The ‘Great Resignation’ continues in 2022.
4.3 million people quit their jobs in January alone. Friday, the Labor Department released its latest job report—and as Landon Miller shows us, it’s a ‘quitter’s market’.
“The ‘Great Resignation’ is people retiring and it left those voids,” said Matt Rowley, President of Freedom Retirement Services. “The ‘Big Quit’ is people quitting their positions to take over those voids that have are left.”
The jobs report for March shows that employers added 431,000 jobs while the unemployment rate fell to a pandemic low of 3.6%. This means employers are desperate for employees, which some say signals a good time to quit and get something better.
“Right now is a great time to do that,” said Rowley. “There’s a lot of opportunity out there with an increased income in benefits and income.”
In 2021 alone, roughly 47 million quit their jobs. Rowley says there are right financial ways and wrong ways to quit a job.
“Ensure that you have savings,” said Rowley. “I recommend six months because you never know how things will shake out financially when you go to a new position.”
Some quitters are also missing out on potential retirement earnings too, so know your 401K options according to Rowley.
“If they leave earlier than anticipated, there may be a significant portion of retirement savings on the table,” he said.
And speaking of 401K’s, Rowley says that those will follow you forever. So instead of forgetting about it when you leave a job, keep track of it and invest it the best way possible.
“Even though you’re not 59.5 years-old, you can still move those 401K’s into other investments without paying that 10% penalty,” said Rowley.
