Employees are more likely to stay in their jobs during the next six months, according to an April 15 report based on Eagle Hill Consulting’s Employee Retention Index.
The index increased slightly during the first quarter, inching up 3.9 points to 102.5. Indicators for organizational confidence, compensation, culture and retention increased, yet worker optimism about the job market dipped.
“The Index data indicate that employees are more likely to stay put in the coming months, and there’s a rising sense of unease among workers regarding their job prospects,” said Melissa Jezior, president and CEO of Eagle Hill Consulting. “While this is good news for employers facing chronic labor shortages, it’s a tough situation for employers who now must reduce their labor costs.”
By age cohort, Generation Z workers appeared to be least likely to leave their jobs — more than ever before, according to the Index data. On the other hand, millennials were most at risk of quitting and were least satisfied or optimistic about compensation.
The gender retention gap grew wider, too, reaching the largest gap to date at 19 points. Women and men particularly diverge on their feelings about compensation, with women “increasingly less confident” about it, creating a 33.2-point gulf from men.
HR professionals have shifted their focus from recruitment to leadership and management development, according to the 2025 SHRM State of the Workplace report. HR leaders indicated that retention and career progression were also top priorities, especially training programs for front-line workers and hourly employees.
Creating employee cohorts can improve retention, especially among Gen Z workers, according to research published in the Journal of General Management. Fostering strong cohort dynamics can help newcomers feel like they’re a meaningful part of the organization and reduce turnover risks, the researchers said.