In its February 29 “Annual Regional and State Unemployment” news release, the Bureau of Labor Statistics had more good news to report regarding declining unemployment rates. Through 2011, annual average unemployment rates declined in 48 states and rose in only 2 states (Arkansas with a 7.9 jobless rate in 2010 and 8.0 rate in 2011); Mississippi (from 10.5 in 2010 to 10.7 in 2011) and the District of Columbia from (10.1 in 2010 to 10.2 in 2011). Employment-population ratios decreased in 24 states and the District of Columbia, increased in 19 states, and remained unchanged in 7 states. The national ratio continued to move down to 58.4 percent in 2011.

Regional Unemployment

In 2011, 30 states posted statistically significant unemployment rate decreases, the largest of which was in Michigan (-2.4 percentage points). Four additional states experienced decreases greater than 1.0 percentage point: Ohio (-1.4 points), Utah (-1.3 points), Oregon (-1.2 points), and Indiana (-1.1 points).

Northeast
The Northeast tied with the South in the third greatest regional decline in unemployment (-0.5 point each). The Northeast at 8.2, had rates significantly below the national rate of 8.9.

• New England Division (Connecticut, Maine, Massachusetts, New Hampshire, Rhode Island and Vermont): The New England region with an overall unemployment over-the-year reduction of -0.8 was second to the East North Central division for the largest decreases in 2011.
• Mid–Atlantic Division (New Jersey, New York and Pennsylvania): The Middle Atlantic also had rates significantly below the national average at 8.3.

Midwest
The Midwest experienced the greatest decline (-1.1 percentage points) in unemployment. The Midwest, at 8.4, had rates significantly below the national figure of 8.9. In fact, the East North Central division had the most significant reduction (-1.3) in the country.

• East North Central Division (Illinois, Indiana, Michigan, Ohio and Wisconsin): Michigan moved from the country’s second highest 12.7 unemployment rate in 2010 to 10.3 in 2011, the largest drop in the country. For the most part, this is attributed to a rebound in auto sales and to the fact that many unemployed workers have moved out of the state. Ohio also had a significant drop from a 10.0 rate in 2010 to 8.6 in 2011 for a reduction of -1.4.
• West North Central Division (Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota and South Dakota): The West North Central division again posted the lowest jobless rate, 6.6 percent down from a low 7.3 in 2010. Thanks to oil resources, agriculture and manufacturing, North Dakota still has the lowest unemployment rate in the country at 3.5 down from 2010’s 3.8.

South
The South tied with the Northeast for the third greatest regional decline in unemployment (-0.5 point each).

• South Atlantic Division (Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and West Virginia): The third highest divisional unemployment rate was the South Atlantic at 9.3 down from 9.9 in 2010.
• East South Central Division (Alabama, Kentucky, Mississippi and Tennessee): The second highest unemployment rate in the country was in the East South Central (9.4) division which was significantly above the U.S. average of 8.9. On the positive side, this number is still lower than the 9.9 posted in 2010.
• West South Central Division (Arkansas, Louisiana, Oklahoma and Texas): The West South Central division, however, with an overall unemployment rate of 7.7 had rates significantly below the national figure of 8.9.

West
The West, at 10.4 percent, was the only region with a jobless rate significantly higher than that of the U.S. in 2011.

Source: BLS

In 2011 unemployment rates declined across 48 states is a post from: LHH Workplace Economy

While the number of “quits” – or the measure of an employee’s ability to voluntarily change jobs – have declined slightly over the last month, year over year they’re beginning to inch up, meaning that more employees are developing the confidence to venture back out into the work force.

Experience indicates that when the economy is faltering, most employed workers hold on to their jobs even though they could be less-than-ideal fits. These once-nervous employees made calculated decisions to keep their heads down and plug away until the economy bounced back. However, as the economy now continues to improve, employees may begin to feel as if they’ve weathered the storm and can begin to put out feelers for something new. This is especially true for younger employees who may not have as much invested in an organization and/or position as a more experienced worker.

The latest “Job Opening and Labor Turnover” http://www.bls.gov/news.release/jolts.nr0.htm report from the U. S. Bureau of Labor Statistics shows a quit rate of 1.5% in January 2012, up from 1.4% 12 months ago. The number of quits rose to 2.0 million in January 2012 from 1.8 million at the end of the recession in June 2009, but still remains far below the 2.9 million recorded at the beginning of the recession in December 2007.

