Loyalty is earned (and lost) mostly by leadership action
Approximately 25% of employees do not feel loyal to their current employer. Around 20% say they are likely to leave their current position to change jobs within a year. These disturbing figures come from a recent CareerBuilder.com survey of HR professionals and hiring managers. Although I am not completely surprised by them, the percentages warrant leaders’ attention.
Ongoing recruitment, training and retention are costly endeavors for any business. In addition, disengaged employees erode morale, productivity and profitability. Like one bad apple in a dish, their attitudes tend to be infectious, spreading negativity to fellow employees, further exacerbating the problem and escalating the overall damage. Far too many employees spend their lives in a state of more-or-less comfortable misery. Something really must be done about this issue.
Poor leaders make for disloyal, disengaged teams
The top reasons listed for disloyalty in CareerBuilder.com’s survey were:
- “I don’t feel my employer values me” (61%)
- “My efforts are not recognized or appreciated” (52%)
- “My employer doesn’t pay enough” (51%)
- “Not enough career advancement opportunities” (44%).
The survey shows plainly that employee dissatisfaction can be attributed primarily to leadership skill and effectiveness. These are all issues over which we as leaders exercise either control or influence and it’s critical that we manage them purposefully and proactively.
Of course individuals play a role and must assume some level of responsibility for their own satisfaction; but the reality is that it is up to those of us who hold leadership positions to act effectively, intelligently and passionately and thus inspire our teams to respond in kind.
Putting leadership right
All effective leaders have to connect with their teams; success depends on it. Michael Stallard captures the concept well, stating that:
“Unless the people in an organization have a strong sense of connection—a bond that promotes trust, cooperation, and esprit de corps—they will never reach their potential as individuals, and the organization will never reach its potential.”
He suggests that we:
- Make a human connection with as many people as possible
- Treat and speak to employees as partners
- Help employees find the right roles
- Educate, inform, and listen to employees
- Decentralize decision making
- Recognize the human need for work/life balance
Lead with passion and purpose for engagement and long term satisfaction
How are you encouraging loyalty in your team? What are your retention rates and trends? When teams are feeling invested, the end results extend far beyond individual performance. The converse is also true. People who don’t feel trusted and valued will do little more than go through the motions—sometimes not even that.
While you can’t fully control the decisions individuals will make, you can be mindful of the dynamics that foster satisfaction and retention, and proactively employ them with your team. Inspiring loyalty isn’t difficult, though it does require awareness and commitment. Doing so will profit everyone in the end. Be sure to help all of your ‘village members’ actively manage their careers.
Technorati Tags: leadership, loyalty, retention, high performance, career management
November 18th, 2008 at 7:41 am
There is no question that employers need to do a better job recognizing and rewarding the contributions of their workers, but you can’t blame management for everyone who feels unappreciated. There are plenty of mediocre employees in the workforce with an exaggerated sense of their value and the contribution they make.
November 18th, 2008 at 8:28 am
It’s not about rewarding the employees, even though it is just a part of the grander issue at hand. Employees are people, they have lives outside of work that can have an effect upon their ability to perform properly on their tasks.
A leader should always look at the BIG picture when it comes to business - the same can be applied to people. Employees are not one dimensional like being clogs in the machinery.
One book to read is “Dream Manager.” The basis of the book is that it takes place at a janitorial company … one that was basically going down the toilet (so to speak). By the end of the book I would have wanted to work there! Great little read! It give the multi-dimensional view of management and leadership.
November 18th, 2008 at 8:49 am
People basically take a job for financial security, social recognition and to feel useful. While financial security and social recognition can be given by the employer by way of good pay packet and movement in the hierarchy the feeling of usefulness comes out of true internal growth of the employee by way of constant upgrading and knowledge development. Mostly it depends on how much the employee is able to contribute to the growth of the unit. Hence job satisfaction is a interdependent process and unless the employer and employee integrate into it loyalty would not come to play. I think this harmony is what we must look for to get a long term relationship - in job market also.
November 18th, 2008 at 8:54 am
Chris,
I totally agree with you in regard to people often having an exaggerated sense of themselves and/or the value they provide. However, as I suspect you would agree, there are always those that do contribute greatly in their roles and leaders must understand that recognition of these good deeds, solid contributions, etc. is necessary not only for the specific individual, but to let the entire team know that such behavior and contribution is appreciated, recognized and rewarded.
November 18th, 2008 at 9:40 am
Hi CK & Sambit,
Thanks CK for the book reference. I will add it to my reading list since it sounds really interesting and informative. I do agree with you that there is a bigger picture that must be considered as it relates to employment. After all, we do have more waking hours than just those we spend at work…well at least we always try to!
Sambit, I very much like the way you have put employment in context. I do believe, as you say, that work provides the things you noted - financial security, social recognition and feelings of usefulness. It is simply a personal matter of how one chooses to balance these objectives. For example, non-profits typically pay lower salaries, but people who choose to go in this direction likely receive greater social recognition and feelings of usefulness. Likewise, each career path that someone chooses offers differing degrees of these things. The trick is to know oneself well enough to know what balance is personally appropriate in order to find the harmony you speak of.