‘Quiet quitting’ trend may lead to layoffs, and complicate the Fed’s inflation fight
- Quiet quitters who keep a job but work less are hurting productivity and fueling inflation.
- This could complicate the Fed’s fight to rein in prices.
- Companies may eventually need to cut costs to protect profits, which means layoffs and automation.
Shrinkflation has entered the labor market.
Just like people are paying more for smaller products at the store, companies are paying workers more for less work. Some Tik Tok users have openly admitted that they’ve continued to collect wages for less work and have termed it “quiet quitting.” They say they’re doing this because they’re simply burned out.