Houston expert: Here's how the pandemic affected the workforce

guest column

Whether it's the “Great Resignation” or the “Great Reallocation,” here's what you need to know about the pandemic's lasting effects on the workforce. Photo via Getty Images

The pandemic has altered many aspects of American life, but perhaps none as much as the way Americans work – or, if they work at all. One startling phenomenon resulting from the pandemic is a massive exodus of people leaving the workforce. On average, around 4 million employees quit their jobs each month in 2021, with resignations accelerating toward the end of last year and hitting a record 4.5 million in November.

These mass departures have created an imbalance in the labor market. As of December 2021, there were 10.9 million job openings in the United States, but only 6.3 million unemployed workers. This imbalance has contributed to the supply chain issues that have plagued many industries, as well as to some of the wage and price inflation we are seeing. Inflation has been rising while our labor force participation rate has plummeted to 61.9 percent, back to around where we were in the mid-1970s. In other words, only about 3 out of 5 working-age adults are actually working.

Embedded in the resignation data are really two types of people: those who are leaving the workforce permanently, and those who are leaving their current jobs for better, or more flexible, work. If the former group refers to a trend dubbed the “Great Resignation,” the latter is more aptly described as the “Great Reallocation.” Although fundamentally different, both trends tell us something important about the ways in which American work life has changed in the wake of the pandemic.

Workers permanently leaving the workforce may be doing so for a variety of reasons. Pre-pandemic, America was already in the Baby Boomer retirement cycle. So, for many people who might have been a year or two away from retirement before the pandemic, the fear and uncertainty resulting from COVID-19 simply delayed those plans. But with 2021’s stock market gains, and retirement accounts flush with cash, many people felt secure enough to pursue the retirement they put off during 2020’s uncertainty.

Another subset of people leaving the workforce likely did so out of a legitimate fear of COVID-19 or, on the flip side, because of burgeoning vaccine mandates. As Americans learn to live with COVID-19, and with many vaccine mandates being struck down or withdrawn, some of these workers will return to the workforce, while others will opt for retirement to avoid these issues. Additionally, with the advent of virtual school across much of the United States, many parents felt pressure to either quit working and stay home with their kids or quit an in-person job to find a work-from-home job.

Still another subset of workers—primarily those in lower-wage jobs—chose to stay home because government subsidies stemming from the pandemic equaled or, in some cases, exceeded their expected earnings from work. Since those subsidies largely ended, many of these workers have been looking to reenter the workforce. However, with the rise of artificial intelligence algorithms pruning resumes for “fit” with certain jobs, a significant employment gap on a worker’s resume could create problems for many who are now seeking work. In any event, many workers looking to get back in the game could benefit from having an expert optimize their resumes so they are attractive to the gatekeeper’s new electronic eye.

Another group of workers resigned to start their own businesses. From January to November 2021, nearly 5 million new businesses were created in the United States. This represents a 55 percent increase over the same period in 2019, which was a boom year right before the pandemic.

The workforce gap stemming from the “Great Resignation” has substantially increased employee bargaining power. In an effort to bridge that gap, employers have been engaged in a war for talent that will continue or, absent a market disruption, even intensify in 2022. In this tight labor market, employers have been realizing that there is a competitive advantage to recruiting talent away from competitors. Wages are up, with no downturn in sight. In November of 2021 alone, pay was up 3.2 percent for employees remaining in their existing jobs. But, for those employees who switched jobs, pay increased 4.3 percent, revealing an advantage to employees looking to “upgrade” their positions. To attract employees, employers are not only offering higher wages, but also, other enticements like signing bonuses, retention bonuses, private offices, and hybrid or fully remote working arrangements.

The pandemic also changed employees’ perspective on work. People became introspective and reevaluated their wants and needs. With so many forced to work from home at the onset of the pandemic, and the overall success of working from home, the flexibility that accompanies working from home has now become ingrained in people’s psyches. Many now prefer or demand jobs with greater flexibility. The success of the work from home phenomenon has also caused several employers to embrace nationwide recruiting of remote workers. These employers greatly benefit from mining a nationwide talent pool and their employees love being able to live where they want, work from home, and still receive great pay. Now, if you want to live in a cabin in Montana or a beach house in Florida, you can do that and still get Silicon Valley pay.

