3 Source: Richard McDowell/Alamy Stock Photo Attitudes and Job Satisfaction LEARNING OBJECTIVES After studying this chapter, you should be able to: 3-1 ontrast the three components C of an attitude. 3-5 ummarize the main causes S of job satisfaction. 3-2 ummarize the relationship between S attitudes and behavior. 3-6 Identify three outcomes of job satisfaction. 3-3 3-4 Compare the major job attitudes. 3-7 Identify four employee responses to job dissatisfaction. Define job satisfaction. 106 M03_ROBB3069_18_GE_C03.indd 106 28/04/21 11:18 AM 107 Attitudes and Job Satisfaction CHAPTER 3 This matrix identifies which features and end-of-chapter material will help you develop specific skills employers are looking for in job candidates. Employability Skills Matrix (ESM) Myth or Science? Career OBjectives An Ethical Choice Point/ Counterpoint Experiential Exercise Ethical Dilemma Case Incident 1 Case Incident 2 ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Critical Thinking Communication Collaboration Knowledge Application and Analysis ✓ Social Responsibility ✓ ✓ ✓ ✓ ✓ ✓ MyLab Management Chapter Warm Up If your instructor has assigned this activity, go to www.pearson.com/ mylab/management to complete the chapter warm up. IN THE LEGOLAND WONDERLAND I magine working in a workplace divided into flexible work zones with no specific seating arrangements and no offices for managers, where you can choose to work in different settings that can support the activities or tasks you are performing, within an environment that can provide the ambience that helps you perform at your best. Imagine a workplace that has a variety of spaces that support different types of individual work as well as teamwork, a workplace that includes a library, quiet-zone booths (which are do-not-disturb places), areas that are equipped with high partitions for “head down” work, as well as small, closed rooms for complete privacy and circular “study caves” carved out of a wall for individual contemplation or rest. A workplace where technology enhances job satisfaction and innovation plays a key role, and where creativity is constantly stimulated in various ways. A workplace that, apart from the workspace, includes a wellness center (containing gyms, massage rooms, a swimming pool, a multi-use indoor sports pitch, and more), a rooftop garden split over multiple floors, and cafes where you can grab healthy and reenergizing food and beverages. This has been the vision, and ultimately the reality, for Lego’s work environment set-up. ✓ 108 PART 2 The Individual Some will wonder, why go to such lengths to create such an office environment? Lego shares a philosophy with Google, Microsoft, and Facebook that their staff must be encouraged to be creative and to become, and they seek to achieve this by providing exemplary working environments. They have embedded in their organizational culture the belief that employees’ momentum and wellbeing is key to improving job satisfaction. Sophie Patrikios, Senior Director of Consumer Services at Lego, has stated that the leadership at Lego is always supportive and driven by a clear vision; it is not fixated on numbers but on the core values of the company deriving from its vision. Conversely, behaviors that are not in line with the values and the vision of the company have no place in it. The company seeks to instill its values and vision by encouraging management to allow space for creativity and initiative. Many at Lego will aver that thinking and behaving like this is in the company’s DNA, linked to their famous bricks, an outlet for creativity of many a child (and adult). Others would add that this company has an authentic reverence for its employees, seeking not just to appeal to their minds in motivating performance but also to their hearts. More prosaically, o ­ thers will see this as a way to re-engineer traditional HR to ensure a happy workforce for an ultimately profitable workplace. But if all these play an important role in employees’ overall job satisfaction—and of course they do —how do these elements actually affect the way they formulate their attitudes about the company’s human resource management philosophy and approach? Sources: “Best Places to Work 2020,” Glassdoor, https://www.glassdoor.com/Award/ Best-Places-to-Work-LST_KQ0,19.htm; Alex Hern, The Guardian, “Google Submits Plans for ‘Landscraper’ ­ London Headquarters,” June 1, 2017, https://www.theguardian.com/ technology/2017/jun/01/google-submits-plans-million-sq-ft-london-hq-construction-kingscross; The Long + Short, “Hot Desks: Inside LEGO’s Imaginative London Office,” July 11, 2016, https://thelongandshort.org/spaces/lego-creative-london-hq; Indeed, “Lego Group Company Reviews by Employees, https://www.indeed.co.uk/cmp/The-Lego-Group/reviews; Financial Times, “Happy Workplaces Help Companies Perform Better,” December 20, 2017, https://www.ft.com/content/6081b1fc-d0b2-11e5-92a1-c5e23ef99c77; Inside, “A Great Company Culture Example: LEGO,” December 20, 2017, https://inside.6q.io/ company-culture-example-lego/. Attitudes and Job Satisfaction CHAPTER 3 109 I t’s a truism to say that a happy worker is a productive worker. As the chapteropening vignette shows, however, what contributes to the development of job attitudes varies and may change over time. What factors besides organizational culture, leadership, and infrastructure affect job attitudes?1 Does having a satisfying job really matter? Before we tackle these important questions, it’s important to define what we mean by attitudes generally and by job attitudes in particular. MyLab Management Watch It If your instructor has assigned this activity, go to www.pearson.com/ mylab/management to complete the video exercise. Attitudes 3-1 Contrast the three components of an attitude. attitudes Evaluative statements or judgments concerning objects, people, or events. cognitive component The opinion or belief segment of an attitude. affective component The emotional or feeling segment of an attitude. behavioral component An intention to behave in a certain way toward someone or something. Attitudes are evaluative statements—either favorable or unfavorable—about objects, people, or events. They reflect how we feel about something. When you say, “I like my job,” you are expressing your attitude about your work. Attitudes are complex. If you ask people about their attitude toward religion, Lady Gaga, or an organization, you may get a simple response, but the underlying reasons are probably complicated. To fully understand attitudes, we must consider their fundamental properties or components. Typically, researchers assume that attitudes have three components: cognition, affect, and behavior.2 The statement “My pay is low” is a cognitive component of an attitude—a description of or belief in the way things are. It sets the stage for the more critical part of an attitude—its affective component. Affect is the emotional or feeling segment of an attitude reflected in the statement, “I am angry over how little I’m paid.” Affect can lead to behavioral outcomes. The behavioral component of an attitude describes an intention to behave a certain way toward someone or something—as in, “I’m going to look for another job that pays better.” Viewing attitudes as having three components—affect, behavior, and cognition (e.g., the ABCs of attitudes)—helps understand their complexity and the potential relationship between attitudes and behavior. For example, imagine you (just now) realized that someone treated you unfairly. Aren’t you likely to have almost instantaneous feelings occurring along with this realization? Thus, cognition and affect are intertwined. Exhibit 3-1 illustrates how the three components of an attitude are related. In this example, an employee didn’t get a promotion he thought he deserved. His attitude toward his supervisor is illustrated as follows: The employee thought he deserved the promotion (cognition), he strongly dislikes his supervisor (affect), and he has complained and taken action (behavior). In organizations, attitudes are important for their behavioral component. For example, if workers vary in how committed they are to their organizations and this commitment can lead to whether or not they stay or leave their jobs, we