Two Cents

- You might have heard of quiet quitting, career cushioning, or maybe even office peacocking.

That's when management zhuzhes up the office to lure employees back from remote work.

But there's a new trendy workplace phrase that economists say is quite relevant to the current landscape.

Job hugging.

- Job hugging means staying at a job you're not really into out of fear or uncertainty about the future.

What consultancy firm Korn Ferry, described as, "Holding on to one's job for dear life."

And it's all the rage right now.

A July 2025 study by Eagle Hill found a consistent rise in workers intending to stay at their jobs for at least the following six months, coupled with a growing pessimism about the labor market.

- This economy is giving me whiplash.

It was only a few years ago we were talking about the Great Resignation when millions of Americans ditched their unfulfilling jobs for greener pastures.

- Well, a lot's happened since then.

Inflation, tariffs, dollar depreciation, recession warnings, and political upheaval.

The future feels unpredictable, to put it lightly.

Who wants to make a big life change in this climate?

Better to just hunker down and weather out the storm, right?

- Mm, maybe not.

- While job hugging may seem like the safe move, career strategists warn that it may backfire for you, your employer, and the whole economy.

(upbeat jaunty music) - In 1998, a little book was published about two mice named Sniff and Scurry, who live in a maze forever searching for cheese.

This might sound like an innocent children's story, but it actually became a highly-debated and polarizing book.

"Who Moved My Cheese?"

written by Spencer Johnson, was meant to be a motivational business fable.

A guide for employers and employees navigating a changing labor market.

- The general idea is that workers who always expect to find their cheese in the same place become stagnant and complacent, while those who are open to change and are willing to adapt, are rewarded with new skills and experiences.

The book was a hit with business managers who hoped that it could persuade employees to see layoffs, not as a tragedy, but an exciting opportunity.

More labor-oriented writers like Barbara Ehrenreich and Thomas Frank criticize the book as downsizing propaganda meant to discourage workers from complaining about unfair treatment and recast cold-hearted managerial decisions as an anonymous force of nature.

- Whatever you think about the book, there's no doubt it captured a shift in the relationship between employers and employees that was already well underway in the US.

In the first half of the 20th century, it was much more common for Americans to work at one company for a long time, even a lifetime.

The arrangement was seen as mutually beneficial.

Employees could rely on a predictable wage, health insurance, and a retirement package, while employers enjoyed an experienced staff that required little expenditure on recruitment and training.

- This all changed around the 1970s and '80s.

A brutal period of stagflation shook up longstanding economic assumptions and ushered in a kind of aggressive free market capitalism, sometimes known as neoliberalism.

Neoliberalism rejected the notion that businesses had any responsibility to their workers or their communities.

It argued that capitalism worked best when management focused solely on the immediate interests of shareholders.

- Economist William Lazonick describes the period that followed as a transition from retain and reinvest to downsize and distribute.

This means that instead of putting profits back into their companies in the form of research, development, and staff, CEOs focused on slashing costs, purging payrolls, and distributing the savings to their shareholders through dividends and stock buybacks.

- By the late '90s, the idea that companies owed their employees any kind of loyalty was fully passe and a new genre of self-help emerged to help working Americans cope with this changed landscape.

Books Like "Who Moved My Cheese?"

and Tom Peters', "The Brand You 50.

Fifty Ways to Transform Yourself From An Employee Into A Brand That Shouts Distinction, Commitment, And Passion," encouraged workers to think of themselves as free agents, CEOs of Me Incorporated, not stuck in one place, but ready to pivot new and exciting opportunities at a moment's notice.

- But redefining employment as something casual and short term, more of a fling than a marriage, may have negative repercussions for the employee and the employer.

Anthropologist Ilana Gershon, argues that a worker who feels no loyalty to their boss is always looking to move on to better things.

They do not think of what's best for the firm or the project at hand, but only what will make them marketable to new employers.

Tasks and skills that are too specific to the company or the region are avoided, and time and effort are split between the current job, and the search for a new one.

Essentially, quitting becomes the ultimate act of career advancement.

- We saw this mentality in action during the COVID Pandemic when a tight labor market and generous government support gave Americans the chance for a new start, and over 50 million took it.

There were lots of reasons for it, low pay, meager benefits, poor working conditions.

But what it really came down to was a lack of mutual loyalty.

Employers had given their employees little reason to stay, so as soon as the opportunity arose, they bolted.

- As the economy has cooled in recent months, the trend reversed course into what some economists call "The Great Stay."

Hiring slowed way down, and workers started clinging to their jobs.

According to the chief Economist at ZipRecruiter, employers are scarred from the struggle to retain staff during COVID and so reluctant to lay off or fire any employees.

It's almost like the labor market is frozen as everyone waits to see where this economy is headed.

- But just because employees are staying at their jobs longer, doesn't mean we've returned to the good old days.

Job hugging is done out of fear and necessity, not loyalty.

And as in any involuntary relationship that can breed resentment.

Employees may start phoning it in, what we used to call quiet quitting.

Productivity may sag, tensions rise, and workplaces become more toxic.

Employers might feel like they can get away with unfair labor practices or poor working conditions.

And if the labor market tightens again, we could see another vast wave of resignations.

- If you're job hugging, most career strategists advise that it's important to not become complacent.

Try to learn new skills and forge new relationships that will help you move forward when the time is right.

- When hiring is slow, knowing someone on the inside of a company you wanna work for is invaluable, and when an opportunity arises, you should go for it, especially in the early stage of your career when energy and variety are vital to discovering your strengths.

- Life changes can be scary, especially when the future feels unpredictable, but being stagnant has its own costs that can damage your career and your mental health.

- [Both] And that's our 2 cents.