Workers increasingly staying in current jobs amid slowing labour market – CIPD

Workers are increasingly choosing to stay put in their current roles and more employers are maintaining their staffing levels

Workers are increasingly choosing to stay put in their current roles and more employers are maintaining their staffing levels, according to a new study.

Over half of the over 2000 employers surveyed were found to be looking to retain their current staff, marking the highest level since the winter of 2016/17, reveals the Chartered Institute of Personnel and Development (CIPD). The CIPD highlighted that government data shows lower staff attrition rates in 2024, with trends reverting to those seen prior to the pandemic.

It encouraged employers to concentrate on skills development opportunities to retain and grow their existing workforce. The report found a continuing downward trend in future workforce growth expectations with fewer firms anticipating an increase in staff levels.

Empowering the existing workforce with additional skills is currently the most favoured employer response to hard-to-fill vacancies, along with expanding the duties of existing staff. It was observed that enhanced pay remains a popular option for addressing challenging vacancies.

James Cockett, labour market economist at the CIPD, said: "When the economy reopened post-pandemic, turnover and vacancy levels rose in response to the hot recruitment market. Now, the so-called 'Great Resignation' is well and truly over and has been replaced by 'The Big Stay', with more people opting for job stability."

"Falling staff turnover and vacancies also mean the balance of power in the labour market is moving in the direction of employers and away from workers." According to the Chartered Institute of Personnel and Development (CIPD), businesses' pay increase expectations for the coming year in the private and voluntary sectors have remained steady at 4%, while a 3% rise is predicted for the public sector.