How you treat your employees will determine the success of your business, GUARANTEED!

In 2000 search firm conducted a survey  of 660 about American workers. The study included looking at what would persuade the workers to stay with their current employer. BridgeGate found that although a raise was the most common response (43.2%), non-monetary issues were cited by more workers as motivators (50.5%). The non-monetary motivators included:

• improved benefits programs (23.1%)
• flexible work schedules (14.1%)
• stock options (8.6%)
• better training (4.7%)

A 2009 study by another search firm asked the executives at companies, “Which of the following is most likely to cause great employees to quit their jobs?”

• 35%  replied unhappiness with management
• 33%  replied limited opportunities for advancement
• 13%  replied lack of recognition
• 13%  replied inadequate salary and benefits
• 1%  replied bored with their job
• 5%  replied other/don’t know

Finally, another study found that 51% of employees interviewed said that they would work for slightly less money if other good working conditions were present. The top four reasons sited for leaving an organization included:

1. organizational practices that weaken morale
2. poor fit between skills and culture
3. no concern for growth and development 
4. inadequate training.

Whilst the findings of the various studies are noteworthy, I find it difficult to reconcile how salary seems lower on the importance scale for so many people, when I know that through the hundreds of interviews I have done with various job applicants two key reasons for not taking the job have been:

1. "The job is not paying enough."
2. "I received a counter offer from my current employer and have decided to stay."

The answer lies somewhere in between and is well articulated in the book The Enthusiastic Employee: How Companies Profit by Giving Workers What They Want by David Sirota, Louis A. Mischkind, and Michael Irwin Meltzer (2005) who suggest through their "Three Factor Theory of Human Motivation in the Workplace" that there are three basic goals of people at work, namely

1. Equity: (To be treated fairly). In an article for Knowledge @ Wharton, Sirota states " Employees want to know they are getting fair pay, which is normally defined as competitive pay. They want benefits and job security. These days, employees especially need medical benefits, so those have become significant. On the non-financial side, employees want to be treated respectfully, not as children or criminals. Equity is basic. Unless you satisfy those needs, not much else you do is going to help. If I feel underpaid and if I feel that the company is nickeling and diming me, or wants to pay as little as possible, there is not much else an organization can do to boost my morale. This runs contrary to what a lot of people in my field say -- that pay is not that relevant. Baloney. It's terribly, terribly important."
2.  Achievement: Employees need to take pride in their accomplishments by doing things that matter and doing them well. They need to receive recognition for their accomplishments and take pride in the organization's accomplishments. (Note: This is supported by the Gallop research above.)
3. Camaraderie: "The quality of social relationships in the workplace - its `social capital' - ... are critical for effective performance and, therefore, for a sense of achievement in one's work."

If you are among those companies who just want to take everything from their employees, and do not want to offer much in exchange for their hard work and dedication, you will see your good employees leave you for other competitors who offer better packages, incentives, but most importantly that will respect them and reward them.

This is a phenomenon I see all the time. It pays to care about employees. Take care of your employees, they'll take care of your customers and money will take care of itself. FAIL TO UNDERSTAND THAT BASIC IN BUSINESS AND WATCH YOUR SLOW DEATH AS A BUSINESS.

Don't worry your competition will love your short sightedness.

Andre Plessis
AP Consulting
andreplessis@att.net