should try to understand how this commitment is formed and how it might be changed. Some research from the Netherlands suggests that, with organizational commitment, prior cognition and behavior both cause affect, although these components are often difficult to separate.3 110 PART 2 The Individual Affect, behavior, and cognition are closely related. Exhibit 3-1 The Components of an Attitude Affective = feeling I dislike my supervisor! Behavioral = action I’m looking for other work; I’ve complained about my supervisor to anyone who would listen. Negative attitude toward supervisor Cognitive = evaluation My supervisor gave a promotion to a coworker who deserved it less than I did. My supervisor is unfair. Attitudes and Behavior 3-2 Summarize the relationship between attitudes and behavior. cognitive dissonance Any incompatibility between two or more attitudes or between behavior and attitudes. M03_ROBB3069_18_GE_C03.indd 110 Early research on attitudes assumed that they were causally related to behavior— that is, the attitudes people hold determine what they do. However, one researcher—Leon Festinger—argued that attitudes follow behavior. Other researchers have agreed that attitudes predict future behavior.4 Did you ever notice how people change what they say so it doesn’t contradict what they do? Perhaps a friend of yours consistently argued that her apartment complex was better than yours until another friend in your complex asked her to move in with him; once she moved to your complex, you noticed her attitude toward her former apartment became more critical. Cases of attitude following behavior illustrate the effects of cognitive dissonance,5 contradictions individuals might perceive between their attitudes and their behavior. People seek a stable consistency among their attitudes and between their attitudes and their behavior.6 Any form of inconsistency is uncomfortable, and individuals therefore attempt to reduce or minimize it. When there is dissonance, people alter either their attitudes or behavior to minimize the dissonance, or they develop a rationalization for the discrepancy. Recent research found, for instance, that the attitudes of employees who had emotionally challenging work events improved after they talked about their experiences with coworkers. Social sharing helped these workers adjust their attitudes to behavioral expectations.7 No individual can avoid dissonance. You know texting while walking is unsafe, but you do it anyway and convince yourself that nothing bad will happen. Or you give someone advice you have trouble following yourself. The desire to reduce dissonance depends on three factors, including the importance of the elements creating dissonance and the degree of influence we believe we have over the elements. The third factor is the rewards of dissonance; high rewards accompanying high dissonance tend to reduce tension inherent in the dissonance (dissonance is less distressing if accompanied by something good, 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 111 Westin Hotels strives for consistency between employee attitudes and behavior through a global wellness program to help employees improve their health. Shown here is Westin’s executive chef, Frank Tujague, whose cooking demonstrations give employees direct experience with healthy ingredients and cooking techniques. Source: Diane Bondareff/AP Images such as a higher pay raise than expected). Individuals are more motivated to reduce dissonance when the attitudes are important or when they believe the dissonance is due to something they can control. The most powerful moderators of the attitude–behavior relationship are the importance of the attitude, its correspondence to behavior, its accessibility, the presence of social pressures, and whether a person has direct experience with the attitude.8 Important attitudes reflect our fundamental values, self-interest, or identification with individuals or groups we value. These attitudes tend to show a strong relationship to our behavior. However, discrepancies between attitudes and behaviors tend to occur when social pressures to behave in certain ways hold exceptional power, as in most organizations. You’re more likely to remember attitudes you frequently express, and attitudes that our memories can easily access are more likely to predict our behavior. The attitude–behavior relationship is also likely to be much stronger if an attitude refers to something with which we have direct personal experience. Job Attitudes 3-3 Compare the major job attitudes. We have thousands of attitudes, but Organizational Behavior (OB) focuses on a very limited number that form positive or negative evaluations that employees hold about their work environments. Much of the research has looked at three attitudes: job satisfaction, job involvement, and organizational commitment.9 Other important attitudes include perceived organizational support and employee engagement. Job Satisfaction and Job Involvement job satisfaction A positive feeling about one’s job resulting from an evaluation of its characteristics. M03_ROBB3069_18_GE_C03.indd 111 When people speak of employee attitudes, they usually mean job satisfaction, a positive feeling about a job resulting from an evaluation of its characteristics. A person with high job satisfaction holds positive feelings about the work, while a person with low satisfaction holds negative feelings. Because OB researchers give job satisfaction high importance, we’ll review this attitude in detail later. 28/04/21 11:18 AM 112 PART 2 The Individual An Ethical Choice Office Talk Y ou are working peacefully in your cubicle when your coworker invades your space, sitting on your desk and nearly overturning your coffee. As she talks about the morning meeting, do you: (a) stop what you’re doing and listen, or (b) explain that you’re in the middle of a project and ask to talk some other time? Your answer may reflect your attitude toward office talk, but it should be guided by whether your participation is ethical. Sometimes, office conversations can help employees to process information and find solutions to problems. Other times, office talk can be damaging to everyone. Consider the scenario from two perspectives: oversharing and venting. More than 60 percent of 514 professional employees recently surveyed indicated they encounter individuals who frequently share too much about themselves. Some are self-centered, narcissistic, and “think you want to know all the details of their lives,” according to psychologist Alan Hilfer. job involvement The degree to which a person identifies with a job, actively participates in it, and considers performance important to self-worth. psychological empowerment Employees’ belief in the degree to which they affect their work environment, their competence, the meaningfulness of their job, and their autonomy in their work. Despite the drawbacks, oversharers can be strong contributors. Billy Bauer, director of marketing for manufacturer Royce Leather, is an oversharer who boasts about his latest sales—which may push other employees to work harder. Employees can also contribute to teamwork when they share personal stories related to organizational goals. Now let’s look at this the other way. According to Yale Professor Amy Wrzesniewski, when it comes to office talk, some people are often “the first people to become offended” when they think the organization is making wrong decisions. They can become emotional, challenging, and outspoken about their views. If they are not heard, they can increase their venting or withdraw. Yet these people can be topperforming employees: They are often highly engaged, inspiring, and strong team players who are more likely to work harder than others. Venting their frustrations helps restore a positive attitude to keep them high performing. Research indicates that venting to coworkers can also build camaraderie. Guidelines for acceptable office conversation are almost nonexistent in the contemporary age of openness, personalization, and transparency, so you must decide what kinds of office talk are ethical and productive. Knowing who is approaching you for conversation, why they are approaching you, what they may talk about, and how you may keep