Given the pandemic-driven new market realities, a few things have become clear. First, work from home, to a greater or lesser extent, is here to stay. Second, whether employees work from home or at a business, if we hope to solve supply chain problems, get products back on shelves, and stem the tide of inflation, we need to get Americans back in the workforce. Third, for those considering going back to work, there is no better time than now.

------

Scott Nelson is a Houston-based partner at Hunton Andrews Kurth focused on labor and employment.

Two hiring managers weigh in on corporate DEI initiatives amid the pandemic in a guest article for InnovationMap. Photo via Pexels

How Houston companies can use pandemic challenges to foster innovative corporate inclusion efforts

guest column

They say necessity is the mother of invention, and over the last 18 months, that proverb has proven true across the world, from classrooms to boardrooms. Shuttered classrooms and businesses, overflowing hospitals, and social unrest spurred by the killing of George Floyd have forced communities and leaders across the world, and here at home, to find innovative solutions to a myriad of problems.

But even as many people long for a return to normalcy, the truth is that, in many ways, the bell cannot be "unrung." Remote work, which was a necessity for many at the height of the pandemic, has given rise to an explosion of hybrid working environments that show no signs of reversing course. In the midst of this physical separation among colleagues, leaders across industries have been forced to throw out the rulebook and reimagine what it means to collaborate.

Additionally, the disparate impact experienced by communities of color throughout the pandemic has highlighted the importance of programs focused on increasing diversity and promoting inclusion. It is no coincidence, for example, that roughly six months into the pandemic, the general counsels of 12 major financial institutions penned an open letter to the legal community calling for greater inclusivity in the legal community.

So, how can companies transform the struggles presented by the pandemic into a springboard for lasting, innovative inclusion efforts? The answer lies in taking risks, strengthening the fabric of connectivity, and looking to the future.

Crowdsource new ideas

The concept of crowdsourcing is nothing new, but at the corporate level, leaders may overlook its benefits. Hackathons—large, collaborative events originally developed for computer programming or coding—can be implemented across all employment levels to crowdsource innovative ideas.

At Hunton Andrews Kurth, the firm implements the Hackathon concept during the summer associate program, thus harnessing the creativity and progressive ideas of younger talent. When the pandemic forced the firm's 2020 summer program to go entirely virtual, the firm decided to create groups of summer associates across all offices to brainstorm programming ideas aimed at improving and sustaining diversity and inclusion initiatives.

Together with partner leaders, these summer associate teams worked virtually to create truly innovative programming ideas, several of which the firm is currently implementing to recruit diverse talent. The program was successfully replicated in summer 2021, asking participants to hack the problem of associate inclusion. In addition to generating important programming content, these Hackathons increased participant morale, encouraged cross-office collaboration, forged new relationships across various geographic regions, and tackled the timely topics of enhancing law firm diversity and inclusion that will improve client service in the future.

Other industries—from large, global corporations to small businesses—can implement the Hackathon concept to successfully build bridges and harness innovation around inclusion. For example, MIT recently held a successful hackathon to source solutions to the problem of student inclusion during the pandemic, and Microsoft sponsored a hackathon aimed at solving the education and technology gaps of remote learning brought on by the pandemic.

Moreover, experts agree that equity and inclusion initiatives are only successful with buy-in from the c-suite. In other words, fostering an inclusive corporate culture starts at the top. If corporate leadership participates in the Hackathon experience—as a mentor, judge, or coach, perhaps—as opposed to merely sponsoring the event, it sends a message to all employees that the company as a whole values inclusion as a cornerstone of corporate culture.

Embrace virtual connections

The pandemic forced us all to navigate the world of virtual meetings, and with the popularity of hybrid working environments, virtual connectivity is here to stay. Companies must embrace this new virtual frontier and implement programs that engage employees, promote collaboration, and introduce an element of fun.

At Hunton Andrews Kurth, new hires create introductory videos about themselves that are globally shared firm-wide, while veteran lawyers create their own video content introducing themselves and their practices, thus creating an immediate personal connection.

Additionally, virtual events celebrating diversity and inclusion events, such as Black History Month and LGBTQ Pride Month for example, provide opportunities for fellowship across offices and bolster inclusion efforts. Hunton Andrews Kurth hosted a virtual cooking class, based in a Dallas partner's kitchen, celebrating Asian American and Pacific Islander Month in May, which was virtually attended by 132 attorneys firm wide.

