American workers are stuck because they can’t quit for fear of a recession

The stagnation has led to an increase in the number of “trapped” workers – frustrated employees who say they would like to quit their jobs but then stay because of their constant fear of a possible recession.

A 24-year-old histology associate named Amanda, who spoke to Business Insider, is one of those who feels this way. She has decided to stay in her current position because there are limited openings in her field and changing employers would likely result in a salary cut of at least a third.

“I feel trapped here,” Amanda said. “If I leave, I’ll be financially ruined, and that’s why I don’t want to or can’t leave.”

Nevertheless, job satisfaction fell in 26 areas last year, according to an annual survey by the Conference Board.

Google search interest for the search term “quit your job” has declined by 11 percent in the last year, according to data from the search analytics tool Glimpse.

The term “stuck at work” is now becoming increasingly popular, with interest increasing by 9% in the past year.

The membership of the subreddit r/hatemyjob has more than doubled in the past two years. According to historical data from analytics site SubredditStats, the community’s user base grew to 30,000 in August, up from 14,700 in 2022.

“I’m stuck in my job,” wrote one user on the subreddit. “I don’t like my job anymore. I feel like I’m stuck because of the money. I guess that’s a good problem to have.”

“I’m just sick of this job. I’ve tried everything to hold on, but now I just can’t do it anymore,” wrote another user, adding that he has been looking for a job related to his degree for over a year. The search has been unsuccessful, he said, citing “tough” conditions on the job market.

“I really want to quit this job, but I can’t afford it.”

When the economy slows down, workers typically hole up in their jobs, as recessions are often accompanied by a collapse in job quit rates, as historical Fed data shows.

The economy has not yet entered a recession, but fears of an impending downturn are growing. In the markets, investors panicked last week, sparking a huge sell-off after July payrolls came in lower than expected and the unemployment rate rose to 4.3%.

As data from Glimpse shows, Google search interest in the term “recession” has exploded by 230 percent in the last month.

“I wouldn’t say we’re in a recession or anything like that,” Raymond Lee, CEO of career outplacement firm Careerminds, told BI. “I would say, though, from my perspective, a lot of people are staying in their jobs because I think there’s a lot of uncertainty. People are trying to stay where they are and not make any big changes.”

Korn Ferry, a consulting firm that provides career transition and outplacement services, said it has seen an increase in inbound calls from job seekers. That’s the opposite of what the company experienced during the post-pandemic hiring boom – and it’s a clear sign that the “engine is slowing down,” according to Radhika Papandreou, president of Korn Ferry’s North American arm.

In general, clients are taking longer to secure a new job and appear to place job security as a top priority, Papandreou said.

“People are also reluctant to leave their jobs to look for other jobs unless they feel they can get something secure and long-term there,” she added. “There’s a bit of a feeling of, ‘I don’t want to be the last in and the first out.'”