The total number of not-seasonally-adjusted quits in January 2012 increased slightly from January 2011 for total nonfarm, total private, and government. One region—the Northeast—experienced an increase in the number of quits over the year (from 1.0% in January 2011 to 1.3% in January 2012); the other regions had little change in the number of quits.

The number of quits will continue to rise as the economy improves. Consequently, now is the time to examine your company’s engagement initiatives. What is your organization doing to retain your best and brightest? Here are some suggestions on where to start:

• Educate managers on why individuals leave organizations, the cost of this lost talent, and the critical role that managers play in developing and retaining key employees. If you’re not monitoring and evaluating turnover statistics, you’ll find it difficult to develop strategies to counteract an exodus of employees.
• Invest in career development. This is especially critical to retain your younger employees. According to the BLS, on average, Gen Y employees only remain employed at a company for a year-and-a-half. They tend to be impatient and often become bored with routines, so organizations must offer career development opportunities to keep them interested, challenged and engaged. Employees without a career “path” can become complacent and soon look elsewhere for advancement.
• Train managers on how to coach team members to keep them motivated and aligned with the mission and strategies of the organization. Help managers learn and develop the tools, skills and confidence to identify, nurture and retain talent. Institute a process to assist managers in the development of action plans for retaining individual team members.
• Make sure your company lives its values. Many employees are searching for companies that demonstrate values similar to their own. They want to work for companies that are committed to the community and environment. They also want opportunities to participate in volunteer programs which provide opportunities to network with fellow colleagues, use their abilities to help others, and make a difference in their communities.
• Recognize and reward performance. Acknowledge efforts and success. Today’s employees seek advancement, so reward high performers with new projects that expand their skills.
• Offer competitive salaries and benefits packages. Research your competitors and salary/benefits in your region to see how your organization stacks up. Competitive salaries and benefits will not only help retain high performers, but it will aid in attracting the market’s best applicants.
• Foster a friendly company culture that encourages open communication between management and employees. Make your employees feel valued.

Prepare your organization now to weather the wave of “quits” anticipated during 2012.

As “quits” increase, organizations must revisit and revitalize their engagement strategies is a post from: LHH Workplace Economy

Job openings held steady with 3.5 million job openings at the end of January, essentially unchanged from December, 2011 the U.S. Bureau of Labor Statistics reported this week. The hires rate (3.1%) and separations rate (3.0%) changed little over the month. And although the number of job openings was still below the 4.3 million openings available when the recession began in December 2007, the number of job openings continues to trend upward and has increased 45% since the end of the recession in June 2009.

Snapshot of Annual Job Openings and Labor Turnover – January 2011 to January 2012

• Job Openings Level: 3,459,000 in Jan. 2012 up from 2,860,000 in Jan. 2011
• Job Openings Rate: 2.5% in Jan. 2012 up from 2.1% in Jan. 2011
• Hires Rate: 3.1% in Jan. 2012 up from 3.0% in Jan. 2011
• Turnover Rate: 3.0% in Jan. 2012 up from 2.9% in Jan. 2011
• Layoffs/Discharges Rate: 1.2%in Jan. 2012 up from 1.3% in Jan. 2011

Industries – Monthly Openings, Hires and Turnover

The “hires” rate increased over the year in mining and logging; arts, entertainment, and recreation; and state and local government.

Some key industries:

