Are Employees Biding Their Time?

By November 8, 2009 September 16th, 2018 Best Practices, Compensation, Human Resources, Recruiting

In the November 16, 2009 Business Week, there was an interesting article suggesting that the high unemployment rate was scaring employees in to staying put until the economy turned around.
The Bureau of Labor and Statistics says that the ‘quit rate’, the portion of U.S. employees who voluntarily leave their jobs, was just 1.3% in August, about half the rate that prevailed when the BLS began collecting such figures in the end of 2000.”
But just when you think you can file away those recruiter’s names and take job postings off your website, Watson Wyatt released a survey suggesting the loyalty of top-performing employees dropped by 25% over the past year. Why?  They found that people who kept their jobs were unhappy due to layoffs, bonus and benefit cuts, slowed or non-existent promotions and compensation freezes.
And Business Week also reported that Monster.com conducted a survey in May and found that 79% of jobholders, not job seekers, said they were stepping up their search for a new employer since the recession began.
So what does it take to keep your top talent engaged now and post the recession?  Well yet another survey, this one conducted by Spherion Staffing Solutions, offered some insight. They asked about 300 employers and about 2,500 workers to name the top drivers of retention. Management listed the “management climate” and “supervisor relationships”, but employees noted (in the past three surveys, 2005, 2007 and 2009) that benefits and compensation were number one in their mind.
So as you do your 2010 employee communication plan and think about succession planning and staffing, this is some interesting information to keep in mind for 2010 and maybe even beyond.

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