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5 Reasons People Leave Their Employer

The rapid changes in technology and business conditions have generated numerous reasons, real and perceived, for employees to leave their jobs at regular intervals.

Employee satisfaction is always important

At first glance, the following seems a bit odd. Back in the 1950s, 1960s, and early 1970s, companies had the reputation of being primarily autocratic employers, often using a "my way or the highway" philosophy with employees. Yet, people typically stayed with their employers for many years. Fast forward to the new millennium. Most companies espouse employee empowerment, work/life balance, and team building, yet people seem to change employers as often as they change casual Friday clothing.

This apparently confusing paradox has generated many words and theories, few of which actually identify the problems. The answer is actually quite simple and straightforward. Two essential differences exist in the business community then and now.  

Previously, there existed real long-term planning on the part of both employer and employee. Without a climate of merger mania, overseas exporting of jobs, and a primary focus on short-term returns to satisfy stockholders, senior management, even with an authoritarian philosophy, concentrated on the long-term development, stability, and profitability of their companies. Most employees knew (or at least "felt") this focus on the long-term.

This provided a high degree of "comfort" with their jobs and employers. They understood that, should they make a mistake or have a "bad week", their job was not in jeopardy. Most employees were not expected to work six to seven days per week, sometimes 65 to 85 hours. There was a joint long-term security mentality with both employer and employee.

Although few "hot" new theories and buzzwords were in vogue, many employers exhibited a sincere concern for their employees. While believing that every family was like Ozzie and Harriet Nelson or Ward and June Cleaver is naïve. Most would agree that the decades after World War II, at least until the mid-1980s, were a simpler, less stressful period in the world of business.

Employers often had the welfare of their employees at or near the top of their priority lists, even though they didn't profess to be following new theories. In a manufacturing-based economy, the larger companies employed hundreds, if not thousands, of people. Management seemed to realise that productivity was enhanced if their workforce was basically satisfied with their jobs.

The fundamental change in business focus to short-term profitability, the loss of millions of jobs to computers and overseas manufacturing, and the more frequent economic "spikes", including the valleys, has changed employee mentality from security to insecurity. Insecurity breeds stress and dissatisfaction in all environments. This situation has led to a number of miscommunications and working condition changes that cause people to leave their current employers at a rapid rate.

The top 5 reasons employees leave their jobs

  1. Employees feel unrecognised and unappreciated - Employees believe they are not only expendable pawns in the greater game, they believe they don't even receive a simple "Thank you" when they've performed admirably. The lack of appreciation is also often displayed in the level of compensation offered.

  2. Employees believe there is little hope for career advancement or career growth - Unlike some years ago, they feel that there are distinct "classes" of employees, and many jobs offer little opportunity to advance with their employer, or with their career, while they remain in this job.

  3. Employees believe that their current position is not what it was represented to be during the interview phase - Many employees believe they received an unrealistic or incorrect job description when they applied for their position. Many employees have responded that this was a critical reason they began to test the market again, as they felt a general lack of trust in their employer.

  4. Employees are overworked and totally stressed out at their jobs - Many people perceive an overwhelming lack of respect for themselves and their work/life balance issues. It is ironic that this perception is one of the primary reasons for leaving employers, when so many are publicising the fact that work/life considerations are a priority for them. Employees, apparently, have decided that, in many cases, this is more rhetoric than fact.

  5. Employees perceive a serious lack of coaching and/or mentoring from their employers - Some experts believe this is a classic case of a "perfect storm" situation. The rapidity of technological changes and the focus on short-term success has caused increased competition for the best jobs and the requirement for ever more talented employees. This has spurred the increased need for more feedback, training, and mentoring, which many employees feel is lacking at their current employer. A related common employee complaint is that the majority of feedback they receive is negative in content, neither encouraging nor enlightening. 

The pendulum has moved 180 degrees from the mid-twentieth century.  The employee philosophy of two-way loyalty, directing them to look at their job, their industry, and their employer as a long-term relationship has been replaced by employees' expecting consideration, coaching, understanding, and rapid advancement opportunities.

It is interesting to note that compensation, per se, is not a component of the five primary reasons people leave their jobs and move on. Employees at all levels have a better understanding of compensation budgets, what their expertise may be worth, and, how to use sophisticated, effective professionals to assist in their search for new employers. As a result, people are more comfortable with income issues. They do, however, have concern for the issues listed above which have become paramount to their job satisfaction.

It behoves employers to understand and respect these concerns. If they can address these issues effectively, they will enjoy less turnover and a more productive staff.



All content in this article (c) 2008 Kelly Services (Australia) Ltd. Reprinted with permission from the original article at www.smartmanager.com.au. Request your copy of Kelly Services Employment Outlook and Salary Guide for more information on key trends affecting employers today.
First published: 10 July 2008.
Last updated: 10 July 2008.