the discussion productive and ethical can help you choose whether to engage or excuse yourself. Sources: Based on S. Shellenbarger, “Office Oversharers: Don’t Tell Us about Last Night,” The Wall Street Journal, June 25, 2014, D2; A. S. McCance, C. D. Nye, L. Wang, K. S. Jones, and C. Chiu, “Alleviating the Burden of Emotional Labor: The Role of Social Sharing,” Journal of Management (February 2013): 392–415; S. Shellenbarger, “When It Comes to Work, Can You Care Too Much?” The Wall Street Journal, April 30, 2014, D3; and F. Gino, “Teams Who Share Personal Stories are More Effective,” Harvard Business Review, April 25, 2016, https://hbr .org/2016/04/teams-who-share-personalstories-are-more-effective. Related to job satisfaction is job involvement, the degree to which people identify psychologically with their jobs and consider their perceived performance levels important to their self-worth.10 Employees with high job involvement strongly identify with and care about the kind of work they do. Another closely related concept is psychological empowerment, or employees’ beliefs in the degree to which they influence their work environment, their competencies, the meaningfulness of their job, and their autonomy.11 Research suggests that psychological empowerment strongly predicts job attitudes and strain, while it moderately predicts performance behaviors. A meta-analysis spanning 43 studies and over 15,000 employees found that empowerment tended to be more predictive of these outcomes when considering all four beliefs (i.e., impact, competence, meaningfulness, and self-determination) together instead of each one separately, although some evidence suggests meaningfulness empowerment beliefs have a strong effect on attitudes and strain, even after taking the other factors into account.12 Organizational Commitment organizational commitment The degree to which an employee identifies with a particular organization and its goals and wishes to maintain membership in the organization. An employee with strong organizational commitment identifies with his or her organization and its goals and wishes to remain a member. Emotional attachment to an organization and belief in its values is the gold standard for employee commitment.13 Attitudes and Job Satisfaction CHAPTER 3 113 Employees who are committed will be less likely to engage in work withdrawal even if they are dissatisfied because they feel that they should work hard out of a sense of loyalty or attachment. They do not have other options, or it would be difficult to leave.14 Even if employees are not currently happy with their work, they may decide to continue with the organization if they are committed enough. Perceived Organizational Support perceived organizational support (POS) The degree to which employees believe an organization values their contribution and cares about their well-being. power distance The degree to which people in a country accept that power in institutions and organizations is distributed unequally. Perceived organizational support (POS) is the degree to which employees believe that the organization values their contributions and cares about their well-being. An excellent example is R&D engineer John Greene, whose POS is sky-high because CEO Marc Benioff and 350 fellow Salesforce.com employees covered all his medical expenses and stayed in touch with him throughout his recovery after he was diagnosed with leukemia. No doubt stories like this are part of the reason Salesforce.com was in the top 25 of Fortune’s 100 Best Companies to Work For in 2017.15 People perceive their organizations as supportive when rewards are deemed fair, employees have a voice in decisions, and they see their supervisors as supportive.16 POS is a predictor, but there are some cultural influences. POS is important in countries where the power distance, the degree to which people in a country accept that power in institutions and organizations is distributed unequally, is lower. In low power-distance countries like the United States, people are more likely to view work as an exchange than as a moral obligation, so employees look for reasons to feel supported by their organizations. In high power-distance countries like China, employee POS perceptions are not as deeply based on demonstrations of fairness, support, and encouragement.17 Employee Engagement employee engagement The degree of enthusiasm an employee feels for the job. Employee engagement is an employee’s involvement with, satisfaction with, and enthusiasm for the work he or she does. To evaluate engagement, we might ask employees whether they have access to resources and opportunities to learn new skills, whether they feel their work is important and meaningful, and whether interactions with coworkers and supervisors are rewarding.18 Highly engaged employees have a passion for their work and feel a deep connection to their companies; disengaged employees have essentially checked out, putting time but not energy or attention into their work. Engagement becomes a real concern for most organizations because surveys indicate that few employees—between 17 percent and 29 percent—are highly engaged by their work. Engagement levels determine many measurable outcomes. Reviews of the research on employee engagement suggest that employee engagement is moderately related to employee and organizational performance. A study of nearly 8,000 business units in 36 companies found that units whose employees reported high-average levels of engagement achieved higher levels of customer satisfaction, were more productive, brought in higher profits, and experienced lower levels of turnover and accidents than at other business units.19 Molson Coors, for example, found engaged employees were five times less likely to have safety incidents, and when an accident did occur, it was much less serious and less costly for an engaged employee than for a disengaged one ($63 per incident versus $392). Caterpillar set out to increase employee engagement and recorded a resulting 80 percent drop in grievances and a 34 percent increase in highly satisfied customers.20 114 PART 2 The Individual Performers smiling at guests at Main Street U.S.A. in Disney’s Magic Kingdom are committed to the company and its goal of giving visitors a magical and memorable experience. Through careful hiring and extensive training, Disney ensures that employees identify with its priority of pleasing customers by creating an unforgettable experience for them. Source: Blaine Harrington/Age Fotostock/Alamy Stock Photo Such promising findings have earned employee engagement a following in many business organizations and management consulting firms. However, the concept generates active debate about its usefulness, partly because of the difficulty of separating it from related constructs. For example, some note that employee engagement has been used to refer at different times to a variety of different organizational phenomena, including psychological states, personality traits, and behaviors. They suggest, “The meaning of employee engagement is ambiguous among both academic researchers and among practitioners who use it in conversations with clients.” Another reviewer called engagement “an umbrella term for whatever one wants it to be.”21 Another study found that many of the survey questions used to measure employee engagement are similar to those found in satisfaction, commitment, and involvement measures.22 Other meta-analytic research suggests that the relationship between employee engagement and job attitudes is extremely strong, leading one to question whether or not they are measuring distinct concepts.23 For the most part, research suggests that employee engagement predicts important outcomes. For the most part, however, the amassed work to date calls into question how distinct it is from other job attitudes. Thus, there is still work to be done. Are These Job Attitudes All That Distinct? You might wonder whether job attitudes are, in fact, distinct. If people feel like their work is central to their being (high job involvement), isn’t it probable that they like it, too (high job satisfaction)? Won’t people who think their organization is supportive (high perceived organizational support) also feel committed