The Great Stay: What it Means for the Future of Businesses and Hiring Strategies

In today’s economy workers are in no rush to seek out new job opportunities, instead choosing to wait out the storm of a turbulent economy, volatile geo-political landscape, and continued AI disruption in the safety of their current job roles. In the years following the “Great Resignation,” employers expected a steady wave of movement within the labor market. However, a June 2025 survey Magnit Global conducted with Dynata revealed that only 25% of currently employed workers are actively applying for new jobs. The rest are sheltering in place until the labor market improves. As such, the labor market has officially entered a new era known as “The Great Stay,” where employees are actively choosing stability over career ambitions.

This Great Stay mentality is being felt across age demographics with an even stronger sentiment amongst millennials and gen Z, with 40% reporting the fear of a recession or layoffs having had a significant impact in the decision to stay in their current role. Additionally, 47% of millennials and 42% of Gen Z reported that a more stable economy would be a must-have for them to feel confident in leaving their current position. This hesitancy underscores a larger shift in the labor market, where financial security now outweighs career advancements, compelling employers to rethink retention strategies and candidate outreach. The shift toward a shelter in place mindset has impacted employee priorities across industries, as well as what it means for the future of the labor market and hiring strategy.

Why Workers are Choosing to Stay Put

Today’s labor market is focused far less on job opportunity and more on maintaining financial health as a determinative factor for future career moves. Recession fears still loom large for many, and as a result, workers are looking at their paychecks with a newfound appreciation. For 58% of employees, more pay, or a higher salary is the biggest factor that could motivate a job switch – cutting across generational lines and annual household income.

The increased pressure on financial health as a guiding marker for career planning has also led to the rise of contingent, or gig work as different option. Working in a traditional white-collar role comes with traditional pay schedules and salaries, yet alternative models such as contingent roles, including freelance and project-based arrangements, are no longer just flexibility perks. The contingent workforce constitutes vital income buffers and experience building platforms in uncertain times. Contingent work, which involves hiring freelancers, contractors, and temporary employees for short-term or project-based roles, allows individuals to stay financially secure while gaining experience that supports career growth and higher future earnings.

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Flexibility is Key in a Competitive Market

The traditional 9-to-5 work structure simply does not work for everyone these days. Even though workers are largely hesitant to leave their current roles, it was reported that over 36% say they would change jobs for a more flexible work environment, while nearly a third (29%) would do so for the ability to set their own schedules outside the traditional 9-to-5. The findings remain similar when looking at what would make workers more likely to stay in their current jobs; flexible benefits and work hours are among the top three reasons, with salary increase being rated as most persuasive.

How candidates approach their work and future career growth has fundamentally changed in the post remote work revolution, resulting in fewer voluntary terms and tough competition for top talent. Employers positioning flexibility as a temporary perk risk falling behind. Flexibility has become a baseline expectation that can significantly influence both attraction and retention for organizations. To remain competitive, employers need to stay one step ahead of where candidate preferences sit and adjust their hiring strategy to match.

Employee Engagement Amid Economic Uncertainty

Despite the uncertainty of today’s labor market, the vast majority of workers claim to be engaged in their roles. It was reported that only 2% of employees feel actively disengaged at their jobs, and just 10% are feeling burnt out but unwilling to change jobs. This suggests that many workers are choosing to invest in their current positions rather than gamble on a volatile job market. Employers have an opportunity to harness this energy and retention by doubling down on culture, recognition, and career development programs. Personalized growth planning, recognition initiatives, and transparent communication from leadership consistently rank as top drivers of engagement.

For HR leaders, The Great Stay offers both challenges and opportunities. Fewer active job seekers mean more competition for the small group of candidates willing to move. With voluntary turnover rates declining, organizations can focus on maximizing the productivity and engagement of their current workforce rather than constantly backfilling departures. Similarly, contingent work, gig roles, and project-based employment provide a low-risk option for workers seeking supplemental income or new skills without leaving their primary job. Employers that embrace these models can extend capacity without long-term headcount commitments.

The Great Stay is not permanent, and eventually workers who have been biding their time at their current roles will re-enter the market, likely in large waves. Employers who ignore current signals around pay, flexibility, and career growth risk losing this future talent. The companies best positioned for long-term success will be those that recognize today’s ‘sheltering’ employees as tomorrow’s job seekers and act now to secure their loyalty before the next wave of mobility begins.

[To share your insights with us, please write to psen@itechseries.com ]

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