Confidence among workers to freely leave and quit their current job has historically been an indicator of the current condition of the labor market. As COVID-19 took its toll on the economy with layoffs rapidly increasing, remaining workers became less confident in leaving their current jobs in fear that they might not be able to find another position.
The Department of Labor tracks voluntary job exits, also known as quits, which are considered very different from layoffs and work reductions. Less workers quitting also minimizes the chances of wage increases, as employers maintain similar wages for workers not confident enough to quit.
Source: Department of Labor
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