10-0252 jobsatsr_textfnllowrez
TRANSCRIPT
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Contents
3 The Dierent Perspectives o Employees and HR Proessionals
4 Executive Summary: Stability Still Paramount to Employees Job Satisaction
6 Survey Results
9 Top Five Aspects o Job Satisaction Most Important to Employees9 Job Security
9 Benefts
13 Opportunities to Use Skills/Abilities14 Organizations Financial Stability & the Work Itsel
15 Compensation/Pay
17 Results o Other Individual Employee Job Satisaction Aspects17 Career Development
17 Career Advancement Opportunities Within Organization
19 Job-Specifc Training
19 Organizations Commitment to Proessional Development
20 Career Development Opportunities
20 Paid Training and Tuition Reimbursement
20 Networking
21 Employee Relationship With Management
21 Relationship With Immediate Supervisor
21 Management Recognition o Employee Job Perormance
22 Communication Between Employees and Senior Management
23 Autonomy and Independence
26 Work Environment
26 Feeling Sae in the Work Environment
28 Flexibility to Balance Lie and Work Issues
29 Overall Corporate Culture
29 Meaningulness o Job
30 Relationships With Co-Workers
30 Contribution o Work to the Organizations Business Goals
30 Variety o Work30 Organizations Commitment to Corporate Social Responsibility
32 Organizations Commitment to a Green Workplace
33 Overall Employee Job Satisaction
36 Employee Satisaction With Individual Job Aspects
40 Conclusions
2010 Employee Job SatisactionIvetiati What Matter Mot to Employee
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2 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
41 Methodology
41 HR Proessional Sample
41 Employee Sample
41 Notations
43 About the Respondents
43 Employees
44 HR Proessionals
45 Appendix
45 Elements o Job Satisaction
46 Tables 1-18
57 Endnotes
58 Recently Published SHRM Products
Special Sections
18 Married Men Less Satisfed With Their Jobs
24 Does Age Matter?
31 Female Employees Satisfed With How Their Job Contributes to Society
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
This report compares the responses o HR proes-
sionals and employees in an eort to understand
the similarities and dierences between these two
vantage points. HR proessionals are strategically
primed to serve as a voice or employees. In ad-
dition, as the unction in the organization most
heavily involved in recruitment, retention and per-
ormance management, HR proessionals beneit byknowing which actors employees value most. Yet,
this is sometimes diicult because understanding
what satisies employees is a dynamic and evolving
process. HR proessionals need to know that the
programs they are promoting or employees are
indeed important to them. One way or HR proes-
sionals to gauge their knowledge o employee needs
is to recognize the degree to which their perceptions
are accurate when matched up against employees
perceptions. While collecting only employee data on
job satisaction would provide useul inormation
or HR proessionals, another piece o the puzzle
is ound in a direct comparison o the two groups
perceptions.
In order to make meaningul comparisons, it is
important to consider the employees represented in
this study. Employee data were analyzed by de-
mographic variables such as age, gender, job level,
organization size and job tenure. These types o
analyses are useul because they highlight that not all
employees have the same preerences with respect to
job satisaction.
HR proessionals were asked to report on employees
in their organizationsin other words, the entire
workorce, including both exempt and nonexempt
workers. With this in mind, it is accurate to say that
the proile o employees rom the HR proession-
als perspective tends to be a more generalized and
inclusive category.
By becoming aware o the needs o dierent groups
(e.g., age, gender, job tenure), organizations may
be able to develop programs that appeal to certain
groups more than to others. For example, i an
organization has high turnover among male employ-
ees, it would be useul to know what actors aect
their satisaction the most and how the organization
can oer programs that appeal to this segment o its
workorce.
The Dierent Perspectives o
Employees and HR Proessionals
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4 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Employees overall satisaction with their current job
remains high at 84% (40% are overall very satis-
fied and 44% are somewhat satisfied), according
to this study. More tenured employees (16 years or
more) were more likely to report being very satisied
overall than were employees with less than three
years o tenure at their organization (51% and 32%
respectively).
Are employees really satisied with their current
jobs or are they waiting or the economy to ully re-
bound beore seeking employment elsewhere? Only
30% o employees said that they were likelyto look
or work outside o their organization in 2010 (15%
said they were very likely to look for job outside of
their current company, 15% said likely). Also, 51%
o employees reported that the current economic
climate has made no dierence in their satisaction
level with their current job.
What contributors are most important to employee
job satisaction? Job security (63%), or the third
consecutive year, remained at the top o employees
list o most important determinants o job satisac-
tion. This was in contrast to HR proessionals, who
indicated that relationship with immediate supervisor
was the most important determinant o employee
job satisaction. Benefits (60%), opportunities to use
skills and abilities (56%), the work itself (54%) and
compensation/pay (53%) rounded o employees top
ive very important actors contributing to job satis-
action. The organizations financial stability (54%),a new contributor to job satisaction or employees,
also made the top ive list, tying with the work itself
(see Table 1).
Factors that were not strongly connected to em-
ployees overall job satisaction were organizations
commitment to a green workplace; networking; paid
training and tuition reimbursement programs; organi-
zations commitment to corporate social responsibil-
ity; and career development opportunities.
Other Noteworthy Findings
Employees whose organizations did not lay ox
any employees were more satisied overall (very
satisied) with their current jobs compared with em-
ployees whose organizations had laid o employees in
the past 12 months.
In 2010, only 16% o employees reported beingx
very concerned about their current job in light o the
economy compared with 22% o employees in 2009.
HR proessionals indicated that their organizationsx
have taken measures to keep employees job satis-
action at high levels. Common measures included
encouraging open communication between supervi-
sors and employees, ostering open communication
with employees regarding the organizations inancial
standing and ostering open communication with
employees regarding budget cuts, hiring reezes and
layos.
What Do These FindingsMean or Businesses?
Communicate Eectively:x The economic
climate has changed the way employees look at their
employers, their jobs and aspects important to their
job satisaction. The indings o this research indicate
that companies have taken steps to keep employees
job satisaction high. The top three measures ocus
on communicating with employees. How eective
are these communications? Although organizationsmay be communicating with their employees, there
might be some disconnect between the message rom
management and the interpretation by employees, es-
pecially during times o economic and organizational
uncertainty. Communicating eectively with employ-
ees can provide the workorce with direction, dispel
rumors and promote trust. Employers might consider
promoting upward communication, such as gathering
eedback rom employees through ocus groups lead
by employees.
Executive Summary:
Stability Still Paramount to Employees Job SatisactionOly 30% oemployeeaid that theywere likely tolook or workoutside o theirorganization in2010.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Partner With Employees:x One o the top
contributors to employee job satisaction is hav-
ing the opportunity to use employees skills and
abilities. Employees also reported that their proes-
sional abilities and skills increased their sense o job
security. Employees requently have skills and abilities
beyond the position that they have been hired or.
Organizations need to take steps to discover the skill
sets o their employees and utilize them. Employee
ormal training and development may have been a-
ected by budget cuts, so tapping into the existing tal-
ent to help shape the organizations uture could beone o the ways that organizations train and develop
employees. This could help organizations increase
employees motivation, productivity and chances o
retaining their best talent.
Take Action:x You have talked, collected eedback
and conducted ocus groupswhats next? Employers
will need to take the results o their dialogue with
employees and translate them into measurable actions
that it into their organizations strategic plans. These
actions will need to have both short-term and long-
term results. HR proessionals are in the position to
help their organization navigate through the changes.
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6 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Employees and HR proessionals were asked to
rate the importance o 25 aspects o the work
environment commonly associated with employee
job satisaction using a our-point scale where 1
represented very unimportant and 4 repre-
sented very important. Components o employee
job satisaction in order o importance by employees
and HR proessionals are illustrated in Figures 1, 2
and 3.
