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“Job Hugging” Gains Ground in Uncertain Labor Market

September 1, 2025
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Shift from “Great Resignation” to job security

A new workplace trend is taking shape in the United States. As economic uncertainties loom, many American workers are turning away from the once-popular “job hopping” trend and embracing “job hugging” — the practice of clinging tightly to their current employment out of caution.

This marks a notable shift from 2021 and 2022, when workers, empowered by a strong labor market and remote work opportunities, rapidly changed jobs in pursuit of better pay, benefits or work-life balance. That era, often referred to as the “Great Resignation,” saw millions quit voluntarily each month.

Indicators show growing hesitation to quit

Now, data suggests a more conservative attitude. According to the Department of Labor, the U.S. “quit rate” — the percentage of workers voluntarily leaving their jobs — remains steady at just 2 percent. That rate is seen by economists as a key indicator of worker confidence. A low quit rate typically signals unease about future job prospects.

The Eagle Hill Consulting Employee Retention Index released in July found that Gen Z and men are currently the groups most inclined to stay put over the next six months. Experts suggest this stems from rising fears about economic stability and technological disruption, particularly in the form of artificial intelligence.

AI disruption and global uncertainty at play

Matt Bohn, senior client partner at Korn Ferry, explains that workers are reluctant to jump ship due to the unpredictable landscape shaped by AI advancements and global instability. He refers to this hesitation as job hugging — a mindset driven by fear rather than ambition.

While job hugging offers workers a sense of security during turbulent times, experts warn that it can lead to stagnation. Staying in one role too long without skill development or career advancement may reduce long-term employability in a rapidly evolving job market.

The hidden cost of inaction

Laura Ullrich, director of economic research at Indeed Hiring Lab, notes that many workers who might want to explore new roles are playing it safe. However, she cautions that long-term reluctance to take professional risks can limit personal growth and career resilience — especially as AI continues to reshape the labor landscape at a rapid pace.

With the future of work still in flux, balancing job security with professional development may be key to thriving in the next chapter of the American workplace.