'The Great Resignation' is a Bigger Risk Than You Think

Companies claim that people are their greatest assets, but what happens when they leave?

Adam Fleck, CFA 18 November, 2021 | 3:28PM Kristoffer Inton
Facebook Twitter LinkedIn

After a record 4.4 million people left their jobs in September 2021 in what's being called the "Great Resignation," employee turnover remains a major concern for managers and executives throughout the country. After all, companies regularly note that people are their most important assets.

But given that these assets can walk out of the front door whenever they feel it's time to move on, investors in those same firms need to consider the risk of further flight on companies' economic value.

While digging into this issue can seem daunting given the limited transparency and quality of available data, investors don't have to be completely in the dark. This is ultimately a social issue, putting it squarely in the territory of environmental, social, and governance factors.

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
Activision Blizzard Inc57.29 USD0.00Rating

About Author

Adam Fleck, CFA  Adam Fleck is an associate director of research with Morningstar.