to it (strong organizational commitment)? Evidence suggests these attitudes are highly related, perhaps to a confusing degree as mentioned in the prior section. There is some distinctiveness among attitudes, but they overlap greatly for various reasons, including the employee’s personality. Generally, if you know someone’s level of job satisfaction, you know most of what you need to know about how that person sees the organization. Next, we will consider the implications of job satisfaction and then job dissatisfaction. M03_ROBB3069_18_GE_C03.indd 114 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 115 Job Satisfaction 3-4 Define job satisfaction. We have already discussed job satisfaction briefly. Now let’s dissect the concept more carefully. How do we measure job satisfaction? What causes an employee to have a high level of job satisfaction? How do satisfied employees affect an organization? Before you answer these questions, a look at the list of worst jobs for job satisfaction (Exhibit 3-2) may give you some indications. You may be surprised that they are not all low-paying jobs. Measuring Job Satisfaction Our definition of job satisfaction—a positive feeling about a job resulting from an evaluation of its characteristics—is broad. Yet that breadth is appropriate. A job is more than just shuffling papers, writing programming code, waiting on customers, or driving a truck. Jobs require interacting with coworkers and bosses, following organizational rules and policies, determining the power structure, meeting performance standards, living with less-than-ideal working conditions, adapting to new technology, and so forth. An employee’s assessment of satisfaction with the job is thus a complex summation of many discrete elements. How, then, do we measure it? Two approaches are popular. The single global rating is a response to one question, such as “All things considered, how satisfied are you with your job?” Respondents circle a number between 1 and 5 on a scale from “highly satisfied” to “highly dissatisfied.” The second method, the summation of job facets, is more sophisticated. It identifies key elements in a job such as the type of work, skills needed, supervision, present pay, promotion opportunities, culture, and relationships with coworkers. Respondents rate these on a standardized scale, and researchers add the ratings to create an overall job satisfaction score. Is one of these approaches superior? Summing up responses to a number of job factors seems, based on one’s intuition, likely to achieve a more accurate evaluation of job satisfaction. Research doesn’t entirely support this Exhibit 3-2 Worst Jobs of 2016 for Job Satisfaction* Full-year income $37,200 Newspaper reporter $35,160 Logger $37,200 Broadcaster Disc jockey $29,010 Enlisted military $27,936 Pest control worker $30,660 $21,670 Retail salesperson $47,890 Advertising salesperson Taxi driver $23,210 $45,970 Firefighter 0 10,000 20,000 30,000 40,000 50,000 60,000 *Based on physical demands, work environment, income, stress, and hiring outlook. Source: Based on CareerCast.com (2016), http://www.careercast.com/jobs-rated/worst-jobs-2016. 116 PART 2 The Individual approach, however.24 This is one of those rare instances in which simplicity seems to work as well as complexity, making one method essentially as valid as the other. Both methods can be helpful. The single global rating method isn’t very time consuming, while the summation of job facets helps managers zero in on problems and deal with them faster and more accurately. How Satisfied Are People in Their Jobs? Are most people satisfied with their jobs? You may want to consider the OB Poll before you answer. Job satisfaction levels can remain quite consistent over time. For instance, U.S. average job satisfaction levels were consistently high from 1972 to 2006.25 However, economic conditions tend to influence job satisfaction rates. In late 2007, the economic contraction precipitated a drop-off in job satisfaction; the lowest point was in 2010, when 42.6 percent of U.S. workers reported satisfaction with their jobs.26 Approximately 47.7 percent of U.S. workers reported satisfaction with their jobs in 2014,27 but the rebound was still far off the 1987 level of 61.1 percent.28 Job satisfaction rates tend to vary in different cultures worldwide, and, of course, there are always competing measurements that offer alternative viewpoints. The facets of job satisfaction levels can vary widely. As shown in Exhibit 3-3, people have typically been more satisfied with their jobs overall, the work itself, and their supervisors and coworkers than they have been with their pay and promotion opportunities. There are some cultural differences in job satisfaction. Exhibit 3-4 provides the results of a global study of job satisfaction levels of workers in 15 countries, with the highest levels in Mexico and Switzerland. Do employees in these cultures have better jobs? Or are they simply more positive (and less self-critical)? Conversely, the lowest score in the study was for South Korea. Autonomy is low in South Korean culture, and businesses tend to be rigidly hierarchical in structure. Does this make for low job satisfaction?29 It is difficult to discern all the factors influencing the scores, but considering how businesses are responding to changes brought on by globalization may give us clues. OB POLL Happy Places Percentage of 168,000 employees who responded YES to “Are you happy in your job?” 65% 62% 60% 55% 54% 53% 50% 49% 45% 40% Worldwide average Europe, Middle East, and Africa All Americas Asia Pacific Sources: Based on Statista (2013), http://www.statista.com/statistics/224508/employee-job-satisfaction-worldwide/; Kelly Services Group (2012), http://www.kellyocg.com/uploadedFiles/Content/Knowledge/Kelly_Global_Workforce_Index_Content/Acquisition%20and%20Retention%20 in%20the%20War%20for%20Talent%20Report.pdf. Attitudes and Job Satisfaction CHAPTER 3 Exhibit 3-3 117 Average Job Satisfaction Levels by Facet 100 90 80 Percentage 70 60 50 40 30 20 10 0 Work Itself Exhibit 3-4 6.00 5.80 5.88 5.60 5.40 5.72 Pay Promotion Supervision Overall Average Levels of Employee Job Satisfaction by Country 5.63 5.51 5.46 5.45 5.44 5.30 5.27 5.20 Coworkers 5.24 5.22 5.00 5.18 5.16 4.89 4.80 4.76 4.60 4.40 itz Sw M ex ic o er la N nd or w De ay Un nm ite ark d St at es Ja pa G er n m an Sw y G ed re at en Br ita in C an ad a Ru ss ia A C ze ustr al ch Re ia pu bl ic Fr So an ce ut h Ko re a 4.20 Source: Based on J. H. Westover, “The Impact of Comparative State-Directed Development on Working Conditions and Employee Satisfaction,” Journal of Management & Organization 19, no. 4 (2013): 537–54. What Causes Job Satisfaction? 3-5 Summarize the main causes of job satisfaction. M03_ROBB3069_18_GE_C03.indd 117 Think about the best job you’ve ever had. What made it great? The reasons can differ greatly. Let’s discuss some characteristics that likely influence job satisfaction, starting with job conditions. 28/04/21 11:18 AM 118 PART 2 The Individual Employee engagement is high at Baptist Health of South Florida, where employees share a serious commitment to patient care and are passionate about the work they do. Looking at an electrocardiogram (EKG) readout, hospital employees Yaima Millan and Marvin Rosete feel their work is meaningful and can make a difference in patients’ lives. Source: Wilfredo Lee/AP Images Job Conditions Generally, interesting jobs that provide training, variety, independence, and control satisfy most employees. Interdependence, feedback, social support, and positive interactions with coworkers and even customers are also strongly related to job satisfaction, even after accounting for characteristics of the work itself.30 As you may have guessed, managers also play a big role in employees’ job satisfaction. One review of nearly 70,000 employees from 23 countries found that the quality of exchange between the leaders and their employees is more strongly related to job satisfaction in more individualistic (e.g., Western) cultures than it is in more collectivistic (e.g., Asian) cultures.31 However, another meta-analysis demonstrated that leader emotional intelligence (see Chapter 6) is more strongly related to job satisfaction in more collectivistic cultures.32 Thus, job conditions—especially the intrinsic nature of the work itself, social interactions, and supervision—are important predictors of satisfaction and employee well-being.33 Although each is important, and although their relative value varies across employees, the intrinsic nature of the work is most important.34 Personality core self-evaluation (CSE) Believing in one’s inner worth and basic competence. As important as job conditions are to job satisfaction, personality also plays an important role.35 People who have a positive core self-evaluation (CSE)—who believe in their inner worth and basic competence—are more satisfied with their jobs than people with negative CSEs. For those in collectivist cultures, those with high CSEs may realize particularly high job satisfaction.36 MyLab Management Personal Inventory Assessments Go to www.pearson.com/mylab/management to complete the Personal Inventory Assessment related to this chapter. 