Nov 18, 2021 9:07:12 AM | 3 Min Read

Americans Continuing to Quit Jobs Impacts the Labor Market

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Americans Continuing to Quit Jobs Impacts the Labor Market

We continue to see help wanted signs everywhere as Americans continue to quit their job post-pandemic.  These levels are above average and are affecting almost every industry.  However, some industries are getting hit harder than most.  The industry that has been affected the most is the leisure and hospitality industry.  Leisure and hospitality has the highest quit rates.  The quit rate is at an all time high of 2.8% according to USA facts.  However, this is not aligned with the unemployment trends of the past.  

Typically, a higher unemployment rate means that the quit rate decreases.  During the pandemic we saw that this trend did not happen.  Unemployment rates soared to an all time high, and quit rates remained high as well.

Which industries did this affect?

The leisure and hospitality industries remain the most affected in these types of situations.  Throughout the pandemic, the leisure and hospitality industries were the most affected by the high quit rates. 

Contrastingly, government, financial, and information industries were the least affected with the lowest quit rates across the industries during the pandemic.

All industries saw a rise in quit rates during the spring of 2021 verses the fall of 2020.  This is very interesting because unemployment rate was at the all time high at the beginning of the pandemic at 14.7%.

Interestingly, the industries with high earnings experienced the lowest quit rates, such as finance and information.

States with the highest quit rates

The state with the highest quit rate was Alaska.  Additionally, Kentucky and Mississippi were right behind Alaska with high quit rates.  The states with the lowest quit rates were New York, New Jersey, and Washington D.C.  Overall, the Northeast has the lowest quit rates, and the South has the highest.

How does this effect the recruiting market?

So in what ways does this effect the recruiting market?  It's simple- with the labor market down, there is a shortage of people that are willing to work.  Which means, there is a smaller pool of people that we have to choose from.  Businesses now more than ever are having to open their minds to the possibility of remote employees if they want to have more of a selection to choose from.  They are also having to rely heavily on recruiters and HR to provide them with candidates.


endevis has evolved into a national talent & workforce solutions provider with offices throughout the nation. With a focus on healthcare, engineering, and IT staffing, the organization has won a handful of awards across its Professional Direct Placement, Professional Contract Staffing, and Recruitment Process Outsourcing Solutions. For more information, please email ROI@endevis.com.

Topics: Human Resources, Workforce, Employees

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