• Construction openings – while still lagging behind other industries – increased from 67,000 openings in 2011 to 82,000 in 2012 with new hires totaling 307,000 (5.5%) in Jan. 2012, down from 315,000 (5.7%) in December 2011. As of February, construction had added only 98,000 jobs from its post-recession low in January 2011. Turnover for January was 5.2% down from 5.5% in December 2011. The number of layoffs and discharges in construction rose slightly to 5.4% in January 2012 from 4.9% in December 2011, but was still a vast improvement over the 6.6% the construction segment registered in January 2010.
• Healthcare and social assistance openings improved from 443,000 in 2011 to 554,000 in 2012 with new hires in January 2012 totaling 419,000 (2.5%) up slightly from 414,000 (2.5%) in December. Turnover for January remained at 2.4% the same as last month, but an increase from January 2011’s 2.2%.
• Leisure and hospitality openings jumped from 294,000 in 2011 to 437,000 in 2012 with new hires totaling 768,000 (5.7%) up from 743,000 (5.5%) in December. Turnover in this sector increased from 4.7% in January 2011 to 5.2% in January 2012. The arts, entertainment and recreation segment of this industry registered a major increase with new hires steadily rising from 95,000 in January 2011 (5.0%) to 141,000 in December 2011 (7.0%) to 146,000 in January 2012 (7.6%).
• Manufacturing openings continue to rebound from January 2011’s 212,000 openings to 252,000 in December 2011 and 285,000 in January 2012. However, new hires in January 2012 were 246,000 (2.3%) down from December 2011’s 269,000 (2.1%). Turnover in manufacturing decreased from 2.0% in December to 1.8% in January.
• Professional and business services openings jumped from 478,999 in 2011 to 729,000 in 2012 with a slight decrease in new hires in January 729,000 (4.6%) from that of in December and 818,000 (4.8%) in January. Turnover decreased from 4.5% in December to 4.0% in January.

Source: BLS Job Openings and Labor Turnover Survey.

Job openings up 45% since the end of recession is a post from: LHH Workplace Economy

The BLS’s latest “Employment Situation Summary” reports that nonfarm payroll employment rose by 227,000 in February and the unemployment rate was unchanged at 8.3 percent. Several sectors, including professional and business services and healthcare services, continue to show strength. However, after two consecutive months of job growth, construction employment changed little in February and over the month, employment fell by 14,000 in nonresidential specialty trade contractors.

Hiring rose in a number of industries, including the following:

• Healthcare and social assistance: healthcare and social assistance employment increased by 61,000 over the month, with ambulatory care services adding 28,000 jobs and hospitals adding 15,000. Healthcare employment rose by 360,000 over the past 12 months and in February, social assistance employment also increased (+12,000).
• Leisure and hospitality: Over the past 12 months, food services added 531,000, rebounding from a low in February 2010. Employment in leisure and hospitality increased by 44,000, in February with nearly all of the increase in food services and drinking places (+41,000).
• Manufacturing: February figures indicate manufacturing employment rose by 31,000 in durable goods manufacturing, with gains in fabricated metal products (+11,000), transportation equipment (+8,000), machinery (+5,000), and furniture and related products (+3,000). Since its nadir in January 2010, durable goods manufacturing has added 444,000 jobs.
• Mining: Mining added 7,000 jobs in February, with most of the increase in mining-support activities (+5,000). Since a recent low in October 2009, mining employment has increased by 180,000.
• Professional and business services: While professional and business services showed the biggest gains in February with 82,000 jobs, over 50 percent occurred in temporary help services (+45,000). Computer systems design (+10,000) and in management and technical consulting services (+7,000) also showed gains. Employment in professional and business services has grown by 1.4 million since a recent low point in September 2009.

Source: BLS

Private sector job market growth continues to look bright is a post from: LHH Workplace Economy

Nearly one year after Japan’s devastating earthquake, the region continues to recover. But the picture was less bright in other parts of Asia-Pacific, as the economy slowed.

China:
China’s year-to-year Consumer Price Index (CPI) has steadily declined throughout the last few months. Back in August 2011, the nation’s CPI was 6.2 percent; by December it had dropped to 4.1 percent. Prior to the beginning of 2012, many economists had believed the downward trend would continue in January, projecting the CPI would decrease from 4.1 to roughly 3.9 percent. However, the trend reversed in January and the CPI rose to 4.5 percent, leading to uncertainty about country’s economic future.

Japan:
For the third consecutive month, Japan’s consumer confidence index increased. In December the index had been measured at 38.1, slightly lower than January’s final index of 39.6. Still, each of these indexes pale in comparison to the measurements that had been acquired before the global recession occurred in 2008. At that time, the index had generally hovered around 45 until the bottom fell out in January 2008. During that month, the index plummeted to 26.2, an all-time record low. As the economy continues to recover from last year’s natural disasters, economists believe the index will slowly improve throughout the coming months.

