Retailers Struggle to Keep Workers
More employees are quitting their hourly jobs, a signal of a recovering labor market.
Jun 23, 2021
MUFREESBORO, Tenn.—In April, 649,000 workers quit their retail jobs, the sector’s biggest one-month decline in more than two decades, the Washington Post reports. Retail workers, buoyed by a strongly recovering job market and tired from pandemic-related stresses, are saying goodbye to their jobs by the millions, with retail jobs at the top of the list of businesses hardest hit.
Some are migrating to positions at banks, local governments, insurance agencies and marijuana dispensaries where their customer service skills are highly sought after. Others are returning to school for a career change or waiting for better childcare options.
Retail workers who recently quit pointed to the pandemic’s new challenges as reasons for leaving: longer hours, understaffed shops, difficult customers and lower pay. Experts say the pandemic has made it even more challenging for the 15 million U.S. retail workers to secure public transportation and reliable childcare. However, now that life is normalizing more, workers realize there are more options for work than their current retail position.
“In a tight labor market, we often see big shifts among workers with low earnings,” said Julia Pollak, a labor economist for ZipRecruiter. “If you’re making $12 an hour and there’s a job down the street offering $12.50, why not jump? There’s no reason not to—which is what’s happening now.”
Big and small retailers are advertising for open positions, with many lifting starting wages or benefits to attract workers. In April, retailers had nearly a million openings for jobs, more than double from a year earlier. As a result, more businesses are looking to recruit teens to fill job openings. Some industries are hoping automation will ease the labor crunch.
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