Signs o an economic recovery appeared to have
very little eect on the aspects most important
to employee job satisaction. These aspects have
remained stable since 2008, with ew dierences in
their ranking order.Job securitywas ound to be the
most important aspect o job satisaction, according
to employees. Other aspects identiied by em-
ployees as most important to their job satisaction
were benefits, opportunities to use skills and abilities,
organizations financial stability, the work itselfand
compensation/pay(see Figure 2).
Relationship with immediate supervisorremained
at the top o HR proessionals list o contributors
to employee job satisaction. Other aspects in HR
proessionals top ive list were job security, commu-
nication between employees and senior management,
organizations financial stabilityand opportunities to
use skills and abilities. Beneits, which ranked second
on the employees list this year, placed seventh on
HR proessionals list. Data are depicted in Figure 3.
Survey Results
Figure 1 | Top 5 Very Important Aspects o Employee Job Satisaction (Employees and HR Proessionals)
1 2 3 4 5
Job security63%
Benefts60%
Opportunities
to use skillsand abilities
56%
The work itsel;
organizationsfnancial stability
54%
Compensation/pay53%
Employees
Relationship
with immediatesupervisor
72%
Job security
69%
Communicationbetween
employees and seniormanagement
65%
Organizations
fnancial stability64%
Opportunities
to use skillsand abilities
62%
HR Proessionals
(n = 1,177)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Figure 2 Very Important Aspects o Employee Job Satisaction (Employees)
63%
60%
54%
48%
56%
53%
48%
46%
42%
38%
33%
17%
38%
34%
22%
35%
28%
41%
34%
26%
36%
31%
54%
51%
47%
Job security (1)
Benefts (2)
The work itsel (4)
Relationship with immediate supervisor (7)
Opportunities to use skills and abilities (3)
Compensation/pay (5)
Management recognition o employee job perormance (7)
Autonomy and independence (9)
Flexibility to balance lie and work issues (10)
Relationships with co-workers (12)
Organizations commitment to proessional development (16)
Organizations commitment to a green workplace (21)
Meaningulness o job (12)
Career advancement opportunities (15)
Networking (20)
Variety o work (14)
Organizations commitment to corporate social responsibility (18)
Overall corporate culture (11)
Job-specifc training (15)
Paid training and tuition reimbursement programs (19)
Contribution o work to organizations business goals (13)
Career development opportunities (17)
Organizations fnancial stability (4)
Feeling sae in the work environment (6)
Communication between employees and senior management (8)
(n = 600)
Note: Figure represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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8 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Figure 3 Very Important Aspects o Employee Job Satisaction (HR Proessionals)
72%
69%
62%
49%
65%
61%
49%
48%
46%
44%
34%
9%
46%
34%
19%
40%
22%
46%
35%
19%
41%
32%
64%
60%
49%
Relationship with immediate supervisor (1)
Job security (2)
Opportunities to use skills/abilities (5)
Job-specifc training (8)
Communication between employees and senior management (3)
Management recognition o employee job perormance (6)
Overall corporate culture (8)
Compensation/pay (9)
Career advancement opportunities (10)
Organizations commitment to proessional development (11)
Paid training and tuition reimbursement programs (15)
Organizations commitment to a green workplace (19)
Flexibility to balance lie and work issues (10)
Meaningulness o job (15)
Organizations commitment to corporate social responsibility (18)
The work itsel (13)
Variety o work (17)
Career development opportunities (10)
Autonomy and independence (14)
Networking (18)
Relationships with co-workers (12)
Contribution o work to organizations business goals (16)
Organizations fnancial st ability (4)
Benefts (7)
Feeling sae in the work environment (8)
(n = 577)
Note: Figure represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Top Five Aspects o Job SatisactionMost Important to Employees
1Job SecurityIt is not surprising that with the economic
climate remaining unstable, employees con-
tinue to choose job security over all other
aspects o job satisaction. According to SHRMs
Labor Market Outlook (LMO) report or the
second quarter o 2010, 11% o organizations plan
to decrease sta in the second quarter o 2010 and
59% plan to maintain current sta levels.1 Employees
are understandably ocused on avoiding unemploy-
ment in this generally weak labor market. However,
improved hiring conditions could eventually aect
this job satisaction actor. Forty-three percent o
HR proessionals surveyed in the LMO or Q2
reported optimism about job growth in the second
quarter o 2010. And according to the SHRM
Leading Indicators o National Employment (LINE)
survey or April 2010, hiring expectations were up
or the sixth consecutive month in both manuactur-
ing (a net o 52.4% hiring) and service sectors (a net
o 42.9% hiring). LINE tracks monthly changes in
U.S. manuacturing and service-sector jobs.
Employees were asked how certain actors have
inluenced their sense o job security in the current
economic climate. Nearly one-hal o employees
indicated that their proessional abilities/skills (49%)
and the importance o their job to their organiza-
tions overall success (42%) increased their sense o
job security (see Figure 5).
There was overall agreement on the importance
o job security to employee job satisaction across
employee demographics. It topped the list or em-
ployees 18 to 64 years o age, but not or employees
over 65. Job security was also the most important
aspect by gender, job level and tenure (or more de-
tailed data, see Tables 5 through 9 in the appendix).
There were, however, some dierences by employee
job level: job security was more important to non-management and middle-management employees
than to employees in executive-level positions.
2BeneitsThe unstable economy, the rising cost o
health care and potential impact o health
care legislation, along with altering retire-
ment beneits, are major concerns or employees.
In a 2010 SHRM study, 18% o organizations
reported that they have reduced employee beneits
as a means to cut costs. Among the beneits reduced
were health care coverage or employees, health carecoverage or employees spouse/dependents and
workplace lexibility. In the same study, 31% o HR
proessionals indicated that their organization was
likely to reduce employee beneits oerings i the
economy did not improve.2 So while beneits have
not been the target o budget cuts or most orga-
Figure 4 Importance o Job Security
Very unimportant Unimportant
2% 0% 2% 2%
33%
63%
29%
69%
Important Very important
Employees (n = 593) HR Proessionals (n = 573)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
nearly oe-halo employeeidicated thattheir proeioalabilitie/kill(49%) ad theimportace otheir job to theiroraizatio
overall ucce(42%) increasedtheir sense ojob security.
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10 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
nizations, that may change i the economic orecast
or companies does not start to brighten.
The 2010 employee job satisaction study ound
that beneits remain an important contributor to
employee job satisaction. Beneits have ranked
among the top two aspects o job satisaction or
employees since 2002 (Table 1). Beneits ranked as
the top contributor to job satisaction or employees
65 years o age and older and were also the highest
ranked contributor or more tenured employees
(16 years or more o tenure), who may have earnedsubstantial vacation days, paid time o and pension
earnings. Dierences emerged based on employees
gender and organization sta size. Female employ-
ees were more likely than their male counterparts to
report beneits as an important aspect o job satisac-
tion. Employees rom large organizations, which,
according to the 2010 SHRM Employee Benefits3
report, tend to have greater beneits oerings, were
more likely to indicate that beneits were important
to them, compared with employees rom small orga-
nizations (see Table 3).
The same percentage o employees and HR proes-
sionals (60% each) indicated that beneits were
very important to job satisaction. In 2010, as in
2002, beneits did not make the list o the top ive
employee job satisaction actors as perceived by HR
proessionals (Table 2).
Employers use beneits as one o the tools to recruit
and retain top talent. HR is tasked with inding the
right mix o employee beneits that satisy personal
and inancial needs o the current and potential
workorce, given existing business conditions and
cost constraints. It is important or organizations to
take into account and anticipate the needs, preer-
ences and makeup o their workorce when consid-
ering beneits oerings. Finding a cost-eective and
aordable beneits package is particularly chal-
lenging, given the high costs o oering beneits,
particularly health care.
