As your clients review their benefits for the new year, they need broker guidance.
US workers have shifted from post-pandemic-era “job hopping,” where they changed roles frequently to secure better pay and benefits to “quiet-quitting,” where they stayed at their current role but did just enough to not get fired. And if they did get let go? They probably had 3 side hustles and other job prospects on the horizon.
Now, in 2025, we’ve entered a new era, sparked by economic uncertainty: “Job-hugging,” where workers may be disengaged but are doing what they can to stay in their current company.
What is Job Hugging, Exactly?
Job hugging is the opposite of the Great Resignation, where people left jobs in search of higher pay, better work/life balance, increased opportunities and improved mental health. The Great Resignation reflected a philosophy that “the grass is always greener.”
Job hugging is where workers stay in their current job, in spite of low pay, overwork, or feeling unfulfilled. They haven’t embraced “quiet quitting,” for fear of losing their job, but they’re not engaged, either.
Nearly half (45%) of US workers are staying in their current job because changing “feels too risky,” according to a Resume Builder poll. And nearly all (95%) of those who are staying have concerns about the job market. Meanwhile, 84% of job huggers said they would look for better pay if the job market improved.
The trend is powered by fears of a recession, increased inflation, threats of AI automation, and an unusual job market where job seekers are having trouble finding the right positions and those who are hiring say they can’t find qualified candidates.
“While official employment data for September are delayed, available evidence suggests that both layoffs and hiring remain low, and that both households’ perceptions of job availability and firms’ perceptions of hiring difficulty continue their downward trajectories,” Federal Reserve Chair Jerome Powell said in the recent Federal Open Market Committee meeting.
The solution to re-engage workers and find qualified candidates ready to work could lie in the hands of employee benefits brokers.
Mental Health, Wealth, and Employee Benefits Go Hand-in-Hand
A recent study from employee benefits and investment management firm Voya revealed that half of US workers believe personalized benefit recommendations would increase their confidence in making benefits decisions.
Meanwhile, 77% of workers said they plan to spend more time reviewing their benefit election to maximize their dollars given the current state of the economy. That number is up from 69% last year.
According to the poll, employees are looking for “interactive calculators” (39%) and one-on-one support from HR or benefits teams (38%).
“These findings reinforce what we’ve long believed: Benefits are not just transactional — they’re transformational for workforce morale and productivity,” said Andrew Stocker, president, Employee Benefits at Voya Financial in a press release. “When employees feel better prepared for the future through their benefits, they’re more confident, engaged and motivated — which, ultimately, can help support a healthier, more resilient organization.”
And let’s not forget the most important piece of this puzzle: 63% of Americans “agree” or “strongly agree” that their financial stability directly impacts their mental health.
How Insurance Brokers Can Help
As more states introduce required benefits, notably, short-term disability and paid family leave or paid family and medical leave, brokers can help organizations privatize these benefits through top carriers for cost savings and better service.
Required benefits are your foot in the door to discuss ways that other employee benefits can turn “job-huggers” into workers genuinely happy to stay at a company.
Take the savings introduced by privatizing PFL or PFML and roll it into voluntary benefits like dental, vision, Group Life / AD&D, and other voluntary worksite benefits.
The DBL Center can help you spot risk gaps in your clients’ coverage to provide a benefits package that makes the most sense. Let us be your back-office staff. You build the relationships, and we’ll take care of the rest, including securing the best premium rates through our network of carriers.
Preserve Your Own Mental Health and Work/Life Balance, Too
The time to review your clients’ employee benefits and create a customized package that works for them is now. We know that most renewals come up at the end of the year, leaving brokers and carriers in a scramble to write lapsed policies and manage renewals, without neglecting new business that helps you grow your bottom line.
Do yourself a favor – focus on writing ancillary benefits now and start staggering renewal dates. Your mental health matters, too.
The DBL Center is here to help you simplify and streamline renewals and cancellations through our Broker Dashboard: Net Revenue Tracker.
Not using Broker Dashboard yet? Reach out for your free demo.
How does an insurance wholesaler work?
An insurance wholesaler leverages relationships and volume with top carriers to provide insurance brokers with lower premiums, better benefits, and, often, no minimum requirements. The insurance wholesaler can act as a broker’s white-glove, white-label, back-office staff, leaving brokers free to build relationships with clients and expand their book of business through increased sales.
What does job hugging mean?
Job hugging is a current workplace trend, where employees stay at their job in spite of dissatisfaction or low pay, often because they fear they won’t find something better and feel “lucky” to be employed in a shaky economy.
What are the 3 common forms of employee benefits?
Most employees look for health insurance, paid time off, and retirement benefits, but group life / AD&D coverage, disability insurance, and dental and vision insurance are also important to today’s workers.
