New data from Gallup shows a reversal in how U.S. workers view their lives.
By the end of 2025, 49% of employees said they were struggling, compared to 46% who described themselves as thriving, according to Gallup. Just a few years ago, the majority of workers fell into the thriving category.
At the same time, employee engagement dropped to 31%, the lowest level recorded in the past decade.
Confidence in the Job Market Drops Sharply
Worker sentiment about the job market has deteriorated alongside wellbeing.
Only 28% of employees say it is a good time to find a quality job, down from roughly 70% in 2022. Despite that, more than half of workers are either actively looking for a new role or watching for opportunities.
For many, the search is proving difficult. Nearly half of active job seekers describe the experience as negative, and many report not securing interviews despite applying.
A Workforce That Wants to Leave but Can’t
The data points to a growing disconnect between intent and action.
About 30% of workers say they feel stuck in their current job, while 43% say leaving would be too difficult or costly. Financial concerns dominate, with most citing the risk of losing pay or benefits and the challenge of finding a comparable role.
This dynamic is creating what amounts to a stalled labor market, where dissatisfaction builds but turnover remains constrained.
Younger and College-Educated Workers Feel It Most
The slowdown is hitting some groups harder than others.
Younger workers are the most pessimistic about job prospects, with only about one in five saying it is a good time to find a job. They are also the most likely to be looking or open to new opportunities.
College-educated workers, who were previously more optimistic, now report lower confidence than those without degrees, reflecting pressure in white-collar hiring.
Federal employees have also seen a sharp decline in wellbeing, with their thriving rate dropping significantly since 2022.
Pay, Growth, and Leadership Driving Discontent
Among workers considering a move, pay and benefits remain the top motivator, followed by opportunities for advancement.
For those driven by dissatisfaction, leadership and management issues are also a major factor.
At the same time, the broader environment is limiting mobility, making it harder for workers to act on those concerns.
The Future of Work: Restless but Immobile
The data captures a workforce in a holding pattern.
Employees are increasingly disengaged and open to change, but economic pressure and a cooling job market are preventing movement. As a result, dissatisfaction is staying inside organizations rather than being resolved through turnover.
For employers, that creates a different kind of risk, where lower wellbeing and engagement begin to affect performance, retention, and long-term workforce stability.