South Korea:
In January, South Korea’s long-term trade surplus is now a deficit of nearly $2 billion. Prior to January, the nation’s trade surplus had increased by $3.9 billion, $3 billion, and $3.4 billion in October, November, and December, respectively. As a result, many economists, including professionals from Moody’s Analytics, had projected the country’s foreign trade balance would rise by roughly $3 billion. Now economists are currently left shrugging their shoulders, unsure of what may – or may not – transpire in February and beyond.

Taiwan:
Throughout the last two months, Taiwan’s year-to-year CPI has risen considerably. From January 2011 to January 2012, the measurement increased by 2.37 percent. In addition, the country’s CPI rose by two percent from December 2010 to December 2011 – clear signs that inflation is beginning to inch upward. In the meantime, export, import, and wholesale prices escalated in January on a year-to-year basis as well, by 4.35, 7.6, and 4.28 percent, respectively.

Thailand:
The Bank of Thailand slashed interest rates by .25 percent in January, the first cut since November 2011 when rates had been reduced to 3.25 percent. Last month, rates contracted to three percent during the bank’s monthly policy meeting. As the country continues to recover from last year’s flooding, which severely disrupted global supply chains, many economists fear the nation’s interest rates will be cut yet again in the near future.

Slower growth in Asia Pacific as recovery continues is a post from: LHH Workplace Economy

On February 3rd, millions of Americans celebrated one of the most positive jobs reports that have been released since President Barack Obama was inaugurated more than three years ago. According to the BLS’s “The Employment Situation – January 2012” report, roughly 243,000 jobs were added to the national economy in January. The BLS also found that the United States’ unemployment rate had fallen to 8.5 percent – the fifth consecutive month in which the rate has declined. The United States has not recorded such an optimistic streak since 1994.

Meanwhile, as the United States’ neighbors, Canada and Mexico, currently recover from weakened economies as well, some global economists are concerned that each of the nations’ recoveries are progressing at a slower pace than had originally been predicted. Unemployment is still quite high. Inflation is still impacting the livelihoods of millions of families. And, citizens’ confidence levels are still very low.

But, did either of the two countries report encouraging news in January? Are there any signs that economic recovery will continue in 2012? Read on for reports from Canada and Mexico.

Canada:
According to recently released figures, Canada’s labor force was comprised of approximately 18.8 million citizens in January. Of these individuals, about 17.4 million were employed on either a part-time or full-time basis. In addition, nearly 14 million Canadians were working full-time and receiving annual salaries or were being paid according to the total amount of hours in which they worked. In the meantime, although 2,300 positions were added to the national economy in January, the country’s unemployment rate rose to 7.6 percent last month. Prior to January, Canada’s jobless rate had ranged from 7.2 to 7.5 percent throughout the second half of 2011.

Furthermore, the Bank of Canada’s benchmark interest rate remained at one percent for the 17th consecutive month. A majority of economists, both within and outside of Canada, had anticipated that the rate would not change. And, unfortunately, the bank’s deposit and bank rates did not increase or decrease either, as they remained at 0.75 and 1.25 percent, respectively. There are currently no signs that any of these rates will be raised or lowered anytime soon, at least within the next three to six months.

Mexico:
Ever since the end of the Great Recession in 2009, Mexican residents have been especially concerned with one aspect of the nation’s economy – high inflation rates. And, unfortunately, their concerns only intensified last month, as the country’s Consumer Price Index (CPI) rose by four percent from January 2011 to January 2012, a .02 percent upturn from December’s year-to-year CPI of 3.8 percent. Mexico’s CPI has now expanded for five successive months – and has not been lower than 3.1 percent since July 2011.

Additionally, one characteristic of Mexico’s economy stayed the same again last month – the Central Bank Rate. The Bank of Mexico has not expanded or contracted this rate at all since August 2009, an astonishing 29 straight months. And, of particular interest, the rate has lingered at 4.5 percent throughout the last two-and-a-half years. Currently, the bank’s neutral nominal rate is about 6.5 percent.

US:
For more information, please visit www.workplaceeconomy.com.

