Ask an economist: where are workers job hopping – or job hugging? 

Key takeaways

• Indeed Hiring Lab economists in the US, France, Germany, Japan and Australia analysed jobseeker profiles to look for patterns in occupational transitions – in which workers transfer their skills into new jobs or careers. 
• Among their findings: sectors with high-paying, high-skilled roles tend to see less movement, whereas lower-paying jobs and those with low barriers to entry experience higher turnover.
• Recognising whether a sector is more ‘open’ or ‘closed’ can help both employers and workers make smarter moves in a shifting labour market.

When workers make the leap to a new occupation, it’s more than a personal milestone – it’s an important signal of labour market adaptability and how confident people feel about their prospects. 

Yet official data on career transitions is scarce. To fill that gap, Indeed Hiring Lab economists analysed tens of millions of anonymised jobseeker profiles to see who’s making those big moves and where they’re going. 

Their research suggest that the freedom to shift careers often depends on whether employers value transferable skills over degrees and past job titles. Especially in markets or occupations facing labour shortages, prioritising skills-first recruitment could unlock access to new talent pools and offer greater mobility for workers everywhere.

When examining job switching and occupational transitions between 2022 and 2024, Hiring Lab economists in five major economies discovered common patterns across markets – as well as some surprising differences. Here’s a look at some of their findings. 

In the US: some jobs are extremely hard to break into

The data: About 2.6% of Indeed users in the US switched to new jobs each month, and roughly two-thirds of those job switchers also changed occupations.

What’s surprising: Healthcare and software development show exceptionally low mobility, both inward and outward. In healthcare, strict licensing and credentialling limit movement. In tech, the rapid pace of change and constant retraining create an ‘insider effect’, where experienced developers adapt quickly while newcomers struggle to break in. 

Worth noting: The data doesn’t yet reflect AI’s influence but it’s part of the uncertainty that’s leading many Americans to stay put in their roles along with a cooling economy and a frozen job market. Economists are calling this ‘job hugging’.

The labor market is full of career switchers with fresh skills and the drive to learn. In a shifting economy, savvy employers make room for them. —Lisa Feist, Hiring Lab Economist in the U.S.

A key takeaway: The labour market is full of career switchers with fresh skills and the drive to learn. In a shifting economy, savvy employers make room for them.

– Lisa Feist, Hiring Lab Economist in the US

In Japan: despite a low job-switching rate, some professions are surprisingly open

The data: Japan experienced a low job-switching rate (1%), even as the country faces a severe labour shortage. Of those switchers, 60% moved to a new profession

What’s surprising: The ‘jobs for life’ model, once a hallmark of Japan’s corporate culture, is slowly easing. Some sectors are now more open to new talent, with industries like leisure (76%), insurance (74%), hospitality and tourism (71%) and marketing (69%) welcoming the highest shares of newcomers from other fields.

Worth noting: In many countries, administrative and executive assistant roles are high-turnover jobs serving as stepping stones to other positions. But in Japan, administrative assistant jobs are coveted. Even with a low barrier to entry and low pay, workers tend to stay in those jobs.

A key takeaway: Given Japan’s historic labour shortage, many employers are beginning to broaden their search for workers – including groups that have been under-represented in the past, such as women. More flexible working hours could help bring more people into the workforce. 

–Yusuke Aoki, Indeed Hiring Lab Economist in Japan

In Australia: high-profile redundancies have created uncertainty

The data: About 2.2% of Australian Indeed users changed jobs each month, and just under half of those also switched professions. 

What’s surprising: There is unexpected loyalty in food preparation and service jobs. Younger workers may have their first job at a café or a restaurant, but many chefs stay in their roles long term. Childcare workers also tend to stay in their roles for a long time – but those who leave typically exit the sector entirely, reflecting the high pressure and low pay.

Worth noting: Australian workers are prioritising job security over new and interesting opportunities but there are many job openings waiting to be filled. Well-publicised redundancies at some high-profile companies have undercut confidence in the job market, though the overall redundancy rate is actually relatively low.

The takeaway: While employers in Australia tend to be risk-averse in seeking perfect candidates, they should consider ‘imperfect’ candidates to fill staffing needs.

–Callam Pickering, Indeed Hiring Lab Economist in Australia

In Germany: Some workers are ‘job clinging’

The data: About 1.9% of Indeed users in Germany switched jobs each month, and more than half of those job switchers also changed professions. 

What’s surprising: Manufacturing jobs – especially in the automotive sector – were once considered ‘jobs for life’. But as redundancies and technological shifts unsettle the industry, some workers are torn: they may want to move, yet uncertainty keeps them in place. Sich an den Job klammern – ‘job clinging’ – becomes a strategy in uneasy times.

Worth noting: After two years of recession, Germany is showing early signs of recovery though progress remains slow and uneven. The labour market is divided: certain white-collar professionals are struggling to find jobs, while sectors like healthcare remain understaffed. Mobility within healthcare is particularly low, with few people entering or exiting the field, leaving the country heavily reliant on workers from abroad to fill these roles. 

The takeaway: In sectors like healthcare with low mobility and labour shortages, employers need to strengthen training pipelines and find new ways to attract talent.

–Virginia Sondergeld, Indeed Hiring Lab Economist in Germany

In France: workers are split between stability and movement

The data: France saw a 3.7% monthly job-switching rate with more than half of those workers changing to a new profession. Resignation rates were unusually high as well. During the 2022 to 2024 period Indeed studied, post-pandemic job growth gave workers greater bargaining power – but that momentum is now fading, with power shifting back towards employers as the labour market cools.

What’s surprising: France’s labour market moves at two speeds. Workers with permanent contracts enjoy stable employment and protections, while those on short-term contracts (often younger workers) switch frequently. Those individuals are more likely to show up in Indeed’s data because they’re on job-seeking platforms, but there is still a sense that these kinds of short-term contracts are increasing.

Some roles act as bridges. Jobs in customer service, project management and administration often help workers transfer their skills and move between sectors. 

Worth noting: The restaurant and food industry has high general turnover yet few workers enter or exit the sector from other fields.

The takeaway: In France, employers still place strong emphasis on diplomas and formal credentials, so there’s a great deal of room to broaden perspectives and place more value on transferable skills.

– Lisa Feist, Hiring Lab Economist in the US

The global outlook

The ability to adapt and progress in the labour market is central to social mobility, and often to personal fulfilment. Across markets, many job switchers on Indeed’s platform made full occupational transitions rather than simple job changes – evidence of a workforce on the move. 

Employers can tap into that momentum: in high-mobility occupations, focus on attracting and onboarding new talent, while in lower-mobility fields, invest in development and retention. Recognising whether a sector is more ‘open’ or ‘closed’ can help both employers and workers make smarter moves in a shifting labour market.