119 Attitudes and Job Satisfaction CHAPTER 3 Percent of Job Satisfaction Scale Maximum Exhibit 3-5 Relationship between Average Pay in Job and Job Satisfaction of Employees in That Job 90% 80% 70% 60% 50% $20,000 $40,000 $60,000 $80,000 $100,000 $120,000 $140,000 $160,000 Pay in US$—2009 Source: Based on T. A. Judge, R. F. Piccolo, N. P. Podsakoff, J. C. Shaw, and B. L. Rich, “The Relationship between Pay and Job Satisfaction: A Meta-Analysis of the Literature,” Journal of Vocational Behavior 77, no. 2 (2010): 157–67. Pay You’ve probably noticed that pay comes up often when people discuss job satisfaction. Pay does correlate with job satisfaction and overall happiness for many people, but the effect can be smaller once an individual reaches a standard level of comfortable living. Look at Exhibit 3-5. It shows the relationship between the average pay for a job and the average level of job satisfaction. As you can see, there isn’t much of a relationship there. Money does motivate people, as we will discover in Chapter 5. But what motivates us is not necessarily the same as what makes us happy. Corporate Social Responsibility (CSR) corporate social responsibility (CSR) An organization’s self-regulated actions to benefit society or the environment beyond what is required by law. M03_ROBB3069_18_GE_C03.indd 119 Would you be as happy to work for an organization with a stated social welfare mission as one without? An organization’s commitment to corporate social responsibility (CSR), or its self-regulated actions to benefit society or the environment beyond what is required by law, increasingly affects employee job satisfaction. Organizations practice CSR in several ways, including environmental sustainability initiatives, nonprofit work, and charitable giving. CSR is good for the planet and good for people. Research suggests that American and Australian employees whose personal values fit with their organization’s CSR mission are often more satisfied.37 In fact, of 59 large and small organizations surveyed, 86 percent reported they have happier employees because of their CSR programs.38 The relationship between CSR and job satisfaction is particularly strong for millennials. “The next generation of employees is seeking out employers that are focused on the triple bottom line: people, planet, and revenue,” said Susan Cooney, founder of philanthropy firm Givelocity.39 CSR allows workers to serve a higher purpose or contribute to a mission. According to researcher Amy Wrzesniewski, people who view their work as part of a higher purpose often realize higher job satisfaction.40 However, an organization’s CSR efforts must be 28/04/21 11:18 AM 120 PART 2 The Individual well governed and its initiatives must be sustainable for long-term job satisfaction benefits.41 Although the link between CSR and job satisfaction is strengthening, not all employees find value in CSR.42 Therefore, organizations need to address a few issues to be most effective. First, not all projects are equally meaningful for every person’s job satisfaction, yet participation for all employees is sometimes expected. For instance, Lisa Dewey, a partner at one of the world’s largest law firms, said, “All DLA Piper attorneys and staff are encouraged to participate in the firm’s pro bono and volunteer projects.”43 Requiring these activities may decrease overall job satisfaction for those who do not wish to volunteer their time but are required to do so. Second, some organizations require employees to contribute in a prescribed manner. For instance, consulting firm entreQuest’s CEO, Joe Mechlinksi, requires employees to participate in “Give Back Days” by serving in a soup kitchen, building a Habitat for Humanity house, or mentoring children. These choices may not fit every individual’s vision of CSR. Pressuring people to go “above and beyond” in ways that are not natural for them can burn them out for future CSR projects44 and lower their job satisfaction, particularly when CSR projects provide direct benefits to the organization (such as positive press coverage).45 People want CSR to be genuine and authentic. Third, CSR measures can seem disconnected from the employee’s actual work,46 providing no increase in job satisfaction. After watching consulting firm KPMG’s “over the top” video that boasted of involvement in the election of Nelson Mandela and the end of apartheid, the launch of the first space station by NASA, and the freedom of U.S. hostages in Iran, one anonymous employee questioned his employment. “If I want to really make a change,” he said, “why would I sit here?”47 In sum, CSR is a needed, positive trend of accountability and serving. It can also contribute significantly to increased employee job satisfaction when managed well. Outcomes of Job Satisfaction 3-6 Identify three outcomes of job satisfaction. Having discussed some of the causes of job satisfaction, we now turn to some specific outcomes. Job Performance As several studies have concluded, happy workers are more likely to be productive workers. Some researchers used to believe the relationship between job satisfaction and job performance was a myth, but a review of 300 studies suggested the correlation is quite robust.48 Individuals with higher job satisfaction perform better, and organizations with more satisfied employees tend to be more effective than those with fewer. Organizational Citizenship Behavior (OCB) It seems logical that job satisfaction should be a major determinant of an employee’s organizational citizenship behavior (known as OCB or as citizenship behavior; see Chapter 1).49 OCBs include people talking positively about their organizations, helping others, and going beyond the normal expectations of their jobs. Evidence suggests job satisfaction is moderately correlated with OCB; people who are more satisfied with their jobs are more likely to engage in citizenship behavior.50 M03_ROBB3069_18_GE_C03.indd 120 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 121 Luxury automotive companies like Lamborghini understand that giving customers the ability to customize the car is key to gaining their satisfaction and loyalty. The company thus launched the “Lamborghini Ad Personam” program with a dedicated staff in charge of meeting any customer’s wish with a range of combinations from colors to materials to make each car unique. Source: dpa picture alliance/Alamy Stock Photo Why does job satisfaction lead to OCB? One reason is trust. Research in 18 countries suggests that managers reciprocate employees’ OCB with trusting behaviors of their own.51 Individuals who feel that their coworkers support them are also more likely to engage in helpful behaviors than those who have antagonistic coworker relationships.52 Personality matters, too. Individuals with certain personality traits (extraversion and conscientiousness; see Chapter 5) are more satisfied with their work, which in turn leads them to engage in more OCB.53 Individuals who receive positive feedback on their OCB from their peers are more likely to continue their citizenship activities.54 Customer Satisfaction Because customer satisfaction is a key outcome in the service industry, it’s reasonable to ask whether employee satisfaction is related to positive customer outcomes. For employees with regular