Company-wide virtual events such as escape rooms, cocktail-making classes, games and trivia build camaraderie, which deepens the bonds of collegiality and strengthens feelings of inclusion and belonging. Companies should invest in virtual technologies to help facilitate this important new frontier of connectivity, recognizing that increased digital connectivity supports a collaborative and inclusive working environment.

Highlight community outreach

In global companies, high-level, company-wide diversity and inclusion leadership should work in tandem with leadership at the local level. At our firm, for example, in addition to firm-wide diversity leadership, each local office has a specified leader committed to promoting local inclusion initiatives. While virtual events help connect geographically-diverse employees, it is equally important to offer local employees opportunities to connect in person with one another and support diversity programming in the community.

For example, attorneys in Hunton Andrews Kurth's Richmond office recently came together to learn about and pool resources to support a local artist's public art project focused on creating murals to promote open dialogue around racial and social justice. Additionally, employees might select a local DEI educational experience in which to participate as a group outside of the office, then plan to gather informally (in person or virtually) to discuss lessons learned and continue important conversations. When colleagues come together to support local inclusion programs or participate in shared experiences, new connections are forged that help support a diverse and inclusive corporate culture.

------

Rudene Mercer Haynes is a partner at Hunton Andrews Kurth, serves as a firmwide hiring partner, and also sits on the executive committee. Alex Gomez is also a partner and serves as a fellow firmwide hiring partner.

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

Property Showcase

Intuitive Machines lands $1M grant to expand robotics operations

Expansion mode

Houston-based Intuitive Machines is expanding its operations around the country.

The space tech company—which has offices and labs in Texas, California, Arizona, Colorado and Maryland—announced that it has received a $1 million grant from Maryland Gov. Wes Moore through the state's Build Our Future Grant. The funding will go toward expanding Intuitive Machines’ Super Cislunar Robotics Assembly Building (Supa-CRAB) Mechanisms and Robotics Center of Excellence in Anne Arundel County.

The company will move into a 69,000-square-foot facility and build out additional lab and office space. It will also procure equipment that will allow for in-house Assembly, Integration and Test (AI&T) activities, according to a news release. Intuitive Machines says the expansion will take place this fall.

“This collaboration shows how industry, state programs, and education can reinforce one another,” Steve Altemus, CEO of Intuitive Machines, said in the release. “Maryland invests in innovation, companies grow and hire, students gain experience, and communities benefit from new opportunities and long-term career pathways. Together with Governor Moore, the state of Maryland, and Anne Arundel County leaders, we are building a permanent path to long-term lunar operations, an advanced robotics and mechanisms center of excellence, and a technology edge for our nation.”

Intuitive Machines first launched operations in Maryland in 2021 and has since expanded five times in the state. The company officially opened its robotics and mechanisms facility in 2024.

The Maryland team has built robotics and mechanisms for the Nova-C landers and IM-1 and IM-2 missions. In the future, Intuitive Machines expects the Maryland team to work on its IM-3 Rover Deployment Mechanism (RDM), a 360 pan-tilt camera for panoramic views, the Main Engine Gimbal (MEG), and the company's first data relay satellite, known as Altus-1.

Intuitive Machines moved into a new $40 million headquarters at the Houston Spaceport in 2023. The company announced an expansion of its lease last year.

The company announced a $175 million equity investment to fuel growth in March. It's since landed a $180 million NASA CLPS award to deliver seven payloads to the moon's Mons Malapert on the IM-5 mission.

5 Houston universities named best in the world on new U.S. News list

Top of the Class

Five Houston-area universities have been named among the best universities worldwide in U.S. News & World Report's just-released comprehensive list for 2026-2027.

U.S. News' Best Global Universities report ranks more than 2,250 schools based exclusively on their academic research performance and international reputation. Only 275 universities from the U.S. were included in the global ranking, and 21 based in Texas.

Harvard University topped the list for 2026-2027, and the Massachusetts Institute of Technology and Stanford University claimed the coveted No. 2 and No. 3 spots worldwide.

Houston's Baylor College of Medicine topped the list of the best local schools, and it ranked as the 144th best university in the world.

