AUSTRALIA – Research from LinkedIn Australia shows that more and more Australians are embracing their jobs, leading to the emergence of an employment trend called “job hugging.”
From 59% in 2025, the number of Australians planning to look for new jobs in 2026 fell to 51%. According to career expert Brendan Wong, it’s because of three factors:
- Tougher job market
- Economic uncertainty
- AI’s role in the hiring process
[Job hugging] definitely replaced what we saw a year or two ago when there was quiet quitting, where people were doing the bare minimum.
Now, because of the way the job market is, people prefer stability so they’re retaining their jobs, not because they particularly like them.
— Brendan Wong, Careers Expert at LinkedIn Australia
How “Job Hugging” Reshapes BPO Talent Strategies
The “job hugging” trend has direct implications for the BPO industry, as it relies heavily on workforce availability and mobility to deliver its services.
When talent prioritizes job stability, the rate of voluntary attrition in BPO companies slows down. It can result in improved employee retention, reduction of recruitment and training costs, and uninterrupted service delivery to clients.
However, it also signals longer hiring cycles and a smaller active talent pool, which can impact how quickly they can scale teams for new outsourcing contracts.
Another thing to consider is how AI assesses resumes and interviews candidates. Wong says job seekers are aware that “AI is potentially the reason why they may not get to a hiring manager,” even if they’re highly qualified for the job.
What BPO companies can do in response is to strengthen internal upskilling, career pathing, and engagement initiatives to retain “job hugging” employees. And if they want to increase the talent pool, they can provide a “digital employment coach” to potential candidates to better prepare them for the AI-enabled recruitment process.