Figure 5 Factors Increasing Employees Sense o Job Security
Proessional abilities and skills
Relationship with immediate supervisor
Organizations past practice o layos
Management eorts to avoid layos
Communication between employees and management
Status as a unionized employee
Importance o job/role to organizations success
Organizations fnancial standing
Organizations industry afliation
Length o service at organization
Employment status (ull-time, part-time, etc.)
Organizations location
49%
42%
36%
28%
38%
32%
28%
22%
37%
31%
25%
22%
(n = 500)
Note: Figure represents those who answered actor increased their sense o job security at their present organization.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Beneits or employees can include a wide array
o perks and other oerings; however, o primary
importance to many employees are health care, paid
time o, retirement and amily-riendly beneits.
These beneits were urther examined to learn
about their importance to employee job satisaction,
and these data are illustrated in Figure 7.
Beneits most important to employee job satisac-
tion are health care/medical benefits. Roughly equal
proportions o employees and HR proessionals
reportedpaid time offas the second most important
beneit. Adefined benefit pension planand family-
friendlybenefitsare more important to employees
than HR proessionals indicated in their rankings.
Figure 6 Importance o Benefts
Very unimportant Unimportant
1% 0%5%
1%
34%
60%
39%
60%
Important Very important
Employees (n = 555) HR Proessionals (n = 576)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Beet rakeda the topcontributor tojob satisactionor employee 65year o ae adolder.
Figure 7 Very Important Benefts Aspects
Health care/medical benefts
Family-riendly benefts
Defned contribution plans (401(k), 403(b), etc.)
Paid time o
Defned beneft pension plans
65%
73%
43%
23%
62%
34%
33%
65%
43%
20%
Employees (n = 545) HR Proessionals (n = 540)
Note: Figure represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important. Not
applicable responses were excluded.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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12 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Q: Is there one single actor that you, as an HRproessional, see as important regarding employee
job satisaction or 2010?
A: Oe actor i job tability. The ecoomy, layo,job coolidatio, etc., have all cotributed to a
ueay eeli o ucertaity i the workplace.
Wae reeze, ecalati health iurace cot,
co-worker bei laid o have all cotributed to thi
ueaie. It dicult to keep employee moti-
vated duri thee tryi time.
Q: In your opinion, looking toward stronger eco-nomic times, how important to employee engage-
ment and productivity are such actors as benefts,
career development, compensation, economic
climate, employee relationships with managementand/or work environment?
A: The ecoomic climate ad employee relatio-hip with maaemet are importat i eai,
ocui ad motivati employee. Employee look
to their upervior ad maaer or iormatio about
the buie ad their uture. Year ao, I leared
that i employee were ive the ame iormatio
a upervior, 90% o the time they would reach the
ame cocluio ad olve the problem i the ame
maer a their upervior. The other 10% o the
time they would implemet a better olutio.
I the abece o accurate ad timely iorma-
tio rom their maaer, employee will tur to
co-worker, ale people ad outide ource or
iormatio that may or may ot be accurate. May
employee will allow their imaiatio to ru wild
ad ote lite to ad believe the more vocal em-
ployee, whether the iormatio i accurate or ot.
Maaer are bet erved by hari timely ad ac-
curate iormatio, whether the ew i ood or bad.
Employee jut wat to kow the truth o they ca
prepare ad pla accordily a they eek to have
ome cotrol o their eviromet. They alo wat
a ee o beloi. Mot employee will hadle
the truth ad repod i a proeioal maer. Likemaaer, employee dot like urprie.
Q: What are the top three actors o employeejob satisaction that are important in your business
sector?
A: I the mauacturi ector, employee wattimely, accurate iormatio, a maaer who pro-
vide employee the tool they eed to complete
their job, ad a upervior who care about them
ad treat them with diity ad repect.
Q: When you consider the role o HR as achampion or eective and successul employee
relations, what areas do you view as the most
important or employee job satisaction?
A: A HR practitioer, we mut be eaily acce-ible, be actively ivolved i the buie, et out o
the foor ad iteract with our people. We hould be
litei to udertad, howi that we euiely
care ad oeri to help whe appropriate. Mot o
the time, employee jut wat u to lite.
Q: What do you consider to be the key leader-ship opportunities or HR today to promote overall
employee job satisaction?
A: HR proeioal eed to acilitate actio/chae withi their oraizatio. We alo eed to
uide upervior to talk with their employee ad
help them to iorm ad educate their employee.
InsIgHTs
David Koesters, SPHRHuma Reource Maaer, Macor
sHRM Employee Relatio special Expertie Pael
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
There were dierences across employee demograph-
ics. Health care/medical benefitsand retirement
benefitswere valued more by employees at large
organizations compared with those at small orga-
nizations. More tenured employees placed greater
value on retirement benefitsthan did employees who
are relatively new to their organizations. Female
employees placed more value on health care/medical,
family-friendlyandpaid time offbeneits than their
male counterparts did (see Table 4).
The signiicant drop in the stock market in late2008 led to great losses in retirement savings or
many Americans, especially Baby Boomers and older
workers, who may need to continue working past
retirement age because their retirement beneits are
no longer what they expected. In a 2009 survey by
SHRM, 68% o HR proessionals reported that there
has been an increase in the number o employees
planning to extend their retirement date due to
the recession.4 Many orecasters predict that Social
Security and deined beneit pensions will either be
inadequate or unavailable to many employees by the
time they leave the workorce. These actors aloneare troubling, yet studies have shown that em-
ployees are also not saving enough or a inancially
secure retirement. More organizations are adopting
technology to help their employees with various
aspects o their retirement planningor example, by
automatically enrolling employees into deined con-
tribution plans unless they opt out and implementing
investment advice programs that provide a range o
services tailored to participants needs. According
to SHRMs 2010 Employee Benefitsreport, 39% o
employers oer automatic enrollment o employees
into deined contribution plans. This is an increase
compared with 2006 (30%). For more detailed
inormation about the types o beneits and trends
in beneits oerings over the last six years, see the
SHRM 2010 Employee Benefitsresearch report.
3Opportunities to UseSkills/Abilities
Almost six out o 10 employees rated op-
portunities to use skills/abilities as the third
most important contributor to their job satisaction
(see Figure 8). This is the highest that this category
has been since 2004, when it was irst added to the
list o aspects important to employee job satisaction.
It was ith in the HR proessionals list. It is gener-
ally thought that employees eel good about their
jobs when they are utilizing their skills and abilities
and contributing to their organization. This aspect
is also related to the highest-rated contributor to jobsatisactionjob security. When asked about their
sense o job security in the current economic climate,
almost hal o employees indicated that their proes-
sional abilities/skills and the importance o their job
(role) to their organizations overall success increased
their sense o job security (Figure 5).
Figure 8 Importance o Opportunities to Use Skills and Abilities
Very unimportant Unimportant
1% 0%4%
2%
39%
56%
36%
62%
Important Very Important
Employees (n = 603) HR Proessionals (n = 584)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
68% o HR proessionals reported that there has been an
increase in the number o employees planning to extend their
retirement date due to the recession.SHRM Poll: The U.S. Recession and Its Impact on Employee Retirement
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14 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
4Organizations FinancialStability & the Work ItselTwo actors tied or the ourth spot on
the list o most important contributors to
employee job satisaction: organizations inancial
stability and the work itsel.
Organizations Financial StabilityThe global recession aected the workplace in a
signiicant way. Industries and organizations once
thought to be stable collapsed, and some looked
to the ederal government to bail them out o theirinancial bind. Unemployment in the United States
reached a high o 10% in October 2009.5 According
to this study, 30% o employees indicated that they
oten (10% very often and 20% often) think
about the prospect o losing their current job. Is it
any wonder that one o the top ive contributors
to employee job satisaction is the organizations
inancial stability? Employees (54%) and HR proes-
sionals (64%) both ranked it as ourth on their lists
o contributors to job satisaction (see Figure 9).