customer contact, the answer appears to be yes. Satisfied employees and managers appear to increase customer satisfaction and loyalty.55 Recent research suggests that employee and customer satisfaction are reciprocally related and that the inward effect of customer satisfaction on employee satisfaction might be stronger than the employee–customer relationship.56 A number of companies are acting on this evidence. Online shoe retailer Zappos is so committed to finding customer service employees who are satisfied with the job that it offers a $2,000 bribe to quit the company after training, figuring the least satisfied will take the cash and go.57 Zappos employees are empowered to “create fun and a little weirdness” to ensure that customers are satisfied, and it works: Of the company’s more than 24 million customers, 75 percent are repeat buyers. For Zappos, employee satisfaction has a direct effect on customer satisfaction. Life Satisfaction Until now, we’ve treated job satisfaction as if it were separate from life satisfaction, but they may be more related than you think, with evidence suggesting that they mutually influence one another.58 Research in Europe indicated that M03_ROBB3069_18_GE_C03.indd 121 28/04/21 11:18 AM 122 PART 2 The Individual How can I make my job better? Honestly, I hate my job. But there are reasons I should stay: This is my first job out of college, it pays pretty well, and it will establish my career. Is there any hope, or am I doomed until I quit? — Taylor Dear Taylor: You’re not doomed! You can work on your attitude to either improve your experience or find a positive perspective. In other words, if you can turn “I hate my job” into “this is what I’m doing to make my situation better,” your job satisfaction is likely to improve. Try this: • Write • down everything you hate about your job, but wait until you have a few days off so you can get a more objective viewpoint. Be specific. Keep asking yourself why, as in, “Why do I dislike my office mate?” Also, consider your history: Was the job always a problem? Or perhaps circumstances have changed? Now write down everything you like about the job. Again, be specific. Think about the environment, the people, and the work separately. Find something positive, even if it’s just the coffee in the break room. • Compare • • your lists for clues about your attitude and job satisfaction. Look for mentions of the work or the people. Job satisfaction is generally more strongly related to how interesting your work is than it is to other factors. People, especially your supervisor, are important to your attitude toward work as well. Read your lists aloud to a few trusted friends (you don’t want to rant about your boss with your coworkers). Ask them to help process your grievances. Are there deal breakers like harassment? Decide whether you can talk with your manager about this. According to Roy L. Cohen, author of The Wall Street Professional’s Survival Guide, “consider whether how you’re being treated is unique to you or shared by your colleagues.” If everyone has the same problem, especially if the problem is the boss, you probably shouldn’t approach your manager. But changes can be made in most situations. Based on the sources of your grievances and your ability to make changes Career OBjectives in the workplace, you may choose to address the issues, or develop skills for your next job. Meanwhile, don’t sabotage yourself with sloppy performance and complaints. Instead, look for positive reinforcement, join a professional organization, or volunteer. Happy employees are healthier. You deserve to be one of them. Sources: Based on “Employee Engagement,” Workforce Management (February 2013): 19; A. Hurst, “Being ‘Good’ Isn’t the Only Way to Go,” The New York Times, April 20, 2014, 4; R. E. Silverman, “Work as Labor or Love?” The Wall Street Journal, October 18, 2012, D3; H. J. Smith, T. F. Pettigrew, G. M. Pippin, and S. Bialosiewicz, “Relative Deprivation: A Theoretical and Meta-Analytic Review,” Personality and Social Psychology Review 16 (2012): 203–32; and A. Tugend, “Survival Skills for a Job You Detest,” The Wall Street Journal, April 7, 2012, B5. The opinions provided here are of the managers and authors only and do not necessarily reflect those of their organizations. The authors or managers are not responsible for any errors or omissions, or for the results obtained from the use of this information. In no event will the authors or managers, or their related partnerships or corporations thereof, be liable to you or anyone else for any decision made or action taken in reliance on the opinions provided here. job satisfaction is positively correlated with life satisfaction, and your attitudes and experiences in life spill over into your job approaches and experiences.59 Life satisfaction decreases when people become unemployed, according to research in Germany, and not just because of the loss of income.60 For most individuals, work is an important part of life, and therefore it makes sense that our overall happiness depends in no small part on our happiness in our work (our job satisfaction). The Impact of Job Dissatisfaction 3-7 Identify four employee responses to job dissatisfaction. M03_ROBB3069_18_GE_C03.indd 122 What happens when employees dislike their jobs? One theoretical model—the exit–voice–loyalty–neglect framework—is helpful for understanding the consequences of dissatisfaction. Exhibit 3-6 illustrates employees’ four responses to 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 Exhibit 3-6 123 Responses to Dissatisfaction Constructive Destructive Active VOICE EXIT Passive LOYALTY NEGLECT job dissatisfaction, which differ along two dimensions: constructive/destructive and active/passive. The responses are as follows:61 exit Dissatisfaction expressed through behavior directed toward leaving the organization. voice Dissatisfaction expressed through active and constructive attempts to improve conditions. loyalty Dissatisfaction expressed by passively waiting for conditions to improve. neglect Dissatisfaction expressed through allowing conditions to worsen. • Exit. The exit response directs behavior toward leaving the organization, including looking for a new position or resigning. To measure the effects of this response to dissatisfaction, researchers study individual terminations and collective turnover, the total loss to the organization of employee knowledge, skills, abilities, and other characteristics.62 • Voice. The voice response includes actively and constructively attempting to improve conditions, including suggesting improvements, discussing problems with superiors, and undertaking union activity. • Loyalty. The loyalty response means passively but optimistically waiting for conditions to improve, including speaking up for the organization in the face of external criticism and trusting the organization and its management to “do the right thing.” • Neglect. The neglect response passively allows conditions to worsen and includes chronic absenteeism or lateness, reduced effort, and an increased error rate. Exit and neglect behaviors are linked to performance variables such as productivity, absenteeism, and turnover. But this model expands employee responses to include voice and loyalty—constructive behaviors that allow individuals to tolerate unpleasant situations or improve working conditions. The model helps us understand various situations. For instance, union members often express dissatisfaction through the grievance procedure or formal contract negotiations. These voice mechanisms allow them to continue in their jobs while acting to improve the situation. As helpful as this framework is, it is quite general. We will next address counter­productive work behavior, a behavioral response to job dissatisfaction. counterproductive work behavior (CWB) Actions that actively damage the organization, including stealing, behaving aggressively toward coworkers, or being late or absent. M03_ROBB3069_18_GE_C03.indd 123 Counterproductive Work Behavior (CWB) Substance abuse, stealing at work, undue socializing, gossiping, absenteeism, and tardiness are examples of behaviors that are destructive to organizations. They are indicators of a broader syndrome called counterproductive