Job Hugging”

While it might seem like a win for companies in terms of retention, job hugging can have negative consequences for both employees and businesses.

• Stagnation: Employees who feel stuck are less likely to learn new skills or seek out new challenges, potentially harming their long-term career prospects.
• Disengagement: Many of these “reluctant stayers” are emotionally detached from their work, which can lead to poor performance and a decline in overall workplace morale.
• Toxic Culture: The fear of losing a job might prevent employees from reporting workplace issues like harassment or pay inequity, allowing negative behaviors to go unchecked.

This phenomenon marks a significant reversal from the post-pandemic era, where workers prioritized their well-being and career trajectories. The “Great Stay” of 2025 appears to be a quiet acknowledgment that economic pressures now outweigh the desire for new opportunities.