The “great resignation” has turned into the “great stay,” with workers now “job hugging” to hold onto their current roles. This shift from job hopping in previous years is due to low movement in the labor market, uncertainty in the world, and a cooling job market with slower growth.

The rate of workers voluntarily leaving their jobs is at a low point, reflecting uncertainty in the labor market and a lack of enthusiasm about finding new opportunities. Factors like economic and political uncertainty contribute to this stagnation, similar to skittish investors waiting for the right moment to act.

The job market has cooled with higher interest rates, making it more expensive for businesses to expand. Hiring has slowed, making it tough for job seekers to find new opportunities. CEOs are more likely to shrink their workforce than expand, signaling a potential economic slowdown.

While staying in a job long-term is not necessarily bad, excessive “job hugging” can limit earnings growth and career development. Workers may miss out on higher wage growth, skill development, and opportunities for advancement. This trend may also make it challenging for new graduates to enter the job market.

Read more at CNBC: ‘Job hugging’ has replaced job hopping