Americans’ job satisfaction has plummeted to a decade low, with nearly 7 in 10 US workers considering a career change in the past year. In fact, searches for “how to write a resignation letter” have surged by an eye-popping 2,250% in just the past month.
But which industries are struggling the most with employee retention?
Experts at GIGAcalculator analyzed occupation data from the US Bureau of Labor Statistics to uncover the sectors with the highest turnover rates. They also partnered with career experts JobLeads to share five job hopping dos and don’ts to help professionals make smarter moves.
Employee retention woes: Which industries are the worst at retaining staff?
Workers with less than 12 months at their current jobs are considered job hoppers and short-tenured. For the complete data of all industries analysed, please click here.
The hospitality and food services industry has the highest turnover, with a whopping 1 in 3 (34%) leaving within a year. Given the demanding nature of the job, irregular hours and relatively low wages – averaging around $36,000 per year – it’s no surprise employees are quick to seek out other opportunities.
Coming in second, the arts, entertainment and recreation sector sees 26.29% of its workforce considered job hoppers with a median tenure of 2.7 years. Having one of the lowest average annual incomes on the list ($39,729), alongside the hospitality industry, it’s clear that passion alone isn’t enough to keep workers committed – low pay makes these industries more prone to job hopping.
In third place, the wholesale and retail trade industry sees 1 in 4 (25.06%) employees changing jobs annually, with the median tenure standing at 3.1 years.
Rounding off the top five are the publishing and media industry, and human resources, with 21.35% and 21.23% of job hoppers, respectively. Ironically, HR – the sector responsible for hiring and retention – struggles to retain its own workforce. Meanwhile, media professionals face growing uncertainty with nearly 15,000 job cuts in 2024 alone.
The industries best at retaining employees
Legal services has the lowest turnover rate with 17.51% of employees changing jobs within a year. The property and real estate sector follows closely at 17.98%.
Public administration ranks third among the most stable industries, with 18.04% of employees job hopping. Boasting the longest median tenure of 6.2 years and a notably high average salary of $134,920, government jobs offer stability and strong benefits that keep employees on board.
Other industries with stronger retention include banking and finance, utilities and energy, and science, IT, and tech, each boasting six-figure average salaries exceeding $125,000, helping to keep turnover in check.
Which age groups are the biggest job hoppers?
For the complete data of all industries analysed, please click here.
Gen Z and Millennials are at the forefront of job hopping. While the striking 70.3% of 16 to 19-year-olds could be attributed to the part-time nature of early jobs, a notable 48.3% of those aged 20 to 24 are quick to move on in their careers, along with 28.1% of 25 to 34-year-olds.
In contrast, older age groups show far greater career stability. Workers aged 35 to 44 have a markedly lower job-hopping rate of 17.5%, dropping to just 12.6% for those aged 45 to 54. The shift in career attitudes is clear – younger generations favour flexibility and rapid growth, while older workers value consistency and long-term commitment.
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Thinking about making a career move this year? Martin Schmidt, Co-Founder and Managing Director at JobLeads, has shared his top five dos and don’ts for anyone looking for a smart job switch:
Do have a clear goal in mind
Job hopping without a strategy can backfire so make sure each move serves a purpose. Reflect on your career goals and how the new role aligns with them. Are you looking for growth opportunities, a higher salary, or a new industry experience? A well-thought-out transition shows you’re intentional, not just restless.
Do be transparent, but tactful
Job hopping can raise eyebrows, so be prepared to explain your journey confidently and convincingly. Be honest about why you left previous roles, but always frame your decisions positively. Instead of saying, “I left because management was terrible,” try something like, “I wanted to take on more responsibility and work in an environment that encouraged professional growth.”
Don’t burn bridges or badmouth your previous employer
No matter how unpleasant your past job was, never badmouth your previous employer. The professional world can be surprisingly small, and negative remarks may reach future employers or colleagues. Always leave on good terms, and express gratitude for the opportunities you had even if they weren’t perfect.
Don’t be a ‘serial job hopper’
While strategic job changes can boost your career, moving too frequently without a solid reason raises red flags. Employers may worry you’ll leave just as quickly, making them hesitant to invest. Aim to stay in roles long enough to make a tangible impact – ideally two years or more.
Don’t lie about your work history
It can be tempting to stretch the truth to make your resume look more stable, but it’s not worth the risk. Hiring managers often conduct background checks and can easily expose any inaccuracies. Instead, highlight skills and accomplishments from each role, and be upfront about short stays – focusing on what you learned and how it prepared you for the next opportunity.