Young Workers Opting for the Job-Hop Instead of the Climb

Young workers generally have different career outlooks and goals than their occupational predecessors, and one way to view that is through tenure. For these workers, the once-typical idea of climbing the ranks within the same company for an entire career may be a relic of the past.

According to new research from workforce intelligence company Revelio Labs, workers in the Generation Z demographic (born between 1997 and 2012) have averaged about one new job each year since joining the workforce — far more than previous generations, who even at the start of their own careers were less likely to frequently switch roles.

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How to Contend with a Job-Hopping Workforce

When comparing positions held by workers after the age of 21 (excluding part-time and short-term work during high school or college), the research revealed the following longevity averages:

Baby Boomers: 3.6 employers in 27.1 years (7.5 years per job)
Generation X: 4.2 employers in 19.4 years (4.6 years per job)
Millennials: 3.9 employers in 9.2 years (2.4 years per job)
Generation Z: 2.7 employers in 2.8 years (1 year per job)

Although the data may exclude some shorter-term, early career jobs not listed by older workers, the gap is more than significant enough to account for those omissions, and it still paints a picture of dramatically increased job-hopping by the workforce’s newest entrants, said Jesse Wheeler, a senior macroeconomic analyst at Revelio Labs.

Why the Spike in Job-Hopping?

According to Wheeler, remote or hybrid work and side hustles are a common ingredient in the employment landscape for Gen Z and millennial workers, augmenting the normalization of a patchwork career path — a transformation that was turbocharged by the COVID-19 pandemic.

Workers now also often find they can increase their salary and benefits more dramatically and quickly by switching jobs instead of waiting to advance in the same organization. That’s a necessity considering steadily rising cost-of-living figures and a reduction in pensions and other benefits that enticed workers to stay longer at an employer in past years, said Harshal Varpe, a career expert at employment website Indeed.

Gen Z’s higher prioritization of flexibility and work-life balance is a factor, but it doesn’t tell the whole story, Wheeler noted.

“We need to recognize the structural shifts that are taking place in the labor market and the broader economy that this new generation is entering into,” he said. “Companies, and large corporations in general, are a lot less willing to provide permanent job stability. Gen Z may value different things that aren’t part of a straightforward path, but also, that path doesn’t always necessarily exist for them in the first place.”

The economic uncertainties facing today’s workers may lead to a temporary slowdown in job-hopping, even among younger employees who are more prone to switching, said Varpe, who stated that the rates of resignations and layoffs remained fairly steady in March.

However, he added, economic uncertainties could actually have the opposite effect in some cases, prompting a desire to switch to a “recession-proof” industry.

Keith Spencer, a career expert at FlexJobs, a labor market platform, concurred: “Others may still choose to job-hop directly because of economic instability, seeking roles in more stable industries or pursuing higher pay to keep up with rising costs.”

Job-Hopping Motivations

Frequently changing jobs can offer various positives to workers, according to the experts in this article. They include:

Higher compensation;
Better benefits;
Increased adaptability and communication skills; and,
Opportunities for relocation.

“Staying with one company too long can limit opportunities to build new skills, take on fresh challenges or earn title progression,” Spencer said. “Others choose to job-hop in search of better work-life balance, a healthier company culture, or because their personal or professional priorities have shifted over time.”

But the experts also noted job-hopping can pose challenges, such as:

Diminished networking and mentorship opportunities;
Potential loss or delay of long-term benefits;
Inconsistent experience or lack of expertise in a particular field; and/or,
The risk of entering a toxic work environment — which, in addition to pay, is one of workers’ most-common reasons for leaving a role.

With no indications that job-hopping will subside, understanding why workers opt to frequently switch jobs — and the potential downsides of doing so — can be helpful for employers navigating these new patterns.

“Offering diverse benefits and career development opportunities can appeal to all ages,” Varpe said. “Younger workers’ job-hopping may influence older workers, prompting workplaces to enhance retention efforts across the board, such as by fostering a strong company culture and providing continuous learning opportunities. Adaptability and personalized approaches are key to retaining a multigenerational workforce.”

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