7
Are You Still Job Hugging?
Are You Still Job Hugging?
Job market got you feeling stuck in place? This story is for you.
The job struggle is real
"Workers seeking a job — whether they currently have one or not — have been in a slog," says Elizabeth Renter, NerdWallet’s senior economist. Insert melting emoji. The labor market did gain 178,000 jobs in March 2026 after losing jobs in February. But job growth has switched between negative and positive every month since May of last year, Renter says. “Unlike a few years ago, during the 'Great Reshuffling,' you just can’t leave your current job and effortlessly land in a better one,” she says. That lack of opportunity plays into the reason so many people are still job hugging (and maybe quiet quitting, too). Employee engagement in the United States is at its lowest rate — 31% — since 2020, according to Gallup. That’s after decades of growth. Jim Harter, Gallup’s chief scientist for workplace management and wellbeing, said that 28% of workers report burnout “very often” or “always” at work. "This is not at its peak, but has been on the rise in the recent year," he said in an email interview. "But the biggest issue right now is worker detachment. Employees feel increasingly detached and 'stuck' without an abundance of new employment opportunities." Uncertainty about the economy, largely driven by changing policy, is causing employers to hold back on hiring, Renter says. “Investing in new workers takes some confidence that business will be good in the near future, and when you’re unsure about pricing due to tariffs, interest rates and consumer demand, it’s hard to have confidence,” Renter says. She says hiring remains lowest in manufacturing, government and financial activities industries. » MORE: What is the U.S. job market doing? » MORE:Meet MoneyNerd, your weekly news decoder
So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.
So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.
Fear? Also real
About a third of Americans (33%) don’t feel confident about their ability to financially withstand a recession, high inflation (33%), or income loss (39%) in 2026, according to a NerdWallet survey. “For workers, staying put feels much safer than joining the ranks of those seeking a better job among few job openings,” Renter says. Jesse Wideman, a certified financial planner based in Charlotte, NC, says a few years ago he had a lot of clients, particularly in the tech industry, who job-hopped to get more money. Now though? “There’s a lot more fear around job security,” says Wideman, who works for Zenith Wealth Partners. He gets it. He says he’s gone through job loss, and he’s had both friends and clients go through job losses, too. “They were out of work much longer than they thought,” he says. “Then, once they get in a new job, they don’t say, ‘I plan to be here a year or two.’” They stay parked right where they are. Why? Because people are afraid to go through another job loss and think, “let me make sure I don't have another five or six months where I don't have enough money for it to be feasible to feed me and/or my family,” he says. » MORE: Are you job hugging, burned out or thriving? Take our quiz » MORE:Job hugging does have benefits. Literally.
Security and stability are among the reasons 48% of employed workers said they're staying in their current jobs for longer than they normally would. That's according to an October 2025 survey from Monster.com. The same survey said 75% of workers expect to remain in the same job for two more years or longer. If your job provides your health care and you have people relying on you, that’s a strong case for staying put, says Woodruff-Santos, who has the nickname, “the Queen of Quitting” because she’s quit jobs to get more money and coached women of color to do the same. Staying in your role means you and your financial planner, if you have one, have an idea of what your projected income and retirement look like, Wideman says. You know what’s in your 401(k) and what your company will match. Believe it or not, some companies still have pensions, he says. If you leave, that’s money you may be leaving on the table.But still, have a Plan B
Wideman says he’s seen emergency funds getting beefier. Instead of the traditional amount — enough money to cover three to six months’ worth of living expenses — he’s seeing more people want a reserve of six months or more. "The trend of wanting to feel over-prepared for an uncontrolled job change is very alive from my view," he says. Either people been laid off before, or they want a cushion in case life starts life-ing and that job they’re hugging cuts them loose. Wideman recommends his clients put this cash in a high-yield savings account, primarily because of the liquidity that many of them offer. He also encourages clients to have low or no high-interest debt.And when opportunity knocks, consider betting on yourself
If clients aren’t happy in their role and something better does come along, Wideman says he works with them to help them evaluate where they are and what their financial plan looks like if they stay or if they go. But lately, Wideman says, a growing share of his clients ready for a job change would prefer to become their own boss over hopping to another company. "Their motivation is to regain a greater sense of control over their careers in an environment where many feel they’ve lost much of it," he says. Employee engagement in the United States is at its lowest rate — 31% — since 2020, according to Gallup. That’s after decades of growth. Woodruff-Santos says if you’re hanging onto a job that seems secure and you get a rare opportunity to jump ship, but you’re scared of moving because of a possible last-in, first-out layoff, what does that mean for future you? “It’s very comfortable to think ‘stay put.’ It’s the safe route," Woodruff-Santos says. “But at the same time, what are y'all hugging? It ain’t hugging you back.” How much more could you have saved, gotten ahead, paid off debt, or socked into your 401(k) if you quit and took that leap? “There’s that risk, but also that reward,” she says. “What if things do work out? Because a lot of times, they do.” Woodruff-Santos, who works with women of color, says they’ve long known that a job is just one source of income. She encourages her clients to keep their resumes and networks up to date and not count on that one job to be around forever. “If you are job hugging naively, that is the worst mistake of all,” she says. “Finding additional income streams is always the move.”Meet MoneyNerd, your weekly news decoder
So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.
So much news. So little time. NerdWallet's new weekly newsletter makes sense of the headlines that affect your wallet.
Explore more on Article sources NerdWallet writers are subject matter authorities who use primary, trustworthy sources to inform their work, including peer-reviewed studies, government websites, academic research and interviews with industry experts. All content is fact-checked for accuracy, timeliness and relevance. You can learn more about NerdWallet's high standards for journalism by reading our editorial guidelines. Monster. Nearly Half of Workers Are “Job Hugging” as Comfort and Security Take Priority. Accessed Mar 19, 2026. About the author Fuente Pamela de la Fuente is a managing editor of NerdWallet's personal finance content. She leads budgeting, money-making, consumer credit and and debt coverage. Ask her and her talented team about why credit scores matter, how to save money on your grocery bill, finding the right side hustle, how to protect your identity for free and more. Previously, she led taxes and retirement coverage at NerdWallet. Pamela joined NerdWallet after working at companies including Hallmark Cards, Sprint Corp. and The Kansas City Star. She has been a writer and editor for more than 20 years. Pamela is a thought leader in content diversity, equity, inclusion and belonging, and finds ways to make every piece of content conversational and accessible to all. She is a graduate of the Maynard Institute's Maynard 200 program, and the National Association of Black Journalists Executive Leadership Academy. She is a two-time winner of the Kansas City Association of Black Journalists' President's Award. She was also founding co-chair of NerdWallet's Nerds of Color employee resource group. The job struggle is real Fear? Also real Job hugging does have benefits. Literally. But still, have a Plan B And when opportunity knocks, consider betting on yourself How to Pay Off Debt: Top Strategies for 2026 Credit Score Ranges: What They Mean and How They Work How to Budget Money in 5 Steps 28 Proven Ways to Save Money Are You a HENRY? By Lauren Schwahn High Net Worth: What It Means to Be a HNWI By Lauren Schwahn, Pamela de la Fuente Making $200K and Still Feel Financially Stretched? You’re Not Alone By Kate Ashford, WMS™ How to Choose a Financial Advisor in 5 Steps By Taryn Phaneuf