Research reveals divide could have Employers facing major talent
exodus once the economy turns
MAYNARD, Mass.--(BUSINESS WIRE)--Oct. 14, 2009--
New research from Monster.com
and Human
Capital Institute reveals a dramatic difference in how employers and
workers perceive the impact of the current recession, potentially
leading to employers facing mass talent drains as the labor market
begins to turn. The reason – employers are vastly overrating the morale
of their employees as 84 percent of those surveyed indicated a belief
that their workforce is content to simply to have a job while only 58
percent of workers feel that way. Monster.com®
is the leading global online career and recruitment resource and
flagship brand of Monster
Worldwide, Inc. (NYSE: MWW).
“Today’s employers feel that employees are loyal due to the economic
times, but the reality is they are not,” said Katherine Jones, HCI
Research Fellow. “Because of this, there is a strong likelihood that
when the economy turns for the better, employers could find themselves
with valued employees jumping ship. This places pressure on them to put
retention measures in place now.”
“While this environment has created a prime opportunity to acquire top
talent and increase selective hiring, it is also a time for employers to
prepare their workforces strategically for moving forward in a
redefined, healthier economy,” said Jesse Harriott, senior vice
president and chief knowledge officer at Monster. “However, to do that,
they need to better understand the mindset of their employees. As the
economy rebounds, those workplaces that have not invested in their
people could face a mass exodus of employees, potentially crippling the
business.”
Understanding Worker Attitudes
Employers surveyed understood that their workforce is likely to be
stressed and suffering from poor morale due to the recession, but the
data indicate an underestimation of its effect on the workforce.
-
Fifty-seven percent of workers believe employers are exploiting the
recession to drive longer hours and lower pay from their workforces.
-
Fifty-eight percent believe employers are less concerned about
employee retention, and 50 percent of workers are more concerned about
top performers leaving than before the recession.
-
Forty-three percent of workers believe employers are now less tolerant
of dissent and challenges to authority.
-
Only 26 percent excuse their employers for requiring layoffs and
longer hours because they believe their employer’s hands were forced
by the recession.
-
Forty-eight percent of workers say their productivity has been
affected by a fear of being laid-off.
“There has been some shoddy treatment of employees during recent tough
economic times, including a lack of communication about layoffs and no
regard to engagement of the survivors, so I do think there will be a
backlash when the recovery takes hold,” said Lisa Rowan, Program
Director for HR, Learning and Talent Services at IDC. “If employers took
this recession as an opportunity to simply cut costs without regard for
talent strategy, they may see their best and brightest walk out at the
first opportunity.”
“There is no denying this environment has been tough for both employers
and workers, but the resentment workers have built should be cause for
concern for employers, particularly if they have had to impose longer
hours, lower pay, decreased benefits or have become a less flexible
workplace,” said Harriott. “However, there are always opportunities for
employers to understand and listen to the current attitudes of their
workforce and make communication a priority. When the economy rebounds,
it is the companies who have made the investment in their workforce, and
maintained solid talent management practices, that will be poised to
retain their top talent.”
Strategies for Employers
It is clear that employers can, and should, use the current pre-economic
recovery state to prepare their workforces strategically for moving
forward in a redefined, healthier economy. Some areas employers can
focus on to emerge from the recession resiliently include:
-
Communication - Lack of communication creates anxiety that stymies
productivity. By communicating honestly and consistently with your
employees, you send the message that everyone is working together to
solve problems.
-
Employee Development - Continue to foster the growth and development
of your employees. By making the investment to engage employees and
develop their skills, you are improving the odds of retaining
employees.
-
Flexibility - Make it easy for people to have the time and space they
need to make their lives work. This includes implementing measures
such as flextime, telecommuting, job shares and small-necessity leave.
-
Delegation - Push decision-making power down through the organization
to the people who do the work. It not only empowers people, but
demonstrates confidence and value.
Employers are becoming increasingly tasked with how to handle present
workplace changes and managing
employees in the short-term. However, the companies that invest in
their people now will be a step ahead in retaining their top talent.
More information about how to retain
and engage your workforce can be found in the workforce
management section of the Monster
Resource Center.
The findings come from a survey conducted by Monster and HCI in May/June
2009 of over 700 companies and 5000 workers in the U.S. The three-part
research series can be found here:
http://hiring.monster.com/hr/hr-best-practices/market-intelligence/featured.aspx.
In addition, representatives from Monster and HCI will be giving
presentations on the research findings and advice for employers at
several of Monster Keep
America Working Tour career fairs events through the remainder of
the year.
About Monster Worldwide
Monster Worldwide, Inc. (NYSE: MWW), parent company of Monster, the
premier global online employment solution for more than a decade,
strives to inspire people to improve their lives. With a local presence
in key markets in North America, Europe, and Asia, Monster works for
everyone by connecting employers with quality job seekers at all levels
and by providing personalized career advice to consumers globally.
Through online media sites and services, Monster delivers vast, highly
targeted audiences to advertisers. Monster Worldwide is a member of the
S&P 500 index. To learn more about Monster's industry-leading products
and services, visit www.monster.com.
More information about Monster Worldwide is available at http://www.about-monster.com.
About The Human Capital Institute
The Human Capital Institute (HCI) is a catalyst for innovative new
thinking in talent acquisition, development, deployment and new economy
leadership. Through research and collaboration, our global network of
more than 162,000 members develops and promotes creativity, best and
next practices, and actionable solutions in strategic talent management.
Executives, practitioners, and thought leaders representing
organizations of all sizes, across public, charitable and government
sectors, utilize HCI communities, education, events and research to
foster talent advantages to ensure organizational change for competitive
results. In tandem with these initiatives, HCI's Human Capital
Strategist professional certifications and designations set the bar for
expertise in talent strategy, acquisition, development and measurement. www.hci.org
Source: Monster Worldwide, Inc.
Monster
Steve Sylven, 978-461-8503 or 978-201-6198
steve.sylven@monster.com
www.twitter.com/MonsterWW
www.twitter.com/MonsterCareers
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