The organizations inancial standing was chosen
by 32% o employees as one o the actors that
increased their sense o job security (see Figure 5).
The ranking o the organizations inancial stability
varied across employees demographics (see Tables59). Employees with three to ive years o tenure
rated it, along with beneits, as the second top con-
tributor to their job satisaction. There were no sig-
niicant dierences within employee demographics.
Figure 9 Importance o Organizations Financial Stability
Very unimportant Unimportant
1% 0%5%
2%
40%
54%
34%
64%
Important Very important
Employees (n = 596) HR Proessionals (n = 573)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 10 Importance o the Work Itsel
Very unimportant Unimportant
0% 0%4% 3%
42%
54%57%
40%
Important Very important
Employees (n = 600) HR Proessionals (n = 572)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Femaleemployee weremore likely thamale employeeto elect thework itsel as acontributor tojob satisaction.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
The Work Itself
It can be diicult or employees to remain moti-
vated and satisied with their jobs when their work is
not interesting, challenging or exciting. In gen-
eral, a similar proportion o employees have rated
this aspect as very important over the years. More
than hal (54%) o employees indicated that the
work itsel was very important to job satisaction,
compared with 40% o HR proessionals. These data
are illustrated in Figure 10. This is the second time
in the past three years that employees ranked the
work itsel among the top ive contributors to jobsatisaction.
Gender was the only employee demographic where
there were dierences or this aspect. Female
employees were more likely than male employees
to select the work itsel as a contributor to job
satisaction.
5
Compensation/PayCompensation has consistently remained as
one o the top ive job satisaction actors
most important to employees, but in 2010,it ranked lower than in previous years as actors
like the work itsel and the organizations inancial
stability moved up. During a period o economic
uncertainty, HR proessionals continued to perceive
relationship with immediate supervisor, communi-
cation between employees and senior management
and job-speciic training as more important to em-
ployees than compensation. This is not to downplay
the importance o compensation, because almost
hal o HR proessionals indicated that this aspect
is very important to employee job satisaction. It
may be that while HR proessionals see the value o
this aspect to employee job satisaction, they also
understand that the employees relationship with
his or her immediate supervisor and an open line
o communication with senior management are
integral to job satisaction, especially now, when
employee morale may be low. Employees who are
compensated well but have a poor relationship with
their supervisor may be more likely to be rustrated,
less productive and dissatisied.
Due to the economic climate, many organiza-
tions made changes to their operational budgets,
and some o these changes had a direct impact on
compensation/pay. According to a poll conducted
by SHRM in March 2010, organizations roze
employee wage increases, cut bonuses, reduced
employee work hours with pay reduction or sa lary
reduction and demoted employees to lower-pay
positions.6 When employees were asked i they had
received a pay raise (e.g., merit increase, cost o
living increase) within the last 12 months, 45% re-ported receiving a raise and 37% indicated that they
received bonus (Figure 12).
Even though compensation has consistently ranked
among the top components important to employee
job satisaction, it is unlikely that employees view
it in isolat ion rom other actors. To better under-
stand how various elements o compensation actor
into employee job satisact ion, employees and HR
45% oemployeesreportedreceiving araise ad 37%idicated thatthey receivedbou withi thelat 12 moth.
Figure 11 Importance o Compensation/Pay
Very unimportant Unimportant
1% 0%4%
1%
42%
53%51%48%
Important Very important
Employees (n = 580) HR Proessionals (n = 579)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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16 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
proessionals were asked about our common com-
ponents o compensation (see Figure 13).
Being paid competitively with the local market:x To
attract the best employees, companies must research
the market in their area to ensure that their salaries
match up against their competitors. A similar propor-
tion (50%) o employees and HR proessionals rated
this aspect as very important.
Base rate of pay:x 47% o employees and 38% o
HR proessionals viewed base rate o pay as very
important to employee job sat isaction. Employees
rom large organizations were the most likely to
perceive this aspect to be important to employee
job satisaction than were employees rom small
organizations (see Table 4).
Opportunities for variable pay (bonuses, commis-x
sions, other variable pay, monetary rewards for ideas
or suggestions):Variable pay, or dierential pay, is not
added to the employees base pay and is dependent
upon perormance. This allows organizations to bet-
ter control their labor costs and tie perormance and
pay together. More than a third o employees (39%)
and 29% o HR proessionals reported that this
aspect was very important to job satisaction.
Figure 13 Very Important Compensation Aspects
Being paid competitively with the local market
Opportunities or variable pay
Base rate o pay
Stock options
50%
50%
39%
7%
47%
29%
38%
16%
Employees (n = 543) HR Proessionals (n = 511)
Note: Figure represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important. Not
applicable responses were excluded.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Careeradvancementwa moreimportat oremployeei middlemaaemet-level poitiotha or
omaaemetemployee.
Figure 12 Compensation Change in the Last 12 Months
Yes No
45%
37%
55%
63%
Received pay rise (n = 526) Received bonus (n = 492)
Note: Not applicable response were excluded rom this analysis.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Stock options:x This is another orm o compensa-
tion that organizations oer to their employees.
Only 16% o employees and 7% o HR proessionals
rated stock options as very important. Employees
rom large organization were the more likely to per-
ceive this aspect to be important to employee job
satisaction than employees rom medium organiza-
tions (see Table 4).
Results o Other IndividualEmployee Job Satisaction Aspects
Career Development
The irst series o questions employees and HR pro-
essionals were asked ell under the category o ca-
reer development. Career development encompasses
employees continually taking part in more advanced
or diverse activities (e.g., training, networking,
etc.) that result in employees improving their skills,
gaining new skills, taking greater responsibility at
work, improving their status or increasing their
income. Employees rated only one o the actors in
career developmentopportunities to use skills and
abilitiesin the top ive very important contributors
to job satisaction.
Career Advancement Opportunities
Within Organization
As illustrated in Figure 15, 47% o HR proession-
als and 34% o employees reported that this actor
was very important. Career advancement was moreimportant or employees in middle management-
level positions than or nonmanagement employees.
This aspect was also a higher priority or Generation
X employees (between 31 and 45 years o age) than
or Baby Boomers (46 to 64 years o age). These
data are shown in Table 3.
Figure 15 Importance o Career Advancement Opportunities
Very unimportant Unimportant
3%0%
20%
4%
43%
34%
49% 47%
Important Very important
Employees (n = 604) HR Proessionals (n = 589)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 16 Importance o Job-Specifc Training
Very unimportant Unimportant
3%0%
13%
3%
50%
34%
48% 49%
Important Very important
Employees (n = 599) HR Proessionals (n = 584)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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Married Men LessSatisfed With Their Jobs
Married employees had dierent perspectives on the ranking o thetop fve contributors to job satisaction. Married male employeeshighly rated opportunities to use skills and abilities in their workand
married emale employees ratedjob securityas their top contributor.
Married emale employees valued eeling sae in the work environmentand married male employees included organizations nancial stability
in their top fve list. Contributors common to the top fve lists o both
married men and married women includedjob security, opportunities to
use skills and abilities, the work itsel, benets and compensation/pay,
although in varying order (see Table 17). Equally important to both mar-
ried sexes were health care/medical benets, at 63%. Married emale
employees were more likely than married male employees to report fex-
ibility to balance lie and work issues and amily-riendly benets as very
important in determining their level o job satisaction (see Table 18).
Compensation/paywas among the top fve job satisaction contributors
or both male and emale married employees. In order to determine i the
recession had an impact on employee pay, employees were asked i they
have been in their jobs or the past 12 months, and i so, i they had re-
ceived a pay raise in that year. A similar proportion o married men (47%)
and women (45%) reported that they had received a pay raise within the
last 12 months. However, married men were more likely to report receiv-
ing a bonus within the last 12 months than were married women. In act,
married male employees were the overall employee demographic that
was most likely to have received a bonus during the previous year.
Married emale employees, compared with married male employees,
were more likely to be very satisfed overall with their current job (45%
and 39% respectively). The current economic climate does appear to
have aected overall satisaction or married employees. Married men
(32%) were more likely than married women (20%) to report eeling less
satisfed with their current job as a result o difcult economic conditions.
Figure 14 | Top 5 Very Important Aspects o Job Satisaction by Employee Marital Status
1 2 3 4 5
Opportunitiesto use skills/abilities
57%
Job security
56%
Benefts,organizations
fnancial stability53%
Compensation/pay,
the work itsel,autonomy and
independence50%
Communicationbetween employees
and senior management47%
Male
Job security66%
The work itsel60%
Feeling sae
in the work environment,opportunities to use
skills/abilities
57%
Benefts54%
Relationship withimmediate supervisor,
compensatory/pay
52%
Female
Note: Table represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
18 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Career advancement opportunities were reported
as an important aspect o employee job satisaction
more requently by HR proessionals in large organi-
zations compared with respondents in small and
medium organizations. It was also reported as more
important by HR proessionals in publicly owned
or-proit organizations compared with privately
owned or-proits and nonproits.
Job-Specific Training
Employers may o er job-speciic training to provide
employees with the relevant skills to enable themto perorm their duties eiciently. The immediate
application o skills acquired through such training
may boost employee conidence and productivity.
Slightly more than a third (34%) o employees and
almost hal (49%) o HR proessionals viewed job-
speciic training as very important to employee job
satisaction (see Figure 16).
Organizations Commitment to
Professional Development
One-third (33%) o employees indicated that an
organizations commitment to proessional develop-
ment was very important to employee job satisac-
tion, compared with 44% o HR proessionals. These
data are depicted in Figure 17. Although employees
welcome opportunities to participate in training
paid or by their employers, HR proessionals have,
or the past eight years, predicted this aspect to be
more valuable than employees indicated. Proessional
development opportunities (e.g., attending trainingor conerences, obtaining certiications) are meant to
develop or enhance employees skills and knowledge
so that they can use this inormation in their current
positions, build their resume or uture jobs and
meet their personal goals.
Figure 18 Importance o Career Development Opportunities
3%0%
17%
6%
49%
31%
48% 46%
Very unimportant Unimportant Important Very important
Employees (n = 602) HR Proessionals (n = 587)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 17 Importance o Organizations Commitment to Proessional Development
Very unimportant Unimportant
2% 1%
13%
5%
52%
33%
50%
44%
Important Very important
Employees (n = 604) HR Proessionals (n = 586)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
34% o HRproeioalreported thatproeioaldevelopmetor employeewa amothe activitiesaected
by budgetcuts in theirorganizations.
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20 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
While HR proessionals see the value o this
contributor to employee job satisaction, it was not
recession-proo in many organizations. According
to a SHRM poll on the U.S. and global recession
and its impact on organizations, 34% o HR pro-
essionals reported that proessional development
or employees was among the activities aected
by budget cuts in their organizations. In the same
poll, 41% o HR proessionals indicated that i the
current inancia l challenges to the U.S. and global
economy continue, their organizations will likely
or very likely cut proessional development oremployees.7
Career Development Opportunities
Through on-the-job learning experiences, cross-
training opportunities, stretch goals and other
mechanisms to utilize skills beyond what is normal
or required by ones position, employees can
enhance their skills and competencies. These
prospects help employees determine the next step
in their career either within or outside o the
organization. A lmost one-third (31%) o employees
and 46% o HR proessionals indicated that careerdevelopment was very important when assessing job
satisaction. These data are depicted in Figure 18.
Dierences emerged among employees age,
tenure and gender. This aspect was a higher
priority or employees aged 35 and younger than
or employees aged 46 to 64. It was more impor-
tant to employees with three to ive years o job
tenure than to employees who had been with their
organizations or 16 or more years. Employees in
middle-management positions were more likely
to tie career development opportunities to job
satisaction compared with employees in executive
positions. Female workers also appeared to place
more value on this component. These data are
shown in Table 3.
Paid Training and Tuition Reimbursement
More than one-third (34%) o HR proessionals,
compared with 26% o employees, perceived paid-training and tuition reimbursement as important
to employee job satisaction (Figure 19). Training
helps employees and their employers. In a 2010
SHRM study, HR proessionals reported that
their organizations oered educational assistance
to their employees: 62% oered undergraduate
educational assistance and 56% oered graduate
educational assistance.8 Employees rom large or-
ganizations value this actor more than employees
rom small organizations do, and employees 30
years and younger appear to place more impor-
tance on this component than do employees 45-to 64-years-old (Table 3).
Networking
This aspect o job satisaction was viewed by both
employees and HR proessionals among the least
important to employee job satisaction, as shown in
Figure 20. Only 22% o employees and 19% o HR
proessionals saw networking as very important to
Figure 19 Importance o Paid Training and Tuition Reimbursement Programs
6%2%
24%
10%
44%
26%
54%
34%
Very unimportant Unimportant Important Very important
Employees (n = 605) HR Proessionals (n = 585)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
employee job satisaction. Networking may not be
particularly important to employee satisaction, but
building alliances can be valuable when looking or
job leads or clients. Through networking, employees
can obtain career-related guidance and beneit rom
the experiences and perspectives o others.
Employee Relationship
With Management
Throughout the years this survey series has been
conducted, HR proessionals have tended to rank at
least two o the aspects rom this category (relation-ship with immediate supervisorand communication
between employees and senior management) in the top
ive very important aspects o employee job satisac-
tion, whereas employees have placed somewhat less
importance on these actors.
Relationship With Immediate Supervisor
The supervisor-employee relationship has consis-
tently been rated the most important contributor
to job satisaction by HR proessionals or the last
seven years (Table 2). Approximately one-hal (48%)
o employees have rated this aspect as very impor-tant over the years, compared with 72% o HR
proessionals (Figure 21). In 2010, this element was
rated the most important out o the 25 aspects o
job satisaction by HR proessionals, while it did not
make the top ive or employees (Tables 2 and 1,
respectively).
The relationship an employee has with his or her
supervisor is a central element to the employees aili-
ation to the organization, and it has been argued that
many employee behaviors are largely a unction o
the way they are managed by their supervisor. When
there are open lines o communication (e.g., encour-
aging an open-door policy), supervisors can respond
more eectively to the needs and problems o their
employees. Employees who have positive relationships
with their supervisors, where they eel sae and sup-
ported, may be more likely to share with their super-
visor job-related problems or even personal problems,which can be barriers to employee productivity. It is
also important that supervisors set clear expectations
and provide eedback about work perormance so as
to avoid any potential rustrations or issues.
This aspect was seen as more important by middle-
management employees compared with nonmanage-
ment employees (see Table 3).
Management Recognition of
Employee Job Performance
Acknowledging employees perormance throughpraise (private or public), awards and incentives is be-
lieved to be a cost-eective way o increasing employ-
ee morale, productivity and competitiveness. Almost
hal (48%) o employees and 61% o HR proessionals
indicated that this aspect was very important to em-
ployee job satisaction (see Figure 22). Employees in
middle-management positions were more likely to tie
Figure 20 Importance o Networking
Very unimportant Unimportant
4%1%
23%20%
51%
22%
60%
19%
Important Very important
Employees (n = 602) HR Proessionals (n = 581)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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22 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
this actor to their overall job satisaction compared
with employees in nonmanagement positions.
It is a commonly held belie that employees will eel
more committed to an organization i they believe that
their eorts are valued. This is even more relevant dur-
ing challenging economic times, when employees are
expected to do more with ewer resources.
