The nation is going through what’s been dubbed “The Great Resignation” — employees leaving their jobs in the aftermath of pandemic work stoppages, out of dissatisfaction, fear of exposure to COVID-19 or other reasons.
It will take time for enough of the dust to settle before it’s clear just how lasting the effect will be.
The cost of living in Hawaii will draw many back to their old jobs, even if the lower pay of the state’s large service sector hasn’t changed significantly. Eventually, the “help wanted” signs that have gone up almost certainly will get a response, as personal savings and federal aid programs run dry.
But some will hold out, and they may be the ones employers least want to lose. Regardless of the long-term repercussions of the labor upheaval, businesses and the workers themselves will have to make adjustments, if only to muddle through for the short term.
Managers, where possible, should consider new incentives to bring back experienced staffers who also could help with training the newcomers; some already are doing so. Offers can range from signing bonuses to more flexible work schedules to lure valued employees who, after 19 months of contemplating their situation, now are looking for a better work-life balance.
For their part, workers should know that the current jobs dynamic can’t last forever. Companies that have barely weathered the COVID-19 storm, including many of Hawaii’s small businesses, can only do so much to sweeten the job offer. Most will seek to curb spending where they can, whether that means scaling back on services or adding automation as a coping strategy.
Seasoned employees may be in a better bargaining position just now. If greener pastures are what they want, educators training the next generation of managers are counseling them to be flexible themselves, and to get their skills in order. They need to anticipate that their dream job may not be available yet, and to adapt to what is out there now.
It is especially hard to know how much Hawaii’s workforce will change beyond an initial recovery phase. Just as in other parts of the country, a small percentage, sent to home offices at the outset of the shutdowns, will continue to work remotely. However, they are likely to be the minority in a Hawaii job market dominated by the service and hospitality industries.
And there are disruptions in various businesses that are only partly related to the pandemic, if at all. The Hawaii Medical Service Association, for example, just announced an outsourcing plan aimed at improving efficiency and cutting costs, that will result in 285 jobs being moved or eliminated.
The health-care industry faced these challenges even before coronavirus appeared on the scene. Still, along with tourism, health care is one of those under stress at this time. Burnout has been a factor, driving workers to consider finding a new occupation.
Compounding this problem in health care: a persistent nursing shortage. And the pipeline meant to deliver newly trained professionals is not flowing too smoothly, either.
The Hawaii State Center for Nursing published its most current report in July, indicating that enrollment demand exceeded capacity in most of pre-license programs (such as associate degree nurses and licensed practical nurses).
Challenges include insufficient resources to pay faculty to teach them: 16% of funded full-time positions were vacant at the time of the survey, the 2019-20 academic year. That does not bode well for filling those critical nursing posts that Hawaii needs.
In other fields, there also have been cutbacks that may be forcing workers to make a change, and this has been especially visible in the hotel industry. For many staffers, the mass layoffs of 2020 have been replaced by reduction in hours.
Gina Alcos, an Ala Moana Hotel banquet captain, told Honolulu Star-Advertiser writer Allison Schaefers that she fell short of the 80 hours monthly minimum required to get health benefits. Her circumstances may improve once the city’s plan to reopen organized events, such as banquets, kicks in.
But some workers can’t wait and may pull up stakes to find other employment.
Jerry Agrusa, a professor with the University of Hawaii School of Travel Industry Management, said these are the people that the visitor industry should worry about losing. Assembling a team of workers who know the ropes and fit well with each other, he said, is not an easy task.
Agrusa said he’s confident that tourism businesses will recover — with adjustments. Outsourcing will be tried; automation is already seen in airport check-in kiosks and other applications. Restaurants may find they can boost revenue effectively through external kitchens focused only on takeout, he said.
Agrusa’s describing a somewhat changed landscape for Hawaii’s workforce. Ideally, it will be one that is more accommodating to urgent needs, of employers and employees alike, that the 2020-21 pandemic put on display.
