Why employee turnover is more contagious than ever

Worklife | November 30, 2022, by Oliver Pickup | Business Insurance | Employee Turnover

In the hybrid-working era, job departures are more contagious than ever.

When a teammate goes — whether pushed or pulled — it leaves colleagues reflecting on their positions while having to pick up the extra slack. And it means they are 9.1% more likely to head for the exit, too, according to a new report published in mid-November by global employee analytics and workforce platform Visier. As the Great Resignation shows no sign of breaking stride, this statistic could become a thornier issue for business leaders and HR professionals.

“Employee turnover can be contagious because humans tend to imitate other people,” said Andrea Derler, principal of research and value at Visier. “This means that when a fellow employee’s intentions to quit become clear, it can trigger others to evaluate their situation.”

A cluster of departures is also incredibly destabilizing for any organization and could lead to a recruitment scramble. This desperate-but-necessary tactic might plug the gaps before more employees leave, but the rush to hire could be a misstep if they turn out to be a bad fit for the company.

“I was taught that teams ‘form, norm, perform, and storm,’ so one resignation can lead to many,” said Simon Roderick, managing director of Fram Search, a U.K.-based financial recruitment organization. “Firms, managers, and teams often lose their way, and sometimes whole change is the only way to gain stability again.”

The Visier report found that smaller teams have a higher probability of experiencing higher resignations due to turnover contagion. “This is because of stronger interdependencies between team members’ tasks and their stronger personal relationships,” said Derler.

Smaller teams but bigger problems

Piers Hudson, senior director of Gartner’s HR functional strategy and management research team, agreed with this insight. “Smaller teams have micro-cultures, so when someone goes, it is worse as a trigger point,” he said.

As such, Hudson was not shocked by the 9.1% figure. “If anything, I was surprised it wasn’t higher,” he said. “Any departure would lead you to reconsider your role. It might raise things like your compensation and whether the person who has left is being paid more elsewhere.”

Gartner delved into causes for considering one’s position should a teammate leave. “It often creates more work for the rest of the team, and 56% of people told us that the number of tasks went up when a colleague left,” said Hudson. Also, 28% reported that if a favorite colleague had departed, then work was “less pleasurable.”

“Employee turnover can be contagious because humans tend to imitate other people. This means that when a fellow employee’s intentions to quit become clear, it can trigger others to evaluate their situation.”

Andrea Derler, principal of research and value at Visier.

Lesley Cooper, a well-being consultant and founder of London-headquartered mental health service WorkingWell, believes that having best friends at work develops a mutually reinforcing attitude to stick at a job, whatever the challenges. So when that workplace buddy goes, the person left feels isolated and exposed.

“Some people stay in jobs or inside a toxic team because they have one or more work relationships that they value enough to compensate for the aspects of their job or the team culture that they find uncomfortable,” Cooper said. “We often hear: ‘I don’t like the job or the company, but I love my colleagues.’”

Therefore, when a favored colleague leaves, the balance is disturbed, and “the ‘protective’ effect of the co-worker companionship” is removed, meaning there are fewer reasons to stay, she added.

Employee Turnover is a Hybrid headache

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Why employee turnover is more contagious than ever