New Study Finds Employee Motivation at Low Levels

by: Nichole Gunn March 21, 2011

A recent study published by Mercer finds that employee motivation is not up to par, and even less than it was prior to the recession. Employees feel cheated. A "reward perception gap" among workers has them viewing their incentives and rewards from employers as low end.

On the flip side, the majority of employers feel they are offering incentives and rewards programs that are competitive.

The Mercer study polled over 1,000 workers in 79 international companies and workers who feel engaged declined by 17% from a study conducted in 2006.

Discussing the situation with TheGrapeVineMagazine.com, UK head of Mercer’s human capital business Chris Johnson proposes that employee productivity is not necessarily dependent on employee motivation.

Johnson contends that “employers tend to overrate the importance of culture, career development, and training and development.” They are underrating how important sufficient pay and job security is to employees.

"Engagement is going to suffer if employees feel their needs are not being met. Companies may be concentrating their resources in the wrong area so are finding attraction, retention or motivation problematic," adds Johnson.

Employee retention is of growing concern to employers now that the economy is slowly showing signs of improvement. Businesses are fearful that employees will jump ship to take advantage of a recovering job market. To combat this possibility, companies are initiating new rewards programs, or tweaking existing ones to enhance employee loyalty and retention rates. As the economy improves, rewards and wellness programs will grow.


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