Communication Between Employees
and Senior Management
Almost hal (47%) o employees and 65% o HR
proessionals reported that communication between
employees and senior management was very impor-
tant to employee job satisaction (see Figure 24).
Communication between employees and senior
management has consistently made the list o top ive
elements o employee job satisaction as perceived by
HR proessionals. It could be that HR proessionals
understand that eective communication rom senior
management, especially during times o uncertainty,
can provide the workorce with direction, dispel
rumors and promote trust.
HR proessionals were asked what measures their
organizations were taking to keep employee job
satisaction high during uncertain economic times.Encouraging open communication between su-
pervisors and employees (58%) and ostering open
communication with employees regarding the orga-
Figure 21 Importance o Relationship With Immediate Supervisor
Very unimportant Unimportant
2%0%
6%1%
44%48%
27%
72%
Important Very important
Employees (n = 601) HR Proessionals (n = 583)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 22 Importance o Management Recognition o Employee Job Perormance
Very unimportant Unimportant
2% 0%
8%3%
42%
48%
36%
61%
Important Very important
Employees (n = 600) HR Proessionals (n = 587)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Eectivecommuicatiorom eiormaaemet,epeciallyduri time oucertaity, caprovide theworkorce with
direction, dispelrumors andpromote trust.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
nizations inancial standing (43%) were the top two
measures they reported.
Employees need to be encouraged to pose ques-
tions and bring orth suggestions and concerns to
management. There are various mechanisms that
can be used to encourage eedback and commu-
nication rom employees to senior management,
such as employee attitude surveys, ocus groups
and suggestion boxes. In addition, employees can
meet with their supervisors one on one to discuss
any matters, regularly or as needed, and this can beused as a means o upward communication.
Likewise, it is important or senior management
to communicate with employees so that employees
understand the organizations strategy, business
goals, policies and vision, and are apprised o what
is going on in the organization. It can be particu-
larly challenging or large organizations to keep the
lines o communication clear and to keep employees
inormed o the pertinent business decisions and
strategies. Senior management can reduce these
potential obstacles by keeping employees well-inormed through companywide meetings and the
use o technology in top-to-bottom communica-
tions (e.g., CEO blog, intranet mechanisms and
e-mails).
Dierences related to this actor emerged by em-
ployee gender and job level. Employees in middle-
management positions were more likely to tie this
aspect to their overall job satisaction compared
with employees in nonmanagement positions.
Female employees also placed more value on this
component (Table 3).
Autonomy and Independence
Autonomy and independence reer to the degree to
which a job provides an employee with reedom,
lexibility and discretion to make decisions, such asscheduling the work and determining how it is to
be done. Increased autonomy can give employees a
greater sense o responsibility or the outcomes o
their work and, in turn, may increase their satisac-
tion. Forty-six percent o employees and 35% o HR
proessionals stated that this was a very important
job satisaction actor (see Figure 25).
There were dierences by employee organization
size and job level. Employees rom small and large
organizations perceived this aspect as more impor-
tant than employees rom medium organizations.Employees in middle-management positions valued
this aspect more than employees in nonmanage-
ment positions.
Figure 24 Importance o Communication Between Employees and Senior Management
Very unimportant Unimportant
2% 0%
7%3%
44%47%
32%
65%
Important Very important
Employees (n = 602) HR Proessionals (n = 587)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
It i importator eiormaaemet tocommuicatewith employeeo thatemployeeunderstand theorganizations
strategy,business goals,policies andvision, ad areappried o whati oi o i theoraizatio.
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24 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Does Age Matter?
Each o the our generations currently in theworkorce brings dierent perspectives tothe workplace. Are there generational dierences
when it comes to the actors that contribute to
employee job satisaction?
The survey ound thatjob securitywas ranked high-
est by the youngest employee demographic group,
while the oldest employee segment rated benets
as their top contributor to job satisaction. While
there were some dierences in the top fve con-
tributors across the generations, similarities were
more requent. All our generations rated benets
among their top three contributors to job satisac-
tion. However, the importance o some generally o-
ered employee benefts was divided sharply along
generational lines. No employees 65 years o age
and older considered amily-riendly benets to be
very important to their job satisaction, whereas
many employees younger than 65 (between 32%
and 40%) viewed these types o benefts as very
important. This illustrates a broader pattern: com-
pared with younger employees, workers over the
age o 64 generally place less importance on most
employee benefts aspects.
Other common determinants o employee jobsatisaction across the generations were: oppor-
tunities to use skills/abilities, the work itseland
the organizations nancial stability. Employees
over the age o 64 were most likely to rank items
rom the relationship with management category as
most important to their job satisaction. These data
are depicted in Figure 23 and in Tables 6 and 16 in
the appendix.
Another notable fnding is that overall job satisac-
tion appears to increase with age. As a result, em-
ployees aged 65 and older are the most satisfed
age group: 61% o employees in this age group
reported that they were very satisfed with their
jobs compared with only a third o employees aged
30 and younger.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Figure 23 | Top 5 Very Important Aspects o Job Satisaction by Employee Age
1 2 3 4 5
Job security69%
Benefts60%
Opportunities to useskills/abilities
58%
The work itsel56%
Organizationsfnancial stability
54%
Millennials(born ater 1980)
Job security66%
Benefts62%
Compensatory/pay,organizations fnancial
stability
59%
The work itsel55%
Opportunities to useskills/abilities
53%
Generation X(born 1965-1980)
Job security61%
Opportunities to useskills/abilities
59%
Benefts58%
The work itsel,eeling sae in thework environment
53%
Organizationsfnancial stability
52%
Baby Boomers(born 1946-1964)
Benefts44%
Relationship with
immediate supervisor,communication betweenemployees and senior
management
36%
Opportunities to useskills/abilities,the work itsel
35%
Organizationsfnancial stability,
autonomy
32%
Compensation/pay30%
Veterans(born beore 1946)
Note: Table represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important.
Source:2010 Employee Job Satisaction (SHRM, 2010)
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26 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Work Environment
The inal group o questions asked employees and
HR proessionals to rate various work environment
components on their level o importance to overall
job satisaction. Employers understand that employ-
ees spend a air amount o their time at work and
take steps to ensure the work environment is con-
ducive or employees to be productive and satisied.
Feeling Safe in the Work Environment
While at work, employees expect their employers to
take measures that ensure their saety. About one-hal o both employees and HR proessionals (51%
and 49% respectively) indicated that eeling sae in
the work environment was very important to em-
ployee job satisact ion. Female employees consider
eeling sae in the workplace an especially important
job satisaction actor.
With saety and security threats ranging rom terror-
ism and violence in the workplace to public health
issues and workplace accidents, it is not surprising
that employees are concerned about workplace
saety. This, in turn, may lead to greater expectations
o employers to protect their workorce rom major
threats. A number o employers have taken steps to
improve their saety and security systems and disaster
preparedness plans. In a SHRM poll conducted inSeptember 2009, 64% o HR proessionals reported
that their organizations had in place disaster pre-
paredness plans that would go into eect in the event
o an H1N1 or other lu virus outbreak.9
Figure 26 Importance o Feeling Sae in the Work Environment
Very unimportant Unimportant
2% 0%
7% 5%
40%
51%45%
49%
Important Very important
Employees (n = 600) HR Proessionals (n = 575)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 25 Importance o Autonomy and Independence
Very unimportant Unimportant
1% 1%6% 4%
47% 46%
60%
35%
Important Very important
Employees (n = 602) HR Proessionals (n = 547)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Q: Is there one single factor that you see asimportant regarding employee job satisfaction
for 2010?
A: Commuicatio. A the ocu o uio oraiz-i icreae, eective iteral commuicatio
vehicle will be key or oraizatio.
Q: In your opinion, looking toward stronger eco-nomic times, how important to employee engage-
ment and productivity are such actors as benefts,
career development, compensation, economic
climate, employee relationships with management
and/or work environment?
