A year ago, we posted a blog delving into the concerning decline in worker productivity in the American economy. At that time, the term “quiet quitting” exploded onto social media feeds, online articles, and news reports.”Quiet quitting” is a term that refers to employees disengaging from their jobs without formally resigning. 

As we dive back into this topic, it’s clear that we’re still wrestling with quiet quitting and its fallout. Following the pandemic’s huge shift to remote work and this year’s semi-return to normal, we’re still feeling impacts such as the following:

• Decreased Productivity: Disengaged employees rarely put in their best effort. When a significant number of employees in various industries disengage, it can result in an overall drop in national productivity—which is exactly what we saw in 2022.

• Increased Turnover Costs: While employees who are quietly quitting haven’t formally resigned, they’re mentally out the door and will eventually make it official. High turnover comes with costs, including recruitment, onboarding, and training expenses. When employers are caught off guard by a sudden employee exit, these costs increase.
• Negative Company Culture: Quiet quitting can erode company culture as disengaged employees tend to spread negativity, affect team morale, and hinder collaboration. A toxic work environment can lead to higher turnover rates and difficulties in attracting new talent.
• Skills Shortages: In the drone industry especially, where specialized skills are often required, the loss of disengaged employees has resulted in crippling skills shortages. Replacing these individuals with equally skilled professionals is challenging, greatly slowing down projects and innovation.
• Less Innovation and Competitiveness: Disengaged employees are less likely to contribute innovative ideas and may not keep up with industry advancements. A lack of innovation can affect a company’s competitiveness and market position, especially in our highly technical industry.
• Overall Economic Impact: While the impact of quiet quitting can vary by industry and region, it has a noticeable effect on the U.S. economy. A lack of engaged and motivated workers hinders economic growth, reduces efficiency, and hampers the ability of companies to grow, attract new funding, meet demand, and adapt to changing market conditions.

To address the potential effects of quiet quitting, hiring managers in the industry should focus on:

• Employee Engagement: Proactively measure and improve employee engagement to identify and address potential issues before they lead to quiet quitting.
• Retention Strategies: Develop effective retention strategies to keep top talent engaged and motivated, including offering career development opportunities and competitive compensation packages.
• Exit Interviews: Conduct exit interviews to gain insights into why employees are leaving, even if they haven’t formally resigned, and use this feedback to make improvements.
• Flexible Work Arrangements: Consider offering flexible work arrangements, as they can improve work-life balance and job satisfaction, reducing the likelihood of quiet quitting.
• Investing in Well-Being: Promote employee well-being by offering wellness programs and mental health support to maintain a healthy and engaged workforce.

Concerned about quiet quitting and its impact on your company? We can help you navigate the current work climate. That means assessing your company’s culture and productivity, building strategies to keep your employees motivated and productive, and designing onboarding and retention plans to attract and keep top performers.

Let’s have a conversation!