“Goodbyes are not forever” isn’t just a corny phrase rampant among Hallmark sympathy cards or clipart shared by your aunt on Facebook—it might also be a budding recruitment philosophy.
As HR Brew previously reported, rehiring former workers, also known as boomerang employees, can be a wise recruitment strategy for employers in today’s cooling labor market. Recent data from ADP finds many employers are doing just that.
Hiring boom(erang). Boomerang employees made up 35% of new hires on ADP’s payroll data for March, up from 31% recorded in March 2024 and the highest for that month tracked by ADP going back to 2018. That’s notable because it’s a period of the year that doesn’t see a lot of seasonal hiring, when there are spikes in returning workers (whether that’s a college student heading back to their summer job or a teacher returning for the school year.)
“To see that jump from last year, and it’s the highest March for boomerang hires ever, I think that’s pretty consistent with a labor market that’s very stable, but also with hiring that’s very cautious, both for employers and for workers,” Nela Richardson, ADP’s chief economist and ESG officer, told HR Brew.
Boomerang hires rose in all industries except natural resources and mining, but the information sector saw the highest increase with a staggering 68% of all new hires being returning employees. That sector, and others that saw high boomerang rates including education and finance and insurance, all rely on highly skilled and educated workers, who can be difficult to recruit, prompting employers in these fields to consider turning to ex-employees. Additionally, people are generally less likely to move to start a new job, meaning they may return to a former employer if they’re in the same area.
“Mobility is at an all-time low because house prices are high, [and] the advent of hybrid and remote work’s wide adoption. Workers don’t have to move to where the jobs are, and in many cases they may not want to because it’s so expensive,” Richardson said. ”For employers, if you are dealing with a very narrow skill set that’s not widely dispersed, then getting that expertise in the door is going to be important.”
Quick-to-read HR news & insights
From recruiting and retention to company culture and the latest in HR tech, HR Brew delivers up-to-date industry news and tips to help HR pros stay nimble in today’s fast-changing business environment.
Benefits of boomeranging. Boomerang hires can be quicker and cheaper to hire and onboard than starting fresh with new workers. That’s providing a particular advantage for companies that are fixated on boosting employee engagement and productivity, and want to ensure that each new hire can make an impact as soon as possible.
“It’s like the best of the new hires and the best of the existing workforce in one person,” said Richardson. “They get the fresh ideas, the fresh outlook, the new experiences, and someone who’s been perhaps successful in their former role.”
Similarly, familiarity with former employers could lure workers back who left during the “Great Resignation” and regret it, but are cautious about finding a new job amid economic uncertainty, Richardson said. Meanwhile, retirees may look to return to work with former employers, either because of financial challenges or simply from sheer boredom.
Workers typically leave a company because of a perceived lack of career advancement opportunities, and they could be open to reuniting with a former employer once they get that experience elsewhere, according to Richardson.
“People don’t leave jobs necessarily because of the job itself, but really about the barriers to career and wanting more opportunities,” Richardson said. “Maybe they like the company, they may even like the pay, it’s just the opportunity that’s missing, and that’s what they needed to go get to complete their career journey.”