A: Two key elemet o employee eaemet
ad productivity are employee relatiohip withmaaemet ad a udertadi that there i
room to row i the oraizatio. Employee who
repect their maaer ad udertad that they
have opportuitie or uture rowth will work hard
ot oly or that maaer but or the oraizatio a
a whole a they trive to obtai their career oal.
Q: What are the top three factors of employeejob satisfaction that are important in your busi-
ness sector?
A: The top three actor o employee job atiac-tio are eective commuicatio tool, maae-
met-employee relatio ad wae ad beet.
I ome o my more recet uio oraizi drive,
poor commuicatio ad maaemet-employee
relatio were leadi driver or employee uret.
Employee wat to eel repected i their poitio
ad kow that they have a voice i the oraizatio.
Q: When you consider making changes to youremployee policies and practices, which areas
would you focus on in order to promote and/or
increase overall employee job satisfaction?
A: I would ocu o fexibility i cheduli. To theextet eaible, employee are demadi fexible
chedule a careivi repoibilitie oly icreae.
Employer that oer fexible work arraemet will
likely eerate lo-term tability i their labor orce
ad icreae i productio.
Q: When you consider the role of HR as achampion for effective and successful employee
relations, what areas do you view as the most
important for employee job satisfaction?
A: Eective commuicatio. Without a voice i theoraizatio, employee are ot eaed, committed or
dedicated to remaii employed with the oraizatio.
Aother area i fexibility ad a poitive work eviro-
met. A eviromet that i ope, fexible ad a u
place to work will eerate eormou reult i term
o employee atiactio, productio ad retetio.
Q: When undertaking change managementinitiatives to improve overall employee job
satisfaction, what do you see as key areas to
develop, focus on and/or update?
A: I thik fexibility i the work chedule ad e-ective commuicatio are key to poitive employee
job atiactio. I would ocu o thee two area a
oraizatio udertake chae maaemet iitia-
tive i 2010.
InsIgHTs
Chad P. RichterAttorey at Law, Jacko Lewi LLP
sHRM Employee Relatio special Expertie Pael
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28 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Flexibility to Balance Life and Work Issues
Organizations may have dierent deinitions o
work/lie balance, but generally speaking, through
lexible work arrangements, the organizational
objective is to ensure that employees eel success-
ul both at work and at home. Flexibility to balance
work and lie, also reerred to as work/lie balance,
was selected by a similar proportion o employees
and HR proessionals (46%) as very important
(Figure 27). Female employees (55%) placed greater
value on this aspect than male employees (38%) did.
Workplace lexibility includes a speciic set o
organizational practices, policies, programs and a
philosophy that help employees meet the demands
o their work and personal lie. Initiatives can take
the orm o health and wellness support, inancial
support, paid and unpaid time o, and workplace
lexibility. These types o beneits oerings are
urther explored in SHRM research reports titled
Workplace Flexibility in the 21st Century: Meeting the
Needs of the Changing Workforceand 2010 Employee
Benefits. Flextime (oered by 49% o responding or-
ganizations), some orm o telecommuting (ad-hoc,
part-time or ull-time basis) (44%) and compressed
workweeks (34%) are examples o ways in which or-
ganizations provide lexibility or their employees.10
During challenging economic times, employers
may use workplace lexibility as one o their ways o
reducing costs, accomplishing business goals, andrewarding and retaining employees. Oering job-
sharing and introducing ull-time telecommuting or
employees to save on building and maintenance costs
were among the changes organizations made within
the past six months as a result o the economic reces-
sion, according to a 2010 SHRM poll.11 The same
poll shows that companies are exploring workplace
Figure 27 Importance o Flexibility to Balance Lie and Work Issues
Very unimportant Unimportant
2% 1%
12%9%
40%
46%44%
46%
Important Very important
Employees (n = 553) HR Proessionals (n = 549)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 28 Importance o Overall Corporate Culture
Very unimportant Unimportant
1% 0%
7%3%
51%
41%
48% 49%
Important Very important
Employees (n = 599) HR Proessionals (n = 574)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Oeri job-hari aditroduciull-timetelecommutior employeeto save onbuilding andmaintenance
costs wereamo thechaeoraizatiomade withi thepat ix motha a reult othe ecoomicreceio.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
lexibility options as a way to reduce costs. Four
percent o organizations reported that i the economy
continues to decline, job-sharing would likely be
implemented and 20% would likely implement ull-
time telecommuting.12 In another SHRM study o
employees, a quarter o respondents cited lexible
work arrangement beneits in the top three beneits
their employers could oer to help them cope with
current or possible increase in gas prices.13
Overall Corporate Culture
Figure 28 looks at the overall corporate culturetheorganizations reputation, work ethics, values and
working conditionsas it relates to job satisaction.
The deinition o corporate culture varies, but in
general, culture consists o the collective attitudes
and behavior o individuals within the organiza-
tionthe explicit and implicit expectations, norms
o behavior and standards o perormance. Forty-
one percent o employees and 49% HR proessionals
believed that corporate culture was very important
to job satisaction. Female employees (47%) placed
greater value on this aspect than male employees
(36%) did (see Table 3).
Meaningfulness of Job
When employees ind their work to be meaning-
ul and ulilling, they are more likely to be satis-
ied and do their work well. Some people derive
meaning through giving back to their community.
When asked about the meaningulness o ones job
(the eeling that the job contributes to society as awhole), 38% o employees, compared with 34% o
HR proessionals, believed that this aspect was very
important to overall job satisaction (see Figure 29).
HR proessionals in the nonproit sector perceived
this aspect to be more important to employee job
satisaction compared with HR proessionals in pub-
licly owned or-proit and privately owned or-proit
2010 Top
Healthand SaetyTrends
The increased threat o global pandemic issues, such as the H1N1 lu virus, will place greater1.
emphasis on the need or organizational disaster planning.
A growth in the incidence o workplace aggression will inluence employee saety policies.2.
The ongoing rise in both employer and employee health care costs will sustain and encourage an3.
increase in the use o workplace wellness programs.
Workers compensation claims and litigation will continue to be on the rise, resulting in the need or4.
more proactive management o saety in the workplace.
Saety compliance issues will increase and demand more attention rom HR.5.
Work/lie balance issues will continue to inluence employee stress levels.6.
The rising threat o raud and identity thet will require more employer vigilance in protecting em-7.
ployee data and privacy.
An increase in the number o employees using prescription medications and/or illegal drugs will8.
continue to emphasize the need or more proactive monitoring systems and support programs.
The rise in workplace violence will lead to an increased awareness and proactive stance among9.
organizations to ensure worker saety and mitigate liability.
The rise in mental health issues and illnesses, such as chronic depression, will continue to aect10.
workorce productivity and require increased organizational intervention.
Note: Trends sorted in order o importance with the frst trend being the most important.
Source: Future Insights: The top trends according to SHRMs HR subject matter expert panels (SHRM, 2009)
Flextime (oered by 49% o responding organizations), some orm o telecommuting
(44%) and compressed workweeks (34%) are examples o ways in which
organizations provide lexibility or their employees.2010 Employee Beneits: A Research Report by SHRM
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30 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
sectors. Likewise, this aspect was deemed more im-
portant by emale employees than by male employees
(Table 3). Organizations can make a concentrated
eort to communicate the ways in which the em-
ployees and the organizations work contributes to
society, including any corporate social responsibility
and sustainability activities that the organization may
be involved in.
Relationships With Co-Workers
Figure 31 examines relationships with co-workers
and their impact on employee job satisaction.Depending on the type o position, there are some
jobs where employees work predominately on their
own, while other jobs involve regular collaboration
with co-workers. Regardless, projects oten require
employees to work together to accomplish a common
goal, and teamwork skills are generally important or
success. According to 38% o employees and 41%
o HR proessionals, this actor is very important to
employee job satisaction. Female employees placed
greater value on this aspect than male employees did
(see Table 3).