Here's how the rest of Houston's local institutions ranked:

  • No. 201 – Rice University
  • No. 324 – University of Texas Health Science Center Houston
  • No. 390 – University of Houston
  • No. 599 – University of Texas Medical Branch Galveston

In a statement explaining global university trends, the managing editor for Education at U.S. News, LaMont Jones, Ed.D., said schools in the U.S. have continued to rank "disproportionately high" while major universities from other countries in China and South America are starting to catch up.

"The continuing strength of [American university] reputations and academic research are, for the most part, unmatched," he said. "It's why students all over the world flock here to learn."

Top-ranking Texas universities
The University of Texas at Austin ranked No. 1 statewide and No. 56 worldwide, further cementing the university's reputation as the top choice for students seeking a higher education in Texas.

Earlier in June, UT Austin ranked No. 35 in a separate list of the best universities in the world from the Center for World University Rankings, which compared 2,000 schools globally.

Here's where other Texas universities stand among the top 1,000 in this year's global rankings:

  • No. 113 – University of Texas Southwestern Medical Center, Dallas
  • No. 177 – Texas A&M University, College Station
  • No. 296 – University of Texas at San Antonio
  • No. 451 – Baylor University, Waco
  • No. 503 – University of Texas at Dallas
  • No. 562 – Texas Tech University, Lubbock
  • No. 739 – University of North Texas, Denton
  • No. 975 – University of Texas at Arlington
  • No. 944 – Southern Methodist University, Dallas
Additionally, six Texas universities ranked outside the top 1,000: University of Texas Rio Grande Valley (No. 1,153); University of Texas El Paso (No. 1,238); Texas State University in San Marcos (No. 1,531); Texas Tech University Health Sciences Center in Lubbock (No. 1,871); Texas Christian University in Fort Worth (No. 1,906); and Sam Houston State University in Huntsville (No. 2,141).

---

This article originally appeared on CultureMap.com.

Rice student startup lands $1.85M to launch medical drone network

critical cargo

Students at Rice University have developed a medical cargo drone transport system to help deliver sensitive medical supplies and improve mobile healthcare efforts.

Haast Autonomous is the brainchild of graduating seniors Ege Halac, Jason Chen and Santiago Brent, who got their venture idea off the ground with help from the Liu Idea Lab for Innovation and Entrepreneurship (Lilie) Summer Venture Studio. The founders have developed the prototype at Rice’s Oshman Engineering Design Kitchen (OEDK) with fellow Rice researchers Felix Hasson, Ethan Javedan, Kenna Sanders and Caden Schmidt.

The startup has raised $1.85 million in pre-seed funding, according to Rice. The founders plan to focus on Haast full-time following graduation. They said they aim to launch pilot trials in 2027 and head to market later that year.

“We need better alternatives for a fast, safe and on-demand system of transport for life-critical cargo,” Halac said in a news release from Rice.

The Haast team has developed a custom aircraft with software that manages dispatch, routes, and chain of custody to assist in how materials move between sites in centralized medical systems. Generally, the transportation of medical supplies and materials between facilities and points of care relies on ground shipping or expensive air transport.

Haast Autonomous’ aircraft can take off and land vertically, and is designed around a mission profile of 50 to 62 miles. It can carry a payload of at least 5 pounds, with future versions intended to scale up in size. It also includes a built-in payload bay that regulates temperature, pressure, vibration and tilt to protect sensitive contents such as patient samples, antivenom or poisoning kits and radioligands or other therapies, according to Rice.

At first, the company envisioned the mission to be centered around transplants, but saw the product being best suited for a variety of operations.

“What we realized is that the platform we are building is suited for medicine, but it really underlies a much larger problem of mission-critical transport across industries,” Brent added in the news release. “We are building the fastest, most secure logistics chain for the world’s most sensitive cargo.”

Haast Autonomous was recognized at the 2026 Oshman Engineering Design Showcase and Competition, where it won Best Aerospace or Transportation Technology. It also performed well in the 2026 Napier Rice Launch Challenge.

In the future, Haast Autonomous plans to deploy a fleet of aircraft. The software will be designed to assist hospitals in requesting flights and tracking deliveries in real time.

“The drone is only part of the solution,” Chen also added in the release. “What matters is moving something from point A to point B in a way that fits into how hospitals already operate.”

View All Listings