Workplace Dynamics But Not As We Know Them
Melbourne 14 April, 2009: With the announcements of yet more job losses, it’s not surprising that worries about job security are having a significant impact on the general working environment, and 90% of our workforce believe that unemployment is set to rise even further.
The latest survey to document the impact of the economic crisis in the workplace conducted by The MINT Organization*, also suggests that eight-out-of-ten working Australians believe that the economy is having a negative impact on their work environment – and not just for the short term, according to 81% of respondents who predict the downturn to continue for longer than 12 months.
The Changing Workplace Dynamic Survey of 500 full-time employees, randomly selected from the Qualified Opinions Research Panel also found that 75% of respondents have recently experienced increased workload or changed working conditions as a result of either redundancies or organizational restructuring. This message is strongest in the Gen Y/Baby Boomer demographics suggesting that Gen X/Middle Management employees may be bearing the brunt of job losses within the next six months.
Gen Y is well positioned to lead the economic turnaround.
“The current situation may be playing right into the hands of Gen Y,” says Dominic Toledo, General Manager, The MINT Organization. “Generational conflict first surfaced during the dot com boom but, with business models now again under review, who better to adjust to the new rules than Gen Y.”
Having lived through an era of uninterrupted prosperity, the research indicates that 82% Gen Y’ers consider that their jobs are secure. “They continue to spend money, are fundamentally more optimistic in their outlook and, importantly, are picking up the work of higher priced employees,” adds Toledo.
So, what of those left behind?
The impact on the remaining workforce is that employees are likely to disengage from the company, either due to demotivation resulting from absorbing additional workload for the same or less pay, and/or the fear for job security.
“Clearly, job security is of paramount importance to employees right now,” says Toledo. “In an uncertain economic environment, employers will need to take extra care in keeping employees engaged and motivated.”
In support of this Toledo cites changes in the primary job motivation of employees over the past 6 months – the survey revealed that job security is the leading motivator alongside remuneration at 29%, an increase of 62% over the past 6 months. The number of respondents citing remuneration remained unchanged suggesting a continued need to service household and personal debt.
Toledo indicates that such a fear for job security can act as a demotivator for employees, which may both result in a disruption to company culture and seriously impact a company’s bottom line through the indirect costs of reduced productivity, poor customer service and loss of critical skills.
At times like this, however, people are more receptive to messages and the Accounting & Financial Services sectors seem to have embraced this opportunity with 67% of their employees being provided with regular employee updates regarding the impact of the current economic situation. In fact, this sector provided the most positive outcomes across the board – joining the Construction Industry with an optimistic prediction that the economic downturn would last less than 12 months.
But, for the majority, communication is clearly an opportunity that is being missed; 43% of companies with >1000 staff members do not offer any form of communication to employees and an overwhelming 78% of employees have not received any type of reward or recognition in response to changed working conditions and increased workloads.
Time to do more with less.
Today’s workforce knows that the stability of their income depends on the stability of their company and, it seems, they are willing to give in the short term, to get in the longer term.
“Employers must continue to find ways to improve the work experience for their employees and align them with the company vision, or they may be faced with an unwelcome rise in employee departures when the economy improves,” adds Toledo.
ENDS.
* The Changing Workplace Dynamic Survey was commissioned by The MINT Organization and implemented by iLink throughout February, 2009. The objective of the research was to investigate the attitudes and perceptions amongst the Australian working population toward the current economic crisis.
The survey was conducted amongst 500 full-time employees who were randomly selected from the Qualified Opinions Research Panel. Employees surveyed were from the following business sectors; Accounting & Financial Services, IT & Communications, Manufacturing & Operations, Retail & Sales, Building/Engineering/Trades & Services.
About Dominic Toledo
Dominic Toledo is the General Manager of The MINT Organization.
Over the last decade, Dominic has developed sales & marketing strategies for a number of global organizations and has worked at the leading edge of change management and business improvement practices spanning a number of industries and sectors. More recently, Dominic has undertaken research into generational diversity in the workplace and motivational strategies for Generation Y employees.
Dominic is a regular presenter on business improvement and behavioural change trends at national forums and conferences, and has appeared in print media, on television and radio. Dominic has an Executive MBA from the Australian Graduate School of Management, is a Six Sigma practitioner and has worked in management assignments across Asia Pacific, Europe, North America and South Africa.