Contribution of Work to the
Organizations Business Goals
Contributing to the organizations business goals was
viewed by 36% o employees and 32% o HR proes-
sionals as a very important aspect o employee job
satisaction. Contributing to the organizations overall
business goals can give employees a clearer sense o
their role (i.e., how their work its into the bigger pic-
ture) and the signiicance and relevance o their work
to business goals. As a result o the uncertain economic
climate, 42% o employees reported that the impor-
tance o their job (role) to their organizations overall
success increased their sense o job security (Figure 5).
Compared with those in nonmanagement positions,
employees in executive-level positions rated this acet as
more important.
Variety of Work
It has been argued that employees will be more
satisied with their jobs and ind their work moremeaningul when there is variety in activities and
the utilization o dierent skills. Similar to the
work itsel aspect, this includes providing em-
ployees with opportunities to work on new kinds
o assignments that call upon or develop a range o
skills and abilities. HR proessionals underestimat-
ed the importance o this component to employee
satisaction: 36% o employees, compared with
22% o HR proessionals, indicated that variety o
work was very important. These data are shown in
Figure 33.
Organizations Commitment to
Corporate Social Responsibility
An organizations commitment to corporate social
responsibility (CSR) involves balancing inancial
perormance with contributions to the quality o
lie o its employees, the local community and soci-
ety at large. A broad range o practices and activities
all under the umbrella o CSR, such as charitable
Figure 29 Importance o Meaningulness o Job
Very unimportant Unimportant
1% 0%
11% 12%
50%
38%
54%
34%
Important Very important
Employees (n = 603) HR Proessionals (n = 573)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
According to the Bureau o Labor Statistics, in 2008, 59.5% o the people
in the workplace were women. O the women participating in the labor
orce, 71% had children under age o 18.14
With so many women in the workplace, it is important to examine the ac-
tors that make their work satisying. As illustrated in Figure 30, the top fve
contributors to job satisaction or women are:
Job security.1.
Beneits.2.
Feeling sae in the work environment.3.
Organizations inancial stability and the work itsel.4.
Opportunities to use skills/abilities.5.
The top job satisaction actors or emale employees were generally in line
with the top fve actors or all employees, except or their high ranking o
eeling sae in the work environment(61%) as one o their top contribu-
tors (see Table 11).
O the 25 job satisaction actors rated as very important, emale employ-
ees reported that they were very satisfed with the meaningulness o their
job, relationship with co-workers and contribution o work to organiza-
tions business goals. A third o emale employees said they were least
satisfed with communication between employees and senior manage-
mentand compensation/pay(see Table 14).
Among the compensation and benefts aspects rated by employees as very important, health care and medical benets were
rated as very important to job satisaction by 70% o women. However, only 37% o emale employees reported being very
satisfed with their current package o health care and medical benets. Women workers were most satisfed with their fex-ibility to balance lie and work issues andpaid time o. They were least satisfed with being paid competitively with the local
market, even though 52% indicated that this actor was very important to their job satisaction (see Table 15).
Female EmployeesSatisfed With How TheirJob Contributes to Society
Figure 30 | Top 5 Very Important Aspects o Job Satisaction by Employee Gender
1 2 3 4 5
Job security
60%
Opportunitiesto use skills
and abilities55%
Benefts
54%
Compensation/pay
52%
Organizations fnancialstability
51%
Male Employees
Job security67%
Benefts66%
Feeling sae in the workenvironment
61%
Organizationsfnancial stability,the work itsel
58%
Opportunitiesto use skillsand abilities
57%
Female Employees
Note: Table represents those who answered very important. Percentages are based on a scale where 1 = very unimportant and 4 = very important.
Source: 2010 Employee Job Satisaction (SHRM, 2010)
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32 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
donations, cause marketing/branding and partner-
ing with environmentally r iendly suppliers/compa-
nies. As shown in Figure 34, 28% o employees and
19% o HR proessionals rated the organizations
commitment to corporate social responsibility as
very important.
Organizations commitment to CSR is growing.
According to a poll conducted by SHRM, 46% o
HR proessionals in 2010 compared with 35% in
2005 reported that their organization is matching
employee contributions via company-organizeddonation program to aid in disaster relie eorts.15
Organizations that practice corporate social respon-
sibility have a stronger appeal or some employee
demographics, particularly emale employees.
Organizations Commitment to a Green Workplace
This aspect o job satisaction was viewed by both
employees and HR proessionals as the least impor-
tant contributor to employee job satisaction: 17%
o employees believed the organizations commit-
ment to a green workplace, one that is environ-
mentally sensitive and resource-eicient, was very
important, compared with 10% o HR proessionals
(see Figure 35). Organizations commitment to
a green workplace, although ranked as the least
important actor, could grow in importance as the
demographic makeup o the workplace continues tochange with an increasing number o Generation
Y workers entering the workorce. According to
a SHRM poll on green workplace, the three top
drivers o environmentally responsible programs,
Figure 31 Importance o Relationships With Co-Workers
Very unimportant Unimportant
2% 0%
7%
2%
53%
38%
57%
41%
Important Very important
Employees (n = 589) HR Proessionals (n = 571)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 32 Importance o Contribution o Work to Organizations Business Goals
Very unimportant Unimportant
0% 0%
8%6%
56%
36%
62%
32%
Important Very important
Employees (n = 600) HR Proessionals (n = 572)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Oraizatiothat practicecorporate ocialrepoibilityhave a strongerappeal orsome employeedemographics,particularly
emaleemployees.
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2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
as reported by employees, were contribution to
society, environmental considerations and economic
considerations.16
Overall Employee Job Satisaction
Most management experts and business lead-
ers agree that when employee satisaction is very
high, it translates into increased productivity,
commitment and retention or organizations. In
2010, employees continued to be satisied with
their jobs, with 44% saying they were somewhatsatisied and 40% indicating they were very
satisied. HR proessionals perceived employees as
more likely to be somewhat satisied (73%) than
very satisied (16%). These data are depicted in
Figure 36.
The overall level o satisaction o employees has
been consistently avorable over the years and reveals
that employees are more satisied with their jobs now
than they were eight years ago (in 2002, when the
irst Job Satisaction Survey was conducted). Figure
37 illustrates the trend data on overall employee
satisaction rom 2002 to 2010. There were dier-
ences along employee demographics. More tenured
employees (16 years or more) were more satisiedthan less tenured employees (two years or less).
Executives were also more satisied than middle- and
nonmanagement-level employees (see Table 11).
Figure 33 Importance o Variety o Work
Very unimportant Unimportant
1% 1%
11% 13%
52%
36%
64%
22%
Important Very important
Employees (n = 602) HR Proessionals (n = 571)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Figure 34 Importance o Organizations Commitment to Corporate Social Responsibility
Very unimportant Unimportant
3% 2%
15%18%
54%
28%
61%
19%
Important Very important
Employees (n = 601) HR Proessionals (n = 573)
Source: 2010 Employee Job Satisaction (SHRM, 2010)
Employees continued to be satisied with their jobs,
with 44% saying they were somewhat satisied and 40%
indicating they were very satisied.
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34 2010 Employee Job Satisfaction Ivetiati What Matter Mot to Employee
Employees were asked about their satisaction level
with their current job given the current economic
climate. More than one-hal o employees reported
that the current economic climate has not made a
dierence in their satisaction levels; that is, they
are not more or less satisied. However, more
employees in 2010 (28%) than in 2009 (22%)
indicated that they were less satisied with their
jobs given the economic climate (see Figure 38).
Because o the recession, organizations resources
have been stretched, and some employees may be
eeling atigued and dissatisied. One hal (50%) oemployees whose organizations have not been a-
ected by the current economic climate were over-
all very sat