Do you have many employees who have been with your company for 15, 20, 30, or even more years? Then you belong to the exceptions. Depending on the industry and the age of the employees, it is now normal for them to leave the company again after just a few years. Younger generations, such as Millennials and Gen Z, are the least inclined to remain with their company long term.
Qualified employees today have more opportunities than ever before to freely choose their employer thanks to the broad range of jobs on the market. Combined with a heightened willingness to change jobs, this leads more and more of them to decide on regular job changes.
The numbers confirm this: nearly four out of ten respondents state that since 2020 more employees have voluntarily left the company than before—and the trend is rising. [1]
High turnover and the growing readiness to change jobs cost companies money, time, and energy. Yet in many places, the problem is ignored or downplayed, and companies struggle to take concrete action. According to a comprehensive McKinsey study, little will change in this respect—the simple reason being that leaders do not understand why their employees leave.
12 reasons why employees quit
Most of the reasons employees change jobs lie within the company’s control. More specifically, they are often directly related to leadership.
Lack of appreciation
“I’m busting my back and don’t even get a thank you.” Such statements are unfortunately common among colleagues. Truly outstanding employees stand out not just for expertise and social skills, but above all for exceptional commitment—extra hours, extra ideas, extra effort. They gladly give these “extras” as long as management shows appreciation. This is not just about salary, but also about feedback and recognition.
Different values
Every company has its own culture, ideally one where employees feel comfortable, motivated, satisfied, and engaged. How decisions are made and how people treat one another are just as important. If company values don’t align with those of employees, they conclude that it’s not the right fit and believe they’d be better off elsewhere.
Overload
It’s tempting for leaders to give their best team members the most important and demanding tasks. As long as these can still be completed within a reasonable working time and employees are compensated accordingly, this is fine. Some even see it as recognition. But if the employee feels continually overworked, it becomes counterproductive. Stress impacts health, satisfaction, and productivity.
Boredom
A “boreout” is as dangerous as burnout. This term describes suffering from boredom and under-challenge. Talented employees want to develop personally and professionally. Monotonous tasks and no opportunities for growth are poisonous. They need challenges, a clear future in the company, and encouragement from their leaders.
Not being heard
Good employees want to use their creativity to move the company forward with innovative ideas. If they are not listened to and thus cannot change or improve things, they soon stop enjoying their work. If every “This could be better” idea is dismissed with “We’ve always done it this way,” frustration builds and resignation is not far off.
Better opportunities await
Often several factors combine until talented employees start looking elsewhere. When dissatisfaction meets an attractive new opportunity—especially one offering higher pay and more development options—the decision to leave often comes quickly and easily.
Lack of connection
Colleagues largely shape the work environment. If an employee cannot build good relationships with teammates, they will be less happy and more likely to quit.
No advancement or development opportunities
When employees see no clear career path or growth prospects, dissatisfaction grows. Feeling stuck in a dead-end job severely reduces motivation.
Lack of flexibility
Rigid working hours or inflexible conditions make it hard for employees to balance work and private life. Flexibility and options such as remote work are key to work-life balance. Modern work models help meet employees’ individual needs.
Conflicts
Interpersonal conflicts at work create stress and disrupt team dynamics. Employees often quit because they feel pressured or even bullied by colleagues or supervisors. A healthy workplace requires strong communication, conflict resolution, and zero tolerance for bullying.
Distrust and micromanagement
Excessive control by supervisors undermines trust and employee autonomy. Micromanagement is exhausting and stifles creativity.
Lack of meaning in the work
Not every job is obviously meaningful. In some professions, the purpose is clear; in others, it is crucial that leaders communicate why the work is important and valuable. Few things kill motivation as effectively as work that feels pointless.
Quick fixes instead of root-cause analysis
Instead of addressing the real causes of turnover, many leaders reach for quick fixes that don’t last. Salaries are increased, financial perks offered, thank-you bonuses paid. Yet none of this keeps employees. What’s missing is real effort to strengthen employees’ connection to their colleagues and employer. Instead of feeling genuine appreciation, employees experience mere transactions, which only remind them that their deeper needs are unmet.
If the pandemic taught us anything, it’s that employees crave investment in the “human aspects” of work. The already change-prone younger generations want more than just money: they seek purpose, appreciation, and a sense of belonging.
Meaning and appreciation before money
Many employees feel drained and miss the kind of collaboration they experienced before Covid. They want to rediscover the purpose in their work, reconnect socially with colleagues and leaders, and feel a shared identity. Of course, salary, benefits, and perks matter—but as classic hygiene factors, they only prevent dissatisfaction and don’t create lasting fulfillment (as explained in the Herzberg model).
Above all, employees want to feel valued by their organization and their leaders. They want to sense that their contribution matters and to have meaningful conversations—whether virtual or face-to-face—rather than merely transactional interactions.
Turnover is here—with all its consequences
If companies don’t understand what employees are leaving from and to, they jeopardize their own business. Many employers are still handling turnover in ways that don’t meet employees’ new expectations for meaningful relationships, autonomy, and flexibility. As a result, some deliberately leave traditional full-time employment for alternatives—whether with a new employer or in self-employment.
The bottom line: unwanted turnover is real, widespread, and will continue—if not accelerate—while many companies remain unaware of what’s really happening despite their retention efforts.
Employees want clarity
Employees fundamentally, consciously or unconsciously, ask three key questions about their work:
- What is expected of me?
- Am I meeting these expectations?
- What does my professional future look like?
As a leader, it’s your responsibility to ensure that you can give every team member clear, precise answers to these three core questions. If you can do that—and demonstrate the essential leadership virtues and skills—employees will be happy to stay.
You can read more about these leadership qualities in my two books Das Phönix-Prinzip and Die Heldenreise einer Führungskraft, which also make excellent holiday gifts for leaders.