Benchmarks & Trends, Best Workplaces, Company Culture, High-trust leadership, Pride
Trust that management will lay people off only as a last resort pays off in remarkable ways.鈥��&苍产蝉辫;
It鈥檚 hard to give your all at work when you鈥檙e worried that you鈥檙e next on the chopping block.
Stress and fear around layoffs has had a on employee mental health, productivity, and engagement. And when workers give and do less, businesses suffer.鈥�&苍产蝉辫;
What breaks that cycle? Trust in your workplace.鈥��&苍产蝉辫;
Workers who trust that management will lay people off only as a last result are more likely to look forward to work, give extra on the job, and adapt quickly to business changes, according to Great Place To Work庐 research.鈥��&苍产蝉辫;
Those high agility and productivity levels are relished by leaders at any time, but particularly during periods of economic uncertainty.
Employee trust in management around layoff decisions is one of many reasons the Fortune Best Workplaces in鈥疌hicago鈩�,鈥�Texas,鈥�New York, and the鈥�Bay Area outperformed typical U.S. workplaces across productivity, retention, and recruitment.鈥�&苍产蝉辫;
鈥淭his is why trust matters,鈥� says Michael C. Bush, CEO of Great Place To Work. 鈥淭his is how it shows up. It鈥檚 hard to stay motivated and be 鈥榓ll in鈥� when you wake up with fear and dread that you鈥檒l be out of a job.鈥濃��&苍产蝉辫;
But if employees believe layoffs are a last resort at their workplace, the quit rate is cut in half and motivation to come to work is 210% higher.
鈥淭hese workers trust their leaders to make tough decisions, and that comes from a reservoir of trust built long before hard times hit,鈥� Bush says.鈥�&苍产蝉辫;
What drives employee trust in management decisions around layoffs?
The top four drivers, according to Great Place To Work research, are confidence in the executive team, company pride, feeling welcomed, and a caring work environment.鈥��&苍产蝉辫;
Great Place To Work determined the Best Workplaces in鈥疌hicago,鈥疶exas,鈥疦ew York, and the鈥疊ay Area鈥痓y analyzing data and survey responses from more than 420,000 employees.鈥�&苍产蝉辫;
Feeling welcomed helps companies during downturns鈥��&苍产蝉辫;
Out of all the measures of the employee experience among the winning companies, feeling welcomed topped the list, with varying impact across regions.鈥�&苍产蝉辫;
Employees who felt welcomed when joining companies in the Bay Area and Texas are 40% to 50% more likely to recommend their companies, and employees who felt welcomed when joining companies in Chicago and New York are 10% to 30% more likely to be agile.鈥��&苍产蝉辫;
Making employees feel at home is one of the five areas of the employee experience critical to surviving and thriving amid downturns, according to a 15-year recession study from Great Place To Work. How welcomed employees felt predicted company performance.鈥�&苍产蝉辫;
There are many ways to help employees feel welcome, whether they鈥檙e new to your company or new to a team. The first step is to recognize the impact of a new teammate through introductory meetings that will spotlight their talents.鈥��&苍产蝉辫;
It鈥檚 also important to actively seek their ideas and input in decision-making instead of making them 鈥減rove鈥� themselves.鈥��&苍产蝉辫;
鈥淭hese workers trust their leaders to make tough decisions, and that comes from a reservoir of trust built long before hard times hit.鈥� - Michael C. Bush
Kimpton Hotels & Restaurants (No. 11 on the Best Workplaces in the Bay Area among large companies) asks new employees to fill out a personal preference profile to get to know them better right away.鈥��&苍产蝉辫;
The list of questions vary in complexity and depth, and includes questions such as: What do you like to do for fun when not at work? What鈥檚 your favorite food or snack? Tell us one thing that people would be most surprised to know about you.鈥���&苍产蝉辫;
When Lindsey Yealy, catering sales manager at the Hotel Monaco in Pittsburgh, started at Kimpton, she was blown away by the individualized welcome her managers gave her based on what they read. Here's how she felt about receiving a 鈥淲elcome to the Family鈥� postcard before starting:
鈥淚t was a small act of kindness that went such a long way for me. I had shared that I had Type-1 diabetes and mentioned bringing in some juice boxes to put in the communal fridge for my low blood sugar. Within the hour, I had my own personal mini fridge set up in my cubicle. Living and working with Type-1 diabetes is so stressful and challenging most of the time.鈥濃��&苍产蝉辫;
Knowing her team here was there to 鈥渉elp in any way makes a world of difference,鈥� she says.鈥�
Company pride fuels recruitment
Another metric leaders chase is recruitment. The ability to fill the pipeline with much-desired referrals is the result of giving people a workplace experience they鈥檙e proud of.
What drives those referrals? Pride. It鈥檚 the No. 1 recruitment driver across all regions.鈥��&苍产蝉辫;
Employees who feel high levels of company 辫谤颈诲别鈥� are 4.3 to 6 times more likely to recommend their company to others.鈥�&苍产蝉辫;
Pride also drives retention and is second only to meaningful work. Employees who feel pride are between 1.8 and 2.3 times more likely to stay, and those who feel their work is meaningful are 2.8 to 3 times more likely to stay at the company.鈥��&苍产蝉辫;
More than nine out of 10 employees across these four regions said they鈥檙e proud of their company鈥檚 reputation compared with six in 10 employees at a typical workplace.鈥��&苍产蝉辫;
Giving back to the community helps instill pride at NuStar Energy, No. 9 on the Best Workplaces in Texas list of large companies.鈥��&苍产蝉辫;
The company鈥檚 chairman, CEO, and executives work side-by-side with employees on volunteer projects that are organized by employee-run Volunteer Councils.
Weekly volunteer projects range from cleaning up parks and mentoring students to delivering meals to seniors and coordinating parties for children with disabilities.
NuStar also matches employees who want to serve on a nonprofit board with an organization that matches their interests, and supports them by providing contributions and other resources to the charity.鈥��&苍产蝉辫;
Building workplace pride is a competitive advantage, and is the result of consistent effort. Creating one of the best workplaces in the country can鈥檛 happen without prioritizing this often overlooked way to engage employees.鈥��&苍产蝉辫;
Regional workplaces improved in different ways
Here鈥檚 a look at how companies in each region created a great workplace for their people 鈥� and set them apart from the average.
- 2023 Best Workplaces in New York Offer Career Growth, Flexible Schedules
- Pride, Flexibility Stand Out for 2023 Best Workplaces in Bay Area
- 2023 Best Workplaces in Chicago Make Fairness Top Priority
- 2023 Best Workplaces in Texas Offer Inclusion, Balance
How to make the list
Think your company deserves special recognition? Get started here to become eligible for next year鈥檚 Best Workplaces鈩� honors.
