Job Satisfaction Is Key To Business Success
All businesses understand the importance of employee retention. Each employee is an investment, both in terms of time and money. And the return on investment is very good, so long as that employee stays with the company. This means that employers also have to ensure their staff have good job satisfaction, meaning they are less likely to jump ship.
There are a number of well-documented methods of increasing job satisfaction, such as paying a good salary, allowing for sufficient time off and a range of bonuses and other incentives. However, measuring job satisfaction and the effectiveness of the various methods that are implemented can be somewhat more complicated.
Measuring Job Satisfaction
In most cases, job satisfaction is measured through the process of self-reporting. This is done through questionnaires that have various scales. A range of different measures have been developed recently, and there is quite a lot of variation between these. Some have a stronger focus on cognitive job satisfaction, for instance, whereas others look at effective job satisfaction. Furthermore, there are big differences between the psychometric validations of the various tests. Let’s take a look at some of the most popular tests used today.
Why Employee Retention Matters
In a recent survey, it was noted that only 45% of people are currently satisfied with their job. This is a frightening figure, as it is lower than it has ever been and highlights how important it is for employers to focus strongly on job satisfaction. Without this, organizations have a big chance of seeing high employee turnover, as their most talented people jump ship to other organizations.
Organizations must focus strongly on maximizing the creative abilities, talent and potential of every member of their team, which gives them a competitive advantage over others. By engaging employees, job satisfaction is greatly increased and employee turnover is reduced.
Investing In Job Satisfaction To Increase Employee Retention
One of the main issues that businesses all over the world face is staff retention. Every employee is an investment and the hope is that the investment is one in the future of the company, rather than an investment in another company. Businesses have various tools in place to make sure their investment is safeguarded, with some charging employees for their training if they leave within a certain period of completion.
However, these types of measures don’t seem to have a tremendous effect. If anything, it makes the employee feel as if there is an expectancy that they would leave and aren’t committed to the organization in the first place. According to experts, a far more pressing issue is to make sure each individual member of the staff has high levels of job satisfaction.
What The Research Shows
Research has demonstrated a direct relationship between the extent to which employee work expectations have been discussed and/or met, and employee retention, job satisfaction and job commitment. Over the last decade, dramatic and continuous change has impacted nearly every kind of industry, large and small, public and private.
The Ever Changing Workplace
In the traditional workplace, a psychological contract represented an unspoken expectation that, in exchange for loyalty and hard work, an employee would be compensated fairly and would have a job for life. Employees now face much more uncertainty in the workplace. In today’s fast-paced, uncertain, ever-changing business climate, employees may not fully understand what they expect at work and even if they do, they don’t often take the time to communicate their expectations to their employers.