If Company-Hopping was an Olympic Sport, Which Country Would Get the Gold?
The US ranks closer to Japan than you might expect
The amount of time employees stay with a single company can tell us a lot about the regional labor market. Short tenures and high workforce attrition can be signs of labor market instability, but can also be consequences of a natural dynamism in regional labor markets, as employees and employers go through several iterations to find a good fit.
Below, we use Revelio Labs data to look at the median employee tenure by country.
Japan is a notable outlier, with a long history of lifetime employment at the same firm. The US, perhaps surprisingly, has longer tenures than most European countries, who have a reputation for more rigid labor market practices.
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Within the US, we see significant heterogeneity by urban concentration. Mega-cities, known for their labor market dynamism, indeed have the lowest tenures, and the long tenures are really driven by the more rural areas of the US.
- The United States has one of the highest median employee tenure in the world, above that of most other major economies, according to Revelio Labs data.
- Japan has the highest employee loyalty.
- Breaking down MSA’s in the United States according to their population size, we see that the high employee tenure is mostly driven by smaller cities and rural areas, while big cities have higher employee turnover.
Feel free to check out some of our earlier newsletters covering workforce attrition, including "Revelio Labs & Glassdoor Collaboration: What Workplace Factors Drive Attrition?" and "What Makes Costco A Great Place To Work?"