While some gains are made, unemployment remains high in North America is a post from: LHH Workplace Economy

As citizen protests continue, the value of the euro declines, and the threat of a double-dip recession looms, millions of European residents are coping with growing concern. Many fear they may have no choice but to leave the region altogether and begin an entirely new career thousands of miles away from their homes. Others are concerned about the financial futures of their children and grandchildren, unsure of their future as economic insecurity worsens.

Germany:
Throughout the second half of 2011, Germany’s unemployment rate hovered around 7 percent, before eventually dropping to 6.8 percent last December. The nation’s jobless rate continued to drop in January, falling to 6.7 percent. In all, 2.8 million residents were without work last month, about 340,000 less than in December. Prior to January’s findings, a majority of economists had believed the rate would increase. As Germany’s economy remains quite weak, many economists still anticipate the rate will begin to increase throughout the next few months.

France:
Business confidence in France remained low in January – sliding lower than December. According to recently released figures, the country’s composite indicator for business confidence in manufacturing fell to 91 in January, three points lower than it had been in December. The indicator, which, on average, is typically measured at 100, has not been this low since February 2010, when global economic recovery had just begun.

Italy:
In Italy, consumer confidence remained the same in January. At 91.6, the country’s total consumer confidence measurement is well below July’s rate of 100 – and, in general, has been declining ever since last summer. Of note, Italy’s consumer confidence has not been this low in years. In fact, it is near the lowest level that has been reported since 2008, a year in which the global recession was impairing consumer confidence levels in dozens of nations around the world. Meanwhile, Italy’s personal and current consumer confidence measurements increased on a monthly basis in January, from 97.3 to 97.9 and from 98.4 to 102.3, respectively.

Russia:
The annual inflation rate in Russia declined from 6.1 percent in December to 4.2 percent in January. As a result, the nation’s central bank’s interest rates remained unchanged as of early February. In total, the bank’s refinancing rate was eight percent, while its overnight auction-based purchase price was 5.25 percent.

United Kingdom:
Despite Europe’s ongoing financial woes, consumer confidence actually increased in the United Kingdom, from -33 in December to -29 in January, surprising worldwide economists and Moody’s Analytics who had projected that confidence levels would fall to -35 last month. However, most economists do not believe such positive news will be sustained, especially as the threat of a double-dip recession looms throughout many European nations.

As the euro continues to devalue, Europeans remain concerned about their financial futures is a post from: LHH Workplace Economy

Much like the BLS’s “The Employment Situation – January 2011” report offered proof that the economy was indeed beginning to show signs of growth, the company’s most recent “Metropolitan Area Employment and Unemployment” report was quite reassuring to national organizations, employees, and unemployed Americans as well.

Released on February 1st and depicting employment figures from last December, the report found that unemployment had decreased in 329 of the nation’s largest metropolitan areas from December 2010 to December 2011.

The report also revealed that unemployment had remained unchanged on a year-to-year basis in seven areas, while jobless rates had increased in 36 areas. In addition, 66 areas had unemployment rates of 10 percent or higher, while 125 areas had much lower unemployment rates, at seven percent or below.

Additionally, El Centro, CA and Yuma, AZ once again led all metropolitan areas in terms of high unemployment, with jobless rates of 26.8 and 23.1 percent, respectively. At the same time, Bismarck, ND and Lincoln, NE, recorded the nation’s lowest unemployment rates, at 3.2 and 3.6 percent, respectively.

Furthermore, the BLS released the following regional employment and inflation statistics from the month of December –

Source: BLS

• Mid–Atlantic: At 10.4 percent, the District of Columbia’s unemployment rate remained above the national average in December, although it had steadily decreased throughout the last five months of 2011. Back in August, it had been as high as 11.1 percent. (Link)
• Midwest: In Dayton, Ohio, employment rose in various industries, including professional and business services and trade and transportation, just in time for the holiday season. From December 2010 to December 2011, employment increased by 4.8 and 2.9 percent, respectively. (Link)
• Mountain-Plains: Unemployment was quite low in Salt Lake City, UT last December. The jobless rate was only 5.4 percent, a significant decrease compared to July’s rate, which was 7.5 percent. (Link)
• New England: Although employment hardly increased in most industries within the greater Burlington, VT, area, employment rose in manufacturing by 2.1 percent and in mining, logging, and construction by 12.8 percent, from December 2010 to December 2011. (Link)
• New York–New Jersey: The greater New York City area’s Consumer Price Index for All Urban Consumers (CPI-U) and Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) increased from December 2010 to December 2011, by 2.7 and three percent, respectively. (Link)
• Southeast: In December, Sumter, SC’s unemployment rate was approximately two percentage points higher than the national rate. However, at 10.3 percent, the rate was much lower in December than it had been in July, when it was 12.2 percent. (Link)
• Southwest: Well known for having one of the nation’s highest unemployment rates, at least in terms of large cities, Las Vegas’s jobless rate gradually decreased throughout the last five months of 2011, from 14.3 percent in August to 12.7 percent in December..(Link)
• West: The greater Los Angeles area’s CPI-U and CPI-W each increased from December 2010 to December 2011 by 2.2 percent. (Link)

