Every year, January brings a familiar challenge for employers: a spike in resignations. The new year brings fresh ambitions, new opportunities, and, for some employees, a decision to move on. Understanding why this happens – and how to respond – is key for keeping your best people.
Why Resignations Spike in January
January is peak resignation season for several reasons:
- After a break, employees reflect on their career goals by having a fresh start mentality. New Year’s resolutions often can include career changes.
- Time away from work can give employees time to reassess their job satisfaction and career goals that they need to consider a move.
- Year-end bonuses are often spent or received in January, which can remove a financial reason to stay.
- Data shows that January sees a rise in active job postings in the UK, increasing opportunities for employees to leave or look at other possibilities.[1]
- Recruitment budgets typically start in Q1 in January, and many employers launch hiring initiatives. Which can make it an attractive time for job seekers.
UK research supports this trend: in early January 2025, 11 % of UK workers were actively seeking a new role, up from 8 % in previous years.[2]
How to Spot Risk Before Resignations Hit
Not every employee is planning to leave, but certain indicators may suggest increased risk:
- Comments about new challenges or “looking elsewhere”
- Requests for salary reviews or promotions
- Engagement levels dropping after the holidays
- Increased social media activity on job boards
Spotting patterns early allow you to act before resignations occur.
How to Prevent the January Exodus
Here’s what you can do now:
- A simple “thank you for your hard work this year – here’s what we have planned in 2026” message can build goodwill and focus attention and boost morale.
- Make it clear what’s next for your people: this includes promotions, training, and development opportunities. If employees see opportunity ahead this could incentivise them to stay.
- One-off conversations during the holidays aren’t enough. Regular engagement surveys will help you:
- Spot early signs of dissatisfaction
- Track trends in morale, workload, and development needs
- Prioritise interventions before turnover spikes
- Instead of relying solely on year-end bonuses, consider retention bonuses, extra leave, flexible working, or other perks.
- A short 1‑to‑1 in January can uncover unspoken concerns before they become resignations.
- If remote or hybrid working is a possibility – highlight it. Many job‑seekers now prioritise flexibility over pay.
- As you unlock hiring budgets, carve out resources for retention efforts too, including training, wellbeing, rewards, and culture-building.
When Employees Resign
Even with proactive measures, some resignations are inevitable. To minimise disruption:
- Conduct thoughtful exit interviews – understand the reasons for leaving and identify trends.
- Consider counteroffers carefully – only do so when meaningful changes can be implemented.
- Plan for backfill strategically – Q1 hiring budgets may allow for smooth recruitment, but focus on internal talent where possible otherwise you risk morale being affected.
Final Thought
January resignations don’t have to be inevitable. Organisations that understand why employees leave, engage early, and communicate clearly reduce turnover risk and protect team morale.
If you’d like help tailoring a retention plan for your organisation – from employee surveys to re‑engagement frameworks – get in touch with us today to see how we can support you.
[1] Recruitment Market Update 2025: Forecasted Trends and Growth
[2] https://www.totaljobs.com/media-centre/new-year-new-career-four-million-workers-looking-for-a-new-job-in-january/
