The Rise Of Job-Hugging Among Gen Z Workers
The Rise Of Job-Hugging: Why Gen Z Workers Are Clinging To Current Roles
Just when we thought “quiet quitting” had defined a generation, a new workplace trend is taking over: job-hugging.
Job-hugging describes the growing tendency among workers—especially Gen Z—to cling tightly to their current jobs, not out of love or loyalty, but out of fear. With today’s rocky job market, unstable economy, and waves of corporate layoffs, many feel it’s simply too risky to let go of their jobs. Instead of jumping to new roles or chasing passion projects, workers are staying put—even if they’re disengaged or dissatisfied.
A Generation Holding On.
Gen Z, born between 1996 and 2010, appears to be embracing job-hugging more than any other group. According to a recent Forbes article, this cohort is especially wary due to skyrocketing prices, a tightening economy, and reduced entry-level opportunities. Many recent graduates are struggling to find their first jobs, leading to heightened anxiety and reluctance to take employment risks.
In fact, the Bank of America Institute reported on Aug. 22 that over 13% of unemployed Americans in July were Gen Z workers, or “new entrants,” people looking for their very first jobs. That’s the highest rate since 1988, illustrating just how challenging it has become for young people to enter the workforce. Combine that with AI disruption and geopolitical trade tensions, and you have a perfect storm undermining early-career confidence.
The problem with Job-hugging.
While job-hugging might look like employee loyalty from the outside, it’s often just career stagnation in disguise. Jennifer Schielke, CEO and cofounder of Summit Group Solutions, explained to Forbes during an Aug. 26 interview that the growing trend creates the illusion of loyalty, but it’s actually “stagnation” in disguise.
“And if leaders treat this low turnover as success, they miss the quiet disengagement that will trigger a talent drain when the market loosens up,” she noted.
This highlights a critical risk; organizations may feel secure in the short term, but once job opportunities pick back up, they could face a wave of exits from employees who were only staying because they felt they had no other choice. On the employee side, job-hugging can leave workers feeling stuck, especially if they see no clear path for growth in their current role. By holding on too tightly and avoiding external opportunities, they risk missing out on career advancement, new experiences, and skill development.
“Employees may not be moving jobs, but they still need to move forward,” Schielke noted. “Great leaders will recognize that stability is not the same as engagement and use this time to build a stronger culture that lasts beyond the current market.”
Anxiety in an Uncertain Market.
The August Jobs Report issued by the U.S. Bureau of Labor Statistics adds more context to this issue. The U.S. economy added just 22,000 jobs in August—continuing a four-month trend of sluggish growth. The unemployment rate remained at 4.3%, but long-term unemployment persisted at high levels, and labor force participation continued to decline gradually. Notably, the unemployment rate for Black and Hispanic people in the U.S. was the highest in August among the races, at 7.5% and 5.3% respectively.
The report also noted that the number of new entrants fell by 199,000, bringing the total down to 786,000. This drop essentially reversed the spike seen in July. The decline suggests that some Gen Z individuals may have found jobs, stopped actively searching, or temporarily stepped away from the labor market due to discouragement or other barriers.
Overall, these numbers don’t signal a collapse, but they do paint a picture of an economy treading water—enough to sustain employment, but not enough to inspire risk-taking. For many, this economic limbo is worse than actual job loss. Uncertainty about the future, career prospects, and financial stability creates chronic stress that can take a greater toll on well-being than the job market itself, and it is weighing the heaviest on young workers.
A Deloitte survey published June 2 found that Gen Z is focused on career growth, with financial security, purpose, and well-being being key to their overall happiness. However, Gen Z respondents said that both their long-term financial future and daily expenses contribute to their anxiety or stress due to the troubled job market. Nearly half of Gen Z (48%) and millennials (46%) reported feeling financially insecure in 2025, up from 30% and 32%, respectively, in 2024. More than half are living paycheck to paycheck, and over a third struggle to cover basic living expenses each month.
In today’s climate, job-hugging makes emotional sense. When the market feels unstable, holding onto what you have feels safer than reaching for what you might lose. People are choosing security over advancement, predictability over growth. But job-hugging comes at a cost.
Staying in a role that no longer fits can lead to burnout, disengagement, and missed career opportunities. And the hard truth is, job security is never guaranteed. A company can decide to lay off employees at any time, regardless of loyalty or performance. That’s why both employees and employers must recognize job-hugging for what it really is: a short-term survival strategy, not a sustainable career path. Preparing for future shifts in the job market is essential because when things change, they often do so rapidly.
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The Rise Of Job-Hugging: Why Gen Z Workers Are Clinging To Current Roles was originally published on newsone.com
