Economy

The State Where the Most the People Are Quitting Their Jobs

Something unique is happening in the American job market. People are quitting their jobs in record numbers. The Atlantic recently put forth the theory that people who have been paid poorly in the past have seen opportunities now. That could be. As the economy has reopened, the demand for low-paid jobs has grown rapidly. And increases in the minimum wage in some states may add to this pressure. Another reason may be that people who have gotten used to working at home will change to companies that allow this to be permanent.

Companies have started to use tactics to keep workers. According to CNBC: “While worker dissatisfaction is an obvious factor behind quits whenever they occur, there has been increased focus lately on how employers can find incentives to keep workers from leaving.” Among these are higher wages (which can eat into company profits), additional vacation time and the opportunity to work from home (which does not work for most hospitality sector workers).

The most recent version of the Bureau of Labor Statistics’ monthly “State Job Openings and Labor Turnover Summary” report was for September. The report covers “hires rates,” “job openings,” “separation rates,” “layoffs,” “discharges” and “quits.” Quits are simply people who voluntarily leave their jobs. The BLS reported that, in September, quits rates increased in 15 states and decreased in 10. The largest increases in quits rates occurred in Hawaii (+3.8 percentage points), Montana (+1.5 points) and Nevada and New Hampshire (+1.1 points each).

The state with the highest quit rate in September was Hawaii at 7.1%. This surged from 3.3% in August. On an absolute basis, 41,000 people quit their jobs. No one has given an adequate reason for the high figure. The states with the next highest rate are Montana and Nevada. On the surface, the labor forces in the three states have little in common.

These are the 20 states with the highest quit rates in September:

  • Hawaii (7.1)
  • Montana (4.8)
  • Nevada (4.5)
  • Alaska (4.3)
  • Colorado (4.3)
  • Idaho (4.1)
  • Oregon (3.9)
  • Louisiana (3.8)
  • New Hampshire (3.8)
  • West Virginia (3.8)
  • Georgia (3.7)
  • Mississippi (3.7)
  • Wyoming (3.7)
  • Utah (3.6)
  • Arkansas (3.5)
  • Alabama (3.4)
  • Arizona (3.4)
  • Indiana (3.4)
  • North Carolina (3.4)
  • Texas (3.4)

Click here to see which 25 Cities have the highest-paying jobs.