Why is employee job security so important to company success?
While most people love a bit of spontaneity, fun and excitement, they usually want these feelings outside the workplace, not when they are at the office! Travel, holidays, extreme sports – these are usually the times we want to feel exhilaration and get our thrills. When it comes to the workplace, we might want to be challenged and face a series of new tasks, but ultimately we want job security.
When we go to work, we want to know that our jobs are safe and that we are valued by management. If you are the manager of a team of employees (or the owner of a business), it’s important to understand that people want to feel safe and secure. It is going to be very hard for your employees to do their best work if they have to worry and stress about the future of their job. If you want your employees to work to the highest of their abilities, you need to communicate to them that they are valued, safe and secure, both now and into the future.
That said, job security is more rare than ever before. In a global economy that boasts countless cheap labour alternatives, people feel like their jobs might be tenuous. They worry that they could be replaced by cheaper labour from abroad, a new hire fresh out of university or even a digitized computer program. It is up to you to assuage these worries.
Secure employees can do their best work
When it comes to improving your financial stability, keeping your career goals on track is the most important thing you can do. Employees who settle into a long term position are likely to achieve their career goals, and this will positively affect their personal lives and financial situations.
Instead of worrying about short term problems, fretting about bills and debts, and stressing about what management might be thinking about their future with the company, your employees can relax and do their best work. By doing their best work and concentrating on their career trajectory, they can build status in your field and save for their retirement. It is those employees who don’t fear for their jobs who are the ones who will perform to their highest levels. You are likely to get the best work from them when they feel secure.
When people are not feeling constant worry about their jobs, they can relax and settle into doing their best work. That said, job security is best used as a motivator when people see a direct correlation between their performance and their future with the company. Want to improve your employee engagement and increase your team’s sense of security? Motivate them with stock options and retention bonuses whenever possible.
Your employees’ job security will improve your bottom line
With so much competition on the market, your business cannot afford to spend heaps of money on recruitment. It can cost more than €30,000 to replace just one employee,and most of this is spent on a lowered rate of productivity. It can take more than 28 weeks to get an employee trained up to standard and performing to your company’s standards. Imagine how much money you could lose if you need to replace 2, 3 or even more employees in one year?
When you have a team of employees who stick together for a long time, they are far more likely to work on dynamic new projects and create innovation. Lifelong friendships are formed, strong bonds and connections are created, and a strong sense of corporate culture is bolstered.
Providing job security for your employees improves company reputation
While you might think that providing job security is only important because it increases company bottom line and improves productivity, this is not the case. It is important for many other reasons, namely that boosts company reputation as a good employer.
When the top talent in your field is looking for a new job opportunity, they are likely to leaf through lists of the best employers in the country before deciding who to approach. Employing the top talent in your industry can be the difference between sinking and swimming in the future – the importance of the right employees cannot be overstated.
It is not only those looking for a new job that might be looking through those lists. Clients place more of an emphasis than ever on working with ethical companies, and they want to know that you treat your employees with dignity and respect. They will often peruse through the annual rankings of top employers when they are choosing who to work with. Will you make the grade?
Job security is important – but don’t hang onto dead weight
While you might feel tempted to hang onto every employee in an attempt to reduce your turnover rates and increase your retention, this is a mistake. While you want to maintain a reputation as a top employer who treats their employees with respect and encourages a strong sense of corporate culture, you don’t want to become a doormat.
By this we mean – you should not put up with substandard behaviour just to prevent an employee leaving. You don’t have to tolerate poor performance, bad results or missed targets just for the sake of retention. If you want your company to do its best and achieve your long term goals, you need to have the right people on your team. While you can try to hire only the best of the best, this is not always possible. Some individuals slip through and end up coasting on your good graces. Don’t be afraid to let them go for the sake of the greater good.