Metropolitan unemployment figures were encouraging in December is a post from: LHH Workplace Economy

Budget constraints. Talent shortages. The ebb and flow of the global economy. These are just a few of the coutless issues that employers are facing on a daily basis. Unfortunately, as companies attempt to implement new strategies to succeed in today’s uncertain economic conditions, many tend to forget about one crucial concern that will likely influence their abilities to prosper in the future – employee loyalty.

There once was a time, in the not so distant past, when employees were extremely loyal to their companies. Many workers chose to stay at one company throughout their entire careers, while a majority of employees remained loyal for upwards of 10, 20, or even 30 years.

Such loyalty is now nearly nonexistent and, according to a recent survey conducted by Lee Hecht Harrison, a lack of fair treatment may be the culprit.

When asked, “Do you feel your company treats employees fairly?,” nearly 50 percent of all respondents either stated “sometimes,” “rarely,” or “never,” a shocking finding when one considers the fact that, throughout our nation’s history, a majority of American organizations have been well-regarded for their treatment of employees and for the dependability they received in return.

Upon evaluating the results of the survey, Peter Alcide, president of Lee Hecht Harrison, said, “Employees want to feel valued and appreciated for their contribution in the workplace. If employees don’t feel they are being treated fairly, you can assume they aren’t going to give their best effort.”

He added, “As leaders navigate in this unpredictable environment, they must ask themselves what steps they can take to minimize the effects of uncertainty and ensure their employees feel valued.”

So how can organizations once again improve their employee loyalty levels? How can they ensure their employees feel valued so that they will work to the best of their abilities?

Lee Hecht Harrison believes that nationwide employee loyalty can be vastly improved if organizations focus on the following four goals –

Initiate and Develop. As organizations hire new talent, they must have proper orientation programs established in order to train them, help them become acclimated to company policies, and feel welcomed as a member of the company’s family of employees from day one. By focusing on each individual’s specific talents and career goals, companies can rest assured that new employees will feel connected to and appreciated by their fellow colleagues.

If employees have been on payroll for an extended period of time – at least six months – and are interested in continuing their careers with their present employers, companies should offer top talent an array of opportunities to cultivate their abilities, acquire new skills, and receive regular advancements.
If organizations are not willing to take the time to nurture their most capable employees and prove to them that they have a long-term employment future, some other organization will – and employees will likely be willing to develop their talents elsewhere.

Improve Communications. As technology continues to progress, it seems that face-to-face communication is being replaced with chat rooms, emails, and conference calls within many workplaces. Nevertheless, despite technological developments, a majority of employees still prefer direct communication with their employers, especially if they have questions or concerns regarding pay and benefits, their roles within the company, and the ways in which their efforts are positively impacting their companies as a whole.

To help employees feel appreciated, supervisors should establish weekly or bi-weekly meetings in which employees can ask questions, discuss their career goals, and understand why their positions are highly valued.

Employers must mentor their workers, help them achieve their career goals, and listen to their needs. In doing so, employees will be better prepared to succeed in whichever roles they are offered.

Empower. Far too often, innovative, gifted employees have many unique ideas that could possibly help companies achieve higher profit margins and acquire a larger customer base, but, regrettably, many workers never share their thoughts with their supervisors or company executives.

Some employees may feel uncomfortable with the notion of bringing ideas to their employers. Others may be afraid to offer their suggestions, believing their thoughts will be rejected or even ridiculed, simply because they feel they are treated only as “a number” rather than as a person.