work behavior (CWB), 28/04/21 11:18 AM 124 PART 2 The Individual also termed deviant behavior in the workplace, or simply employee withdrawal (see Chapter 1).63 Like other behaviors we have discussed, CWB doesn’t just happen—the behaviors often follow negative and sometimes long-standing attitudes. Therefore, if we can identify the predictors of CWB, we may lessen the probability of its effects. Generally, job dissatisfaction predicts CWB. People who are not satisfied with their work become frustrated, which lowers their performance64 and makes them more prone to CWB.65 However, some research also suggests that this relationship might be stronger for men than for women, given that men tend to exhibit more aggressiveness and less impulse control.66 Individual personality traits also matter. A study of Chinese knowledge workers revealed that CWB was prevalent and that personality variables, including agreeableness, neuroticism, conscientiousness, and locus of control, were a more important predictor than demographic and job characteristics.67 CWB can be a response to abusive supervision from managers, which then increases the abuse, thus starting a vicious cycle.68 One important point about CWB is that dissatisfied employees often choose one or more of these specific behaviors due to idiosyncratic factors. One worker might quit. Another might use work time to surf the Internet or take work supplies home for personal use. In short, workers who don’t like their jobs “get even” in various ways. Because those ways can be quite creative, controlling only one behavior with policies and punishments leaves the root cause untouched. Employers should seek to correct the source of the problem—the dissatisfaction—rather than try to control the different responses. According to some research, sometimes CWB is an emotional reaction to perceived unfairness, a way to try to restore an employee’s sense of equity exchange.69 Therefore, CWB has complex ethical implications. For example, is someone who takes a box of markers home from the office for his children acting ethically? Some people consider this stealing. Others may want to look at moderating factors such as the employee’s contribution to the organization before they decide. Does the person generously give extra time and effort to the organization, with little thanks or compensation? If so, they might see CWB as part of an attempt to “even the score.” As a manager, you can take steps to mitigate CWB. You can poll employee attitudes, for instance, identify areas for workplace improvement, and attempt to measure CWB. Several reviews suggest that self-reports of CWB can be just as effective as reports from coworkers or supervisors, partly because of differences in observability of CWB.70 Creating strong teams, integrating supervisors within them, providing formalized team policies, and introducing team-based incentives may help lower the CWB “contagion” that lowers the standards of the group.71 Absenteeism We find a consistent negative relationship between satisfaction and absenteeism, but the relationship is moderate to weak.72 Generally, when numerous alternative jobs are available, dissatisfied employees have high absence rates, but when there are few alternatives, dissatisfied employees have the same (low) rate of absence as satisfied employees.73 Organizations that provide liberal sick leave benefits are encouraging all their employees— including those who are highly satisfied—to take days off. You can find work satisfying yet still want to enjoy a three-day weekend if those days come free with no penalties. Turnover The relationship between job satisfaction and turnover is stronger than between satisfaction and absenteeism.74 Overall, a pattern of lowered job M03_ROBB3069_18_GE_C03.indd 124 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 Happy Workers Means Happy Profits T here are exceptions, of course, but this statement is basically true. A glance at Fortune’s Best Companies to Work For list, where companies are chosen by the happiness inducements they provide, reveals recognizable profit leaders: Google, SAS, Edward Jones, and REI, to name a few. However, all happiness is not created equal. An employee who is happy because her coworker did most of the work on her team’s project isn’t necessarily going to work harder, for instance. Some happiness-inducers also seem unrelated to profit increases, such as Google’s bowling alley and Irish pub, Facebook’s free chocolate lunches, and Salesforce.com’s off-the-charts parties. Traditional benefits programs also don’t necessarily yield higher job satisfaction, productivity, and profits. Research indicates employees highly value paid time off, a retirement plan such as a 401(k), and lower health premiums. But many companies offer these benefits and are nowhere near the Fortune 500 organizations in profits. It turns out that the value of keeping happiness in the profit equation may be felt in the level of employee engagement. As Julie Gebauer, a managing director for consulting firm Towers Watson, said, “It’s not just about making them happy—that’s not a business issue. Engagement is.” Job engagement “represents employees’ commitment . . . and the level of discretionary effort they are willing to put forth at work,” wrote Jack in the Box’s Executive VP Mark Blankenship. Happy employees with higher job engagement are willing to work hard, make customers happy, and stay with the company— three factors that affect the bottom line in a big way. Conversely, a review 125 Myth or Science? of 300 studies revealed that turnover rates resulting from poor attitudes or low engagement led to poorer organizational performance. So the moral of the story seems to be this: Treat others as we want to be treated in the workplace. It’s just good business. Sources: Based on M. H. Blankenship, “Happier Employees + Happier Customers = More Profit,” HR Magazine, July 2012, 36–38; A. Edmans, “The Link between Job Satisfaction and Firm Value, with Implications for Corporate Social Responsibility,” Academy of Management Perspectives (November 2012): 1–19; “Getting Them to Stay,” Workforce Management (February 2013): 19; J. K. Harter et al., “Causal Impact of Employee Work Perceptions on the Bottom Line of Organizations,” Perspectives on Psychological Science (July 2010): 378–89; T.-Y. Park and J. D. Shaw, “Turnover Rates and Organizational Performance: A Meta-Analysis,” Journal of Applied Psychology (March 2013): 268–309; and J. Waggoner, “Do Happy Workers Mean Higher Profit?” USA Today, February 20, 2013, B1–B2. satisfaction is the best predictor of intent to leave. Turnover also has a workplace environment connection. If the climate within an employee’s immediate workplace is one of low job satisfaction leading to turnover, there will be a contagion effect. This suggests that managers consider the job satisfaction (and turnover) patterns of coworkers when assigning workers to a new area.75 The satisfaction–turnover relationship is affected by alternative job prospects. If an employee accepts an unsolicited job offer, job dissatisfaction was less predictive of turnover because the employee more likely left in response to “pull” (the lure of the other job) than “push” (the unattractiveness of the current job). Similarly, job dissatisfaction is more likely to translate into turnover when other employment opportunities are plentiful. When employees have high “human capital” (high education, high ability), job dissatisfaction is more likely to translate into turnover because they have, or perceive, many available alternatives.76 Some factors help break the dissatisfaction–turnover relationship. Employees’ embeddedness—connections to the people or groups they are involved with at work—can help lower the probability of turnover, particularly in collectivist (group-oriented) cultures.77 Embedded employees seem less likely to want to consider alternative job prospects. Managers Often “Don’t Get It” Given the evidence we’ve just reviewed, it should come as no surprise that job satisfaction can affect the bottom line. One study by a management consulting firm separated large organizations into those with high morale 126 PART 2 The Individual (more than 70 percent of employees expressed