Post-THR Resignation Trend: Salary Not the Main Reason Employees Switch Jobs
The trend of resigning after receiving the Holiday Allowance (THR) re-emerges every year. However, behind the perception of job-hopping for higher pay, the latest data shows that the reasons for resigning are far more complex.
Post-Eid al-Fitr often becomes a momentum for workers to seek new opportunities. Job search activities increase, accompanied by career evaluations and decisions to switch jobs.
However, according to the Workplace Happiness Index report, salary increases are not the only determining factor. Talent Acquisition Manager from JobStreet by SEEK, Ria Novita, stated that the post-Eid resignation phenomenon does exist, but it is not as large as many companies fear.
“The numbers are not higher compared to other periods such as year-end or after performance reviews,” said Ria in her statement, quoted on Friday (27/3/2026).
She explained that many employees who resign after THR have actually planned it for a long time, but wait for their entitlements to be paid first. Ethically, this is considered valid as long as employees follow the applicable procedures, such as providing notice according to the notice period and completing work responsibilities.
Although 54% of Indonesian workers admit that higher salaries can increase happiness, the report emphasises that money is not the main factor that keeps employees staying. The two most influential factors are work-life balance and purpose (meaning in the job).
“Employees who feel their work is meaningful are proven to be happier and tend to stay longer in the company,” she said.
Even happy workers have a 24% greater chance of delivering extra performance. The post-THR resignation phenomenon should not be seen as a crisis, but rather as an evaluation momentum.
Companies need to understand the reasons behind employees’ decisions to leave, from career progression, work culture, to life balance. Company leaders are now faced with a new reality to win the best candidates post-Eid; salary is the entry gate, but a work culture that humanises employees is the key to retention.
“The important thing is not just about competitive salaries, but also how to create a healthy and meaningful work environment,” Ria explained.