MW It's a terrible time to quit your job - except in these 3 cases
Andrew KeshnerAditi Shrikant
Workers can 'go wild' if they're looking for a new job in this sector, says one expert
There's a dilemma for anyone who's eyeing the exit at their job: Do they really want to see what's on the other side?
Many people don't want to find out, so they aren't leaving - at least not without giving careful thought to their next move, which experts say is smart, especially now.
Jumping ship at this time may not land a worker a much better salary, and it may take longer than they'd like to find a new job, depending on what sector they work in.
Friday's jobs report illustrates the quandary employees are facing. The economy added an above-forecast 139,000 jobs and the jobless rate stayed at 4.2%. Yet almost 80% of the hiring was clustered in just two industries: healthcare, and leisure and hospitality.
The number of people voluntarily leaving their job plummeted, down to 704,000 from 855,000 in April. That's the lowest number since November 2020.
The numbers show that both employers and workers are being cautious, said Karel van der Mandele, senior vice president at ManpowerGroup $(MAN)$.
The sharp drop in job leavers shows that "we're seeing employees realize the grass isn't necessarily greener on the other side. Staying put may be a good call," van der Mandele said.
Meredith Masse, a career and executive coach in Colorado Springs, Colo., saw one of her laid-off clients spend half a year looking for a new job. "This is probably not the time to leave, to escape without a parachute," she said. "Savvy job seekers are more selective and employers are more selective. Is it smart to quit without a plan? Well, it's riskier now."
The data show that it's taking longer for unemployed workers to find new jobs. The median length of unemployment has been more than two months this year, and in May, it was 9.5 weeks, up from 9 weeks last May. And like Masse's client, more than 20% of unemployed people looking for work spent at least half a year searching for a job.
Read also: Over 7 million Americans are unemployed - the most since 2017. Why it won't get better anytime soon.
The job seeker's dilemma reflects the economy's larger uncertainties and worries about a slowdown. Businesses are trying to determine their costs in the face of Trump administration tariffs that change, get paused or end up snared in litigation.
Consumers are also being choosy about how they spend their money. One month after saying customers were hitting pause on spending, Procter & Gamble Co. $(PG)$, the parent company of brands like Pampers, Crest and Gillette, announced job cuts Thursday.
The environment makes a job search feel a bit precarious, said Allison Shrivastava, an economist at Indeed. "We really don't know where our economic policy is going. It makes it hard to plan. In a lot of sectors, people are hunkering down, and I don't think that is an unwise decision."
It's a good idea to proceed with caution - but people should still keep their eyes open for new opportunities.
There are good jobs out there, van der Mandele noted. "The data suggests people should just make a more considered decision" compared with two or three years ago, when they could be "more risk seeking."
Now is a great time for anyone eyeing the door to concentrate on building their career network, Masse said. "Don't leave blindly, but at the same time, don't stay stuck, either."
Here are three cases when it makes sense to consider leaving a job.
1. You can snag a big pay increase -despite the odds
One part of the current dilemma facing employees is that the pay raise at a new job may be modest or nonexistent.
Average median wage growth for job switchers and job stayers was basically the same in April, at just above a 4% annual increase, according to the Federal Reserve Bank of Atlanta's wage tracker. In fact, stayers had a slight edge, with 4.4% wage growth, versus 4.3% for switchers.
How things have changed: In the summer of 2022, switchers saw 8.5% wage growth, whereas stayers saw almost 6%.
ADP data in May showed job changers are still making more, with a median 7% increase in their pay year over year. Job stayers had 4.5% increases on an annualized basis.
The money matters, said Indeed career-trends expert Priya Rathod.
"If it's a huge pay bump, I think you should absolutely take it," Rathod said. There's the financial security of a notably larger salary, she said, adding: "I also think that puts you at a higher pay grade for when you're looking again and when the economy improves."
But van der Mandele cautions that while the money is important, it's just one part of the calculation. A leap at big money could still be the wrong move in some cases. Job culture, career prospects and training possibilities are also critical for keeping a worker engaged in their job, he noted.
2. You work in a sector where a lot of hiring is happening
There are some sectors that are thirsting for hires - and others that are not.
"If you're in the healthcare sector, then go wild. That is a sector that is going to have pretty robust growth," said Shrivastava at Indeed.
Job seekers should think about not only what sectors they are looking at, but also what skills they could transfer to a different industry. Artificial-intelligence skills immediately come to mind, van der Mandele said. Project-management, software-development and data-science skills are also sought after, he said.
With entry-level and mid-career workers, employers are keen to hire people who can take pools of data and turn that into "true, actionable insights."
Any job switcher should remember that at a new job, they might also be among the first to get a pink slip if their new employer needs to lay off staff.
"People who leave and get a new job will be at the bottom of the seniority ladder, so if layoffs start coming, those people could be more vulnerable for layoffs," said Harry Holzer, an economist at Brookings Institute.
But the last-in, first-out theory doesn't always hold true, van der Mandele said. When cuts need to happen, companies often make those decisions based on an employee's talent and performance instead.
3. Your current job is a nightmare - or worse
Most people have some gripes about their current job. But there are gripes, and then there's a truly toxic workplace.
"If you determine, this is bad, it's hurting my health, it's hurting my relationships, I highly advise you to make your part-time job into finding another full-time job," said Shola Richards, a writer and speaker who focuses on the need for kinder workplaces.
Richards, the author of books including "Making Work Work: The Solution for Bringing Positive Change to Any Work Environment," has a list of ways someone can determine whether their job is truly bad for them.
The role may be affecting a worker's physical or mental health. It could be impacting relationships with friends and family, perhaps because of the time commitment.
A person might feel like they've changed for the worse because of their job, snapping at people or becoming more cynical. "You care less about the things that matter to you," he said.
They may feel isolated at work or have a bad boss who shows no signs of leaving or changing. The worker may keep thinking about the job after hours. "It's like you're working unpaid overtime" with the constant rehashing, he said.
There's no set number of factors that mean a job is truly awful, he said. That's a personal judgment.
And it may be tough to just quit - especially now, Richards said. He advises people to set firmer boundaries at work, find ways to manage the stress and then mindfully find the time to look for something elsewhere.
Masse agreed with that strategy. "Staying without a plan is also a risk for your mental health and your well-being," she said.
Venessa Wong contributed.
-Andrew Keshner -Aditi Shrikant
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
June 06, 2025 15:41 ET (19:41 GMT)
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