Career Nomads: Business Restructuring Leads to Decrease in Employee Loyalty
May 24 2012 by ChiefExecutive.net
Employee loyalty is at a 7-year low and 76 percent of employees say they’d leave their current employer if a better opportunity came their way.
Knowledge@Wharton looked at what factors are driving the increase disconnect between employees and employers.
With the increased mobility and high levels of competition, many companies have grown to look at their employees as short-term disposable assets. Here are some issues that employees are experiencing at various companies:
- Many employers drastically downsized during the recession without regard to length of employee service (and loyalty)
- Employees are seeing fewer benefits
- Employees are receiving less training
- There are fewer opportunities for promotion internally
If there is less of a feeling that a employer is going to look out for an employee, employees feel less of a need to look out for their employer (the definition of loyalty).
In an increasingly global employment market, competition is stiff and mobility is common. Younger workers are aware of this and prepared to move. Younger workers are more fluid and expect that their career will take them various places as they “brand themselves.”
What will employee loyalty look like 20 years from now?