A recent report launched by creative brand agency, The Foundation, has revealed that employers need to consider their employer brand as a source of marginal gains as they look to retain and attract new talent.
“In the face of fierce competition, organisational culture and team buy-in can give businesses the competitive edge that they need to attract new talent”, comments Brendan Gallen, Strategy Director of The Foundation
Conducted with approximately 1,500 employees across Ireland, the UK and the USA, The Foundation’s employee research has revealed that:
- 26% of employees feel their company lacks a strong culture
- 36% of employees do not feel valued by their company
- Over one quarter (26%) of respondents do not fully understand their organisation’s purpose
- One in three (36%) ‘flight risk’ employees (those who intend to leave their job) say that they do not feel valued by their organisation
- One in four (24%) of new employees feel negatively about their organisation’s onboarding process
Brendan Gallen further explains:
“It’s an intensely competitive environment with rising costs, both for organisations and for employees, and there are considerable pressures on personal finances. Companies need to find a competitive edge, and when we drilled down into what is making a difference for employees, it’s not just about money, but about feeling valued within a business, understanding the company’s purpose and values, and employees being supported. This is the new currency in the workplace.”
It’s long been known that first impressions count, and as the report revealed, almost a quarter of new employees do not reflect fondly on their onboarding process. However, the report also reveals that there is much to celebrate as it’s clear that many organisations are working hard to create positive cultures, with a sizeable majority of respondents (65%) saying that they feel either ‘very’ or ‘extremely’ valued by their organisation.
“Many top-performing businesses have long understood the benefits of ‘employee experience’ or EX as it’s known, but the value of EX to organisations is only now becoming much more mainstream as businesses who have encountered the recruitment challenges of the last few years, look to future-proof their workforces and talent pipeline,” adds Brendan.
EX is the overarching term for Employer Branding, Internal Communications and Employee Experience, and The Foundation’s report clearly demonstrates that by focusing on purpose and culture, employers can make gains in terms of attracting the right talent, securing buy-in, boosting morale, and ultimately achieving a happier more productive workforce.
Commenting on the third research paper in its consumer-led ‘Building Better Insights’ series, The Foundation’s Commercial Director, Erin Nixon says:
“Purpose, values and company culture are the rich areas where the marginal gains live. There’s clear evidence that employees who are actively contributing to their workforce and buy into the organisation’s mission and goals will stay within that business for longer.”
“This is exactly why we invest in research. Our campaigns are informed by real insight. We need to understand what audiences are thinking, and data-driven insights help to mould and build successful Employee Experience campaigns which not only attract talent but importantly build stronger teams.”
Unsurprisingly, out of the aptly named ‘Flight Risk’ employees – those who say they are most likely to leave their current organisation within 12 months – over half (57%) say that they are not living their purpose at work, and one in three (36%) say that they do not feel valued by their organisation.
“In times of economic uncertainty, rising costs and pressures on income, it’s even more important to focus on EX,” adds Erin Nixon. “Supporting employees to help boost morale and taking care of teams during tough times often leads to increased loyalty, productivity and cost savings in the long-run if retention remains high,” concludes Erin.
In summary, Brendan adds:
“Organisations need to ask themselves, does their purpose and the values that underpin it, truly reflect the business and people that make up their organisation? A big part of our work is getting to the bottom of that question and building employee campaigns that unite people, from all areas in the business around a shared goal.”
Over 1500 employees across the island of Ireland, the UK and the USA participated in the online survey which was conducted in late 2022.
