Eternal loyalty towards the company?
We are confronted with a new reality which we cannot avoid – ever shorter employment relationships. What should we do? Engage in strategic and long-term thinking, because a fundamental change of values takes time.
A career where, for example, you do an apprenticeship at SBB, work there for a while, at some point get promoted and eventually retire is a rarity today. As a global average, employees stay with the same employer for approximately four and half years before moving on. For members of generation Y the figure is around half of that. German Ramirez, who recently held an interesting talk on the subject of employer branding 2.0 and digital transformation, sees the reasons for this in the so-called “crazy ings”, i.e. outsourcing, downsizing, restructuring, offshoring, which are responsible for the end of a paradigm – the workplace for life.
Loyalty in both directions
From the employee’s point of view it’s a simple calculation: “If the company isn’t loyal to me, I won’t be loyal to it.” Full stop. This attitude has become entrenched among employees. Loyalty towards a company is no longer the top priority, people are more flexible and oriented towards tasks rather than companies. Companies therefore risk losing key employees. This applies first and foremost for the talent of the future. In order to hold on to them, fundamental changes in the corporate culture are required.
Caterpillar wings
However, changes in the culture are not easy to achieve. Far-reaching adjustments are required. A table football game is not enough, any more than a couple of coloured cushions in the corner near the break room. These things are cosmetic, almost as if you were to stick wings to a caterpillar to turn it into a butterfly. We all know that more than a couple of wings are required to turn a caterpillar into a butterfly. This metaphor – which by the way I also got from German – can be directly applied to a change in corporate culture.
Forward ever, backwards never
In the study of history, the term “watershed” is used to refer to the end of one era and the beginning of a new one, a dividing line which of course can only be precisely established in retrospect. Nevertheless, it isn’t difficult to see that a change is occurring. It manifests itself increasingly clearly. The new reality lies before us and the road towards it is direct. It goes forwards and turning back is not an option. For a company which wants to continue to be successful in the future, there is actually only one possibility, that of transformation.
Picture: Mantas Hesthaven CC0
Published 29.03.2017 © Brandsoul AG
Comments
Eveline van der Schaaff
How to achieve this duly noted required fundamental change in values? This goes beyond a change in employee-employer relationship and requires social-economic and even institutional change as our current societal model won’t function. Whose values need change?
Let’s stick with employee motivation and optimal use of Human Resources in the current situation. While the employer needs flexibility and dedicated, skilled workers, the employee needs to secure a certain level of income, a challenge and may be interested in flexibility. To satisfy both needs a creative, out-of-the-box solution is required…What transformation do you suggest? We can see that the current trend of independent consultants/ self employed is leading to impoverishment and a social burden.
Maybe a cross sector talent pool with a guaranteed minimum income and social security might be an idea? Guaranteed by participating companies.
Mauro Werlen Post author
Thank you for your thoughts, Eveline.
Indeed, this goes beyond a change in employee-employer relationship. Still, that relationship needs to be fostered: Employees should be more involved, so the emotional engagement is higher. At the same time we need to lower boundaries between employee and employers, in order to encourage entrepreneurial behaviour within the company structures. This way we can create a safe environment for independent and entrepreneurial initiatives without the risks of being fully self-employed. As you put it correctly, unemployment and social stress are possible side effects of such an endeavour. A work environment that offers both freedom and a safety net could be a solution. Emotional engagement would certainly be higher and with that an intrinsic motivation to do things and activate people at the work place. Eventually, this can lead to satisfied needs and therefore more loyalty towards the work environment: the company that is ready to transform this way.