But how can companies change such perceptions? First, they must take the time to listen to their employees’ suggestions and consider how such ideas can improve their companies’ capabilities and expand their bottom lines. They should then allow employees to actually develop their ideas and oversee their own projects themselves. In doing so, employees will become more confident in their own abilities, feel more valued for their efforts, and witness the significance of their concepts firsthand.

Reward and Recognize. As employee morale tends to remain quite low within many organizations, workers should receive as much recognition as possible in order to boost their spirits and motivate them to strive forward.

For some employees, recognition should be offered in the form of extra vacation time, bonuses, or a more uniform work-life balance. For others, a simple “thank you” via a card, an email, or even during a meeting or a casual conversation will improve their drive to succeed within their present companies.

Such recognition should know no boundaries either. By sharing their employees’ achievements with company executives, supervisors can help their employees receive raises or promotions. And by regularly rewarding and recognizing top talent for their hard work and accomplishments, employers will be able to retain and nurture their most valued employees’ talents for years to come.

Improve employee loyalty throughout 2012 – and beyond is a post from: LHH Workplace Economy

Let’s face it. The once closely knit relationship between employers and employees has come unraveled in recent years. As a workforce that once prided itself on its longstanding virtues of hard work, perseverance, and loyalty, employees throughout the United States have now become more focused on personal goals, rather than corporate objectives.

American workers have a greater sense of independence and a desire to not only make money, but to utilize their talents to change the world – and they simply no longer feel the need to stay with one company on a long-term basis in order to do achieve their fiscal and personal dreams.

So what happened? Why has employee loyalty contracted to the point in which it is now nearly extinct within a majority of the nation’s companies?

To seek answers to such questions, Lee Hecht Harrison conducted an online poll which focused solely on employee loyalty. According to poll results, the lack of faithfulness tends to boil down to one major issue – employees no longer feel “loved” by their employers.

The poll found that 50 percent of respondents believe they are not treated fairly by their employers.
They are being overworked, underpaid, and are receiving less incentives for their efforts than they ever have before. And they have had enough.

As a result, they are searching for new employment opportunities with other organizations – and even with their current companies’ competitors! Many are even considering the prospects of working in a completely independent fashion altogether and using the training and experience they have received within their present companies to transform their dreams of entrepreneurship into reality, despite the uncertainty of the global economy.

But how did employee loyalty suddenly become an “old wives’ tale”? What led such a faithful American workforce to become anything but?

Many believe the endangerment of employee loyalty was set off by a string of events that began just five years ago – the Great Recession.

During that period of time, stocks fell to near all-time lows. Fannie Mae and Freddie Mac almost collapsed. Two of the world’s largest automotive manufacturers – General Motors and Ford – nearly shut down their operations. And employment began to deplete to levels that had not been witnessed since the early 1980s.

Companies panicked. Budgets were slashed. And organizations were forced to implement initiatives in order to cut costs as much as possible.

Soon enough, many companies terminated corporate outings, out-of-state and out-of-country business meetings, and various events that bonded employees and expanded their capabilities to collaborate effectively as team units.

Longstanding employees were soon laid off and without any warning. Holiday bonuses were either cut from companies’ pay plans or reduced exponentially. Extensive vacation packages could no longer be offered, while healthcare benefits were sliced in half within many organizations.

Wages were frozen while employees were forced to conduct the tasks of their fellow colleagues, who had been laid off, on top of the responsibilities they already had. Most employees had no choice but to work for more hours than they ever had before, yet some did not even receive overtime pay for their efforts.

In short, to stay afloat and remain competitive in the midst of financial storms, employers eliminated many of their companies’ most desirable traits, which had attracted their workers in the first place.

By focusing solely on numbers instead of on their hard-working individuals, organizations established a trend which has hardly improved since – employees are no longer rewarded or recognized for their efforts, are unmotivated to regularly perform well, and no longer have any reasons to remain devoted.

Can this trend eventually be overcome or is it too late? Will employee loyalty soon become nonexistent?

For information regarding the ways in which employers can begin to reverse this trend once and for all, please visit this month’s edition of In The Future.

Where’s the love? Employee loyalty continues to diminish is a post from: LHH Workplace Economy