overall job satisfaction) and medium or low morale (fewer than 70 percent). The stock prices of companies in the high-morale group grew 19.4 percent compared with 10 percent for the medium- or low-morale group. Despite these results, many managers are unconcerned about employee job satisfaction. Others overestimate how satisfied employees are, so they don’t think there’s a problem when there is. In one study of 262 large employers, 86 percent of senior managers believed their organizations treated employees well, but only 55 percent of employees agreed. Another study found 55 percent of managers thought morale was good in their organization compared to only 38 percent of employees.78 Regular surveys can reduce gaps between what managers think employees feel and what they really feel. A gap in understanding can affect the bottom line in small franchise sites as well as in large companies. As manager of a KFC restaurant in Houston, Jonathan McDaniel surveyed his employees every three months. Some results led him to make changes, such as giving employees greater say about which workdays they had off. However, McDaniel believed the process itself was valuable. “They really love giving their opinions,” he said. “That’s the most important part of it—that they have a voice and that they’re heard.” Surveys are no panacea, but if job attitudes are as important as we believe, organizations need to use every reasonable method to find out how job attitudes can be improved.79 Summary Managers should be interested in their employees’ attitudes because attitudes influence behavior and indicate potential problems. Creating a satisfied workforce is hardly a guarantee of successful organizational performance, but evidence strongly suggests that managers’ efforts to improve employee attitudes will likely result in positive outcomes, including greater organizational effectiveness, higher customer satisfaction, and increased profits. Implications for Managers ●● ●● ●● ●● ●● M03_ROBB3069_18_GE_C03.indd 126 Of the major job attitudes—job satisfaction, job involvement, organizational commitment, perceived organizational support (POS), and employee engagement—remember that an employee’s job satisfaction level is the best single predictor of behavior. Pay attention to your employees’ job satisfaction levels as determinants of their performance, turnover, absenteeism, and withdrawal behaviors. Measure employee job attitudes at regular intervals to determine how employees are reacting to their work. To raise employee satisfaction, evaluate the fit between each employee’s work interests and the intrinsic parts of the job; then create work that is challenging and interesting to the individual. Consider the fact that high pay alone is unlikely to create a satisfying work environment. 28/04/21 11:18 AM Attitudes and Job Satisfaction CHAPTER 3 Employer–Employee Loyalty Is an Outdated Concept POINT T he word loyalty is horribly outdated. Long gone are the days when an employer would keep an employee for life, as are the days when an employee would want to work for a single company for an entire career. Professor Linda Gratton says, “Loyalty is dead—killed off through shortening contracts, outsourcing, automation, and multiple careers. Faced with what could be 50 years of work, who honestly wants to spend that much time with one company? Serial monogamy is the order of the day.” Many employers agree; only 59 percent of employers report feeling loyal to their employees, while a mere 32 percent believe their employees are loyal to them. The loyalty on each side of the equation is weak. For the most part, this is warranted—why retain employees who are subpar performers? It’s only a matter of the employer handling the loyalty of employees with respect. Admittedly, some breaches happen. For example, Renault ended the 31-year career of employee Michel Balthazard (and two others) on false charges of espionage. When the wrongness of the charges became public, Renault halfheartedly offered the employees their jobs back and a lame apology: “Renault thanks them for the quality of their work at the group and wishes them every success in the future.” As for employees’ loyalty to their employers, that is worth little nowadays. One manager with Deloitte says the current employee attitude is, “I’m leaving, I had a great experience, and I’m taking that with me.” There just isn’t an expectation of loyalty. In fact, only 9 percent of recent college graduates would stay with an employer for more than a year if they didn’t like the job, research indicated. But there is nothing wrong with this. A “loyal” employee who stays with the organization but isn’t satisfied with the job can do a lot of damage. At best, this person will be less productive. At worst, he or she can engage in years’ worth of damaging CWB. For the worker, staying with an organization forever—no matter what—can limit career and income prospects. The sooner we see the employment experience for what it is (mostly transactional, mostly short term to medium term), the better off we’ll be. The workplace is no place for fantasies of loyalty. COUNTERPOINT A greed: The word loyalty is outdated when it refers to employers and employees. But the basic concept is valid in the workplace. We now just measure loyalty with finer measurements such as organizational trust and organizational commitment. There certainly are employers and employees who show little loyalty to each other, but that isn’t the norm. Says management guru Tom Peters, “Bottom line: loyalty matters. A lot. Yesterday. Today. Tomorrow.” University of Michigan’s Dave Ulrich says, “Leaders who encourage loyalty want employees who are not only committed to and engaged in their work but who also find meaning from it.” Commitment. Engagement. Trust. These are some of the building blocks of loyalty. It is true that the employer–employee relationship has changed. For example, (largely) gone are the days when employers provided guaranteed payout pensions to which employees contributed nothing. But is that such a bad thing? Many employers have helped employees take charge of their own retirement plans. It’s not that loyalty is dead but rather that employers are loyal to a different kind of employee. True, employers no longer refuse to fire a long-tenured but incompetent employee, which is a good thing. These employees can bring down everyone’s productivity and morale. In a globalized world where customer options are plentiful, organizations with “deadwood”—people who don’t contribute—will not be competitive enough to survive. Companies are instead loyal to employees who do their jobs well, and that is as it should be. In short, employees become loyal—trusting, engaged, and committed—when organizations and their people act decently. Employers with superior managers who empower their employees obtain high levels of this kind of loyalty. A true reciprocal relationship is a stronger business model than employees staying with an organization for years in exchange for an organization’s caretaking. Bonds of trust and loyalty rest on the relationships of individuals. Workplace psychologist Binna Kandola observes, “Workplaces may have changed but loyalty is not dead—the bonds between people are too strong.” Sources: Based on “If You Started a Job and You Didn’t Like It, How Long Would You Stay?” USA Today, June 11, 2012, 1B; O. Gough and S. Arkani, “The Impact of the Shifting Pensions Landscape on the Psychological Contract,” Personnel Review 40, no. 2 (2011): 173–84; “Loyalty Gap Widens,” USA Today, May 16, 2012, 1B; P. Korkki, “The Shifting Definition of Worker Loyalty,” The New York Times, April 24, 2011, BU8; I. Macsinga, C. Sulea, P. Sarbescu, and C. Dumitru, “Engaged, Committed and Helpful Employees: The Role of Psychological Empowerment,” Journal of Psychology 149, no. 3 (2015): 263–76; M. Top, M. Akdere, and M. Tarcan, “Examining Transformational Leadership, Job Satisfaction, Organizational Commitment and Organizational Trust in Turkish Hospitals: Public Servants versus Private Sector Employees,” International Journal of Human Resource Management 26, no. 9 (2015): 1259–82; and “Is Workplace Loyalty an Outmoded Concept?” Financial Times, March 8, 2011, www.ft.com/, accessed July 29, 2015. 127