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Study: Workers cite employee benefits top reason to stay

By Jenny Ivy

Published 11/2/2009 » More From This Issue

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Benefits packages, followed by financial compensation, are the top motivators keeping employees committed to their jobs, according to a new study from Spherion.

But managers have a different view on what’s driving retention, and experts say the disconnect could lead to higher turnover as the economy improves, hiring rates increase, and workers seek out employers that can offer them greater workplace satisfaction.

According to The 2009 Spherion Emerging Workforce Study, employers believe management climate, supervisor relationships and company culture are the driving forces behind retention.

The conflicting viewpoints have resulted in only a fraction (24 percent) of workers who say they are very satisfied with their growth and earnings potential at their current employer, and 27 percent say they are very satisfied with their compensation levels.

“Despite the significant changes that U.S. employers and workers have witnessed over the past few years, we see that there has been surprisingly little change in how both perceive the workplace and the employer-employee relationship,” said Roy Krause, Spherion president and CEO in a press release.

It's a growing trend analysts at Spherion have noticed over the past 12 years, and Krause says this could mean workers’ perceptions of their employment situations and expectations of their employers aren't largely impacted by what’s going with the economy.

As companies look to cut benefits in an effort to minimize recession impact, Krause warns taking that route might do more damage to talent retention in the long run.

"It is imperative that HR executives realize that the actions they take during a downturn will impact the bottom line and potential growth of their organization in an upturn," Krause said.

Drivers of Retention –

Employers: