According to the study, there has been a significant decline in employee loyalty. In November 2008, 62% of small business workers reported feeling a very strong sense of loyalty toward their employer. In 2010, that number dropped to 44%. In fact, 34% of small business employees surveyed would like to work for a different employer.
In contrast, small business employers’ perceptions of that loyalty remained essentially unchanged over the last few years, with 54% currently believing that their employees feel a strong sense of loyalty to the company. During a down economy, the study said, businesses with great benefits are seeing team members stay. Those that don’t offer such perks have team members who hope to be working somewhere else soon.
Wow! This concept is difficult for people who love what they do for a living to understand. If the job you do every day is bigger than you, benefits are just that—benefits! But if you’re just working a J.O.B., then every benefit probably matters, especially in a down economy. I can see how lack of benefits could affect someone’s decision to stay or leave a job. Not every position I held was something I loved. In fact in my younger years, I had a few jobs I would have happily left for more cash in my pocket.
So what can be done about it? Give your people a raise! Yep, give them a raise by…wait for it…getting them out of debt! I think it is ridiculous for any company that wants long-term team members to not bring a course to work that focuses on individuals getting out of debt. Of course you do, it’s what you do for a living, you are probably thinking. OK, granted, you are right. But think about it for a second. If your team members weren’t in debt, would they be more likely to stay? Would they be more productive, too?
Studies show that 40% of employees say financial stress affects their productivity. So while this sounds like a shameless plug for our products, it’s actually a business guy teaching other business folks about one of the best benefits they can possibly offer their team members.
When people walk through our building, they always comment on how our folks are happy, passionate and on fire. There are two main reasons: They are on a crusade that is bigger than them, and they are not bringing any financial stress to work. And yet, most of our team is still working on getting out of debt. Go figure.
Question: Have you noticed a difference in the productivity and loyalty of someone who was out of debt?
To find out more about what we offer, go to the Financial Wellness section of our site.