The findings of the "Working in America: What Employees Want" survey, conducted by Harris Interactive(R) and sponsored by Kronos(R) Incorporated, found that in today´s knowledge economy many organizations still do not recognize the link between their workforce and business performance. The study found that only 36 percent of employed adults work for organizations that invest in programs or activities that create a satisfied workforce. Yet, of the more than 1,000 U.S. employed adults surveyed, more than 80 percent responded that these programs were important to them. With Labor Day around the corner, it´s time for employers to listen to their employees.
Boosting the bottom line with a satisfied workforce
The "Working in America: What Employees Want" survey found that an overwhelming 82 percent of employed adults who are satisfied with their current employer agreed that their satisfaction with their employer motivates them to go above and beyond their daily job responsibilities. This finding seems to support Deloitte Consulting´s research on the shareholder returns of the 56 publicly traded firms on FORTUNE´s 2005 "Best Companies to Work For" list. Companies on this list consistently outperform the S&P 500. For example, in the year 2004-2005, the stock performance average annual return for the S&P 500 was approximately nine percent, while the return for the 56 "Best Companies to Work For" was 16 percent.
Since it appears that an organization´s employee benefits are a key driver of employee satisfaction, the study identified exactly which programs and activities are desired. When asked which benefits employees want from their employer, the top three responses from survey participants were competitive salary, 100 percent of healthcare coverage paid by employer, and company-matched 401K investments. Other popular workplace perks identified by survey participants included bonus programs, flexible schedules, and compressed work weeks. When respondents who are satisfied with their employer were asked why they are satisfied the top three responses were I like my boss, I am treated with respect, and my employer pays me well.
The story also highlights workers who are not satisfied with their current employer. According to the "Working in America: What Employees Want" survey, providing these employees with good pay, treating them with respect, and recognizing them for a job well done could improve their job satisfaction. In fact, more than half of the survey respondents who are not satisfied with their employer agree that this dissatisfaction discourages them from giving the extra effort at work. But there is hope. A surprising 78 percent of these respondents agreed if their employer started to implement some of the programs they want, it would improve their satisfaction and motivate them at work.
Balancing an improving economy with employee retention
As the economy continues to improve, employee retention will become a key strategic issue for organizations. The Baby Boomer exodus, coupled with the anticipated labor shortage, will elevate the issue of employee retention to the boardroom. The balance of power is shifting from the employer to the employee and organizations must not ignore this changing dynamic.
The past several years, the economy has experienced consistent job growth. "Since the recent low point in employment in August 2003, more than five-and-a-half million jobs have been added to payrolls," said Randy Ilg, economist for the Office of Employment and Unemployment Statistics, Bureau of Labor Statistics.
The "Working in America: Want Employees Want" survey found that 58 percent of employed Americans say they would, or maybe would, consider leaving their current employer if the economy continues to improve. This is a 12-percentage point increase from the findings of Kronos´ 2005 "Working in America" Labor Day survey. This year´s study found that 74 percent of survey participants are either actively or passively looking for a new job. Forty-one percent of those actively or passively looking for a new job have looked for a new job while at work compared to 39 percent in last year´s study.
Reaping the benefits of an improved economy
Although the economy is improving, those improvements are not being reaped by the workforce. The study found that 61 percent of employed adults say they are not experiencing the benefits of an improved economy in their work life, a four-percentage point increase from last year´s survey. The "Working in America: Want Employees Want" survey also found that 67 percent of adults employed six months or longer at their current job say their job responsibilities/work activities/workload increased over the last six months; but only half of the adults employed six months or longer at their current job received a pay raise during that time.
"These results show that many in our workforce are working harder and working smarter. Their fingerprints are all over the great productivity results we´ve been posting as a nation," said Jared Bernstein, senior economist at the Economic Policy Institute. "Yet too often their paychecks fail to reflect their contribution, and they struggle to balance work and family. Employers who address these shortcomings will find that investments in their workforce yield impressive returns, building a more dedicated, productive staff and lifting the bottom line."
Creating a productive and satisfied work environment
This study sheds light on how organizations can create a productive and engaged workforce. Best practice organizations recognize employees as assets to be maximized, not expenses to be minimized. In today´s knowledge economy, these organizations recognize the value of their employees and the impact people have on overall business performance. These organizations also understand that their human capital is an intangible asset whose value must be factored into the overall equation for substantial economic success and growth.
Best practice organizations are successfully implementing programs and benefits that balance the needs of employees and business. They are using innovative solutions from Kronos to balance the needs of their business and employees. These Kronos solutions empower organizations to effectively manage their workforce. As a result, organizations are able to reduce costs, increase productivity, improve employee satisfaction, and ultimately enhance the level of service they provide.
Survey Methodology
This survey was conducted online within the United States by Harris Interactive ® on behalf of Kronos between July 24 and 31, 2006 among 1,051 full-time employed adults (aged 18 and over). Figures for age, sex, race/ethnicity, education, region and household income were weighted where necessary to bring them into line with their actual proportions in the population. Propensity score weighting was also used to adjust for respondents´ propensity to be online.
With a pure probability sample of 1,051 one could say with a ninety-five percent probability that the overall results have a sampling error of /- three percentage points. Sampling error for subsamples would be higher and would vary. However that does not take other sources of error into account. This online survey is not based on a probability sample and therefore no theoretical sampling error can be calculated.
Harris Interactive is the 12th largest and fastest-growing market research firm in the world. The company provides research-driven insights and strategic advice to help its clients make more confident decisions which lead to measurable and enduring improvements in performance. Harris Interactive is widely known for The Harris Poll, one of the longest running, independent opinion polls and for pioneering online market research methods. The company has built what could conceivably be the world´s largest panel of survey respondents, the Harris Poll Online. Harris Interactive serves clients worldwide through its United States, Europe and Asia offices, its wholly-owned subsidiary Novatris in France and through a global network of independent market research firms. The service bureau, HISB, provides its market research industry clients with mixed-mode data collection, panel development services as well as syndicated and tracking research consultation. More information about Harris Interactive may be obtained at www.harrisinteractive.com.
Kronos Incorporated empowers organizations around the world to effectively manage their workforce. At Kronos, we are experts who are solely focused on delivering software and services that enable organizations to reduce costs, increase productivity, improve employee satisfaction, and ultimately enhance the level of service they provide. Kronos serves customers in more than 50 countries through its network of offices, subsidiaries, and distributors. Widely recognized as a market and thought leader in managing the workforce, Kronos has unrivaled reach with more than 30 million people using a Kronos solution every day. Learn more about Kronos at www.kronos.com.