Survey Says Majority of Small Businesses believe Employee Morale Has Held Steady or Improved
Corporate Culture, Work/Life Balance and Job Security Cited as Strongest Contributors to Employee Happiness
SAN LEANDRO, Calif. (July 7, 2009) – Small businesses are making concerted efforts to maintain employee morale in turbulent times and they believe the work environment has more impact on employee satisfaction than financial factors like benefits or compensation, according to a quarterly survey of more than 250 small businesses.
Conducted for TriNet, a leading provider of human resources outsourcing services to small businesses, the TriNet quarterly HR Trends Survey found more than 75 percent of small business leaders said employee morale has held steady or improved in the second quarter. The single largest group of respondents (41 percent) believed that employee morale in their companies has remained unchanged from a year ago. Of the remaining respondents, 34 percent think employee morale has improved, while 24 percent said it declined.
The most commonly-cited contributor to employee morale is the company culture and reputation at 36 percent. Other major factors include flexibility and work/life balance (23 percent) and job security (22.3 percent). Surprisingly, most small business leaders did not believe employee morale was affected by advancement opportunities (4 percent), benefits (5 percent), or compensation (9 percent).
When it comes to the way employees perceive their company, the largest group of respondents (60 percent) said they successfully built and maintained a positive employment brand through good communication and quality management practices.
“These results prove that employees are happier and more likely to stay with their companies due to the quality of their management,” said Burton M. Goldfield, president and CEO of TriNet. “Companies that develop the skills of their leaders boost employee morale, which then positively contributes to the company’s overall employment brand.”
Goldfield says TriNet also recommends paying attention to fundamentals such as benefits and payroll as they remain important foundations for a thriving company culture. A total compensation package that includes both work environment and financial factors, like a comprehensive benefits package, will protect and expand an organization’s employer brand regardless of the economy.
The survey also found that while the intent to hire has diminished from late 2008, hiring was on a slight upswing over the past three months with more than 60 percent of respondents saying they are currently hiring or trying to attract talent (compared to 55 percent in Q1 2009).
The entire TriNet Quarterly HR trends report will be available on the HR Resources section of TriNet.com.
About TriNet Group, Inc.
TriNet provides strategic, cost-effective payroll, benefits, and HR outsourcing services to companies throughout the United States and Canada. TriNet specializes in helping small businesses reach their corporate goals and become destinations for top talent, enabling them to compete successfully with larger, more established organizations. TriNet’s comprehensive offerings include HR administration, online employee benefits administration and support, employer risk management, payroll processing, tax compliance, workers compensation, group health benefits, and strategic human capital consulting services. For more information about TriNet, visit http://www.trinet.com.