The Great Resignation

https://www.seattletimes.com/explore/careers/why-…

Apparently workers are quitting in droves post and during the covid pandemic. Some people are realizing that there is more to life than working and choosing to travel as well as take up jobs closer to their actual interests even though it may pay less.

Some want to work remotely, and some want to move out of the big city to more rural areas to raise a family and be closer to nature. 

Wondering if this new trend will hit the Banking world. What do people think going down this path and has anyone noticed their friends/colleagues affected by this trend? 

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Comments (12)

Oct 13, 2021 - 9:21am

I've noticed analysts leave. It's not really a big deal or unexpected. That's why most BB raised the comp.

I left a firm to go to corporate strategy just a few week ago. Some places are offering pretty high wages at half the IB hours. (I have over 4 years of experience but no MBA, unsure if that is relevant for the offers being so high).

Oct 13, 2021 - 9:24am

I think the cycle will for the most part stay the same. Banks will still get thousands of applicants for every position. The kids who get the jobs will stay 1-2 years until they realize their hair is falling out. They will leave for better work life balance. They will be replaced and the cycle will just continue. 

  • Analyst 1 in IB-M&A
Oct 13, 2021 - 10:02am

By and large I agree. The majority of my intern class last summer accepted on the spot with the intention to stay for their analyst years. I think that banking is still a great gig if you either plan to recruit for PE or don't know exactly what you want, since it's such a great springboard.

COVID was hard on me personally. I reflected over the last few years of recruiting during the pandemic while I was at my internship and I determined that I didn't want to be working 80+ hour weeks and continue to feel isolated from my friends and family. This led to an easy decision to turn down my offer and pursue something else outside of the banking/PE world. That being said, I'm still very much the anomaly  - I knew of at least 2-3 other interns in my group who wanted to pursue something else but didn't because they wanted the security of knowing they had a guaranteed job out of college.

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Oct 13, 2021 - 10:33am

To be honest banking has always had an up or out nature, and tremendous turnover. I joined IB in 2012 and it was pretty similar, and I heard old heads talking about turnover being insane back in the day as well. The equation to your average bank will always be IF job = more shitty, THAN give more money. Curbing the nature of the high demand on the analyst I dont suspect will ever be apart of the equation, just increase comp if more people are necking because of their disparate situation. 

What I find more interesting about the trend is how seemingly a lot of jobs have gotten shittier. Take banking - work from home sounds like a complete fucking nightmare, especially if you are forced to still live in NYC. I don't blame attrition rate if deals are getting ever sweatier and people always have to be logged on, its a situation that can quickly spin out of control (increased comp, increased turnover, have to play hot potato with new analysts continually coming in). 

One thing I don't think is that this trend is necessarily meaningful for the banking world at all. Sure, more people might quit but that doesn't matter in the context of banks which have basically an unlimited supply of talent, and an unlimited supply of money. Increase comp, hire more to patch the holes of high turnover. People not even staying long enough to get their bonus is almost a benefit. Its not hard, its just unpleasant. 

I eventually quit the banking world for the same reason everyone who quits does - its a crazy work lifestyle. You either become a lifer (rare), or people eventually quit. Other than money it hardly matters if you quit in year 1 or year 10. If this trend encourages more people to quit than that would probably be positive in the long run, but make no mistake about the fact that there is a line around the block of people who want to join. The eternal machine will always keep marching whether you are a part of it or not. 

  • 6
Oct 13, 2021 - 11:03am

I think the majority of these are people working low skill labor intensive jobs in industries like food service at least from the information I have seen.  We shall see if it spreads to more intellectual jobs.  Overall this is a terrible thing for the economy.  Mostly because these jobs are critical to quality of life that exists in developed nations.  It is going to get very interesting when those comfortable in the suburbs who believe the economy is humming along well start to realize that the entire system is falling apart around them. 

Oct 14, 2021 - 1:14pm

Moving out the big city and being close to nature has been my dream for a while. Just need enough money to build a self-sustaining, defensible compound and then I'm going off the grid.

"Work ethic, work ethic" - Vince Vaughn

  • VP in IB-M&A
Oct 14, 2021 - 1:44pm

Right now I'm telling any recruiter that reaches out to me that I'm not interested in any opportunities in NY or CA, which happens to be where most of the sector coverage for my industry (Technology) resides. I think if there are enough people tuning down offers for the major financial hub cities banks might start to be more flexible in order to attract talent, probably not BB but based on what I have been hearing from recruiters there are a fair amount of banks open to remote bankers. Analyst and Associates really don't have much leverage here, VPs some leverage but still not much, but if bankers at the Director and MD level; the bankers that actually generate revenue start to express their desires to not be tethered to a major city like NY, SF or Chicago then we may start to see banks give way. Only time will tell though.

Oct 14, 2021 - 1:45pm

My company just reinstated no WFH after having done it for a year. I'm so fucking annoyed. I got a great rating and met every milestone with multiple "This is the best XXX I have ever sat through." Yet a blanket policy just shows how antiquated some of these companies are. I'm livid and about to search for a new company with remote options. Once my doctorate is in-hand bye!

Oct 14, 2021 - 2:09pm

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