MODULE
Unit 5. Job Satisfaction
Starbucks CEO says, “Customers are Number Two.” [The effects of employee satisfaction]
Starbucks CEO says, “Customers are Number Two.” [The effects of employee satisfaction]
Duration (m)
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10 Proven Ingredients for Job Satisfaction

We may already have an idea of ingredients that go into making work satisfying.

Although it is subjective, job satisfaction research (Kumari, 2011) has showcased the following:

 

1. Communication

Communication can be extremely important to retaining levels of satisfaction, on both a personal and professional level. It is exhibited in allowing employees to be open, collaborative, trustworthy, and even confrontational when needed.

 

2. Culture

Defining a company culture links to job satisfaction as it provides values and guidance about topics ranging from organizational goals to appropriate levels of interaction between employees.

 

3. Security

It’s no surprise that once a culture is established in a workplace, satisfaction can then be enhanced by added feelings of security. Security may arise from knowing you work for a viable company with long-term goals, insinuating feelings of belonging to that company (Berg, Grant, & Johnson, 2010). This can be enhanced by having honest communication and transparency within a company.

 

4. Leadership

Tied into increased motivation for employees, leadership, or influencing a group toward the achievement of a vision or set of goals (Kinicki & Kreitner, 2006), can lead to job satisfaction by making sure communication and instruction of tasks is adequate and easily understood.

In turn, when employees feel that leaders can guide them through tasks, their motivation and satisfaction increases.

With leadership having a crucial influence on job satisfaction, this related article with leadership activities is a recommended read.

 

5. Opportunities

Employees can gain more satisfaction with their job when more challenging opportunities arise. This can lead to participation in interesting and diverse projects and get employees away from the monotony of a role.

 

6. Career development

Employees can become more satisfied with their job when they know there is an individualized plan for them. Beyond the formal nature of appraisals, if there is a path in place for growth, this can encourage employees to stay happier for longer.

 

7. Working conditions

Job satisfaction can be increased if a resilient workplace is a cooperative environment. This means a place with respect for diverse ideas and opinions, honest and constructive feedback, mentoring opportunities, and freedom from harassment.

 

8. Employee personality

Most ingredients linked to job satisfaction may have roots in elements outside of the employees’ control (such as leadership from managers and communication from company leaders), but what about the employees themselves? Can they control their own levels of satisfaction? Bakker, Tims, and Derks (2012) talk about just that.

These researchers discuss how job satisfaction can be determined by how proactive the employee is at work. Does the employee proactively seek out a manager for feedback? Does the employee go the extra mile to achieve tasks within a company? Does the employee try to stick to company goals, lead meetings, and ask questions when unsure about how to complete a task?

If yes, these employees are ones who can show more satisfaction in the workplace. Proactiveness in the workplace can lead to positive job appraisals, which when fed back to the employee, can lead to satisfaction.

For more on constructive feedback, read our article discussing ways to give negative feedback constructively.

 

9. Pay and benefits

Organizational success and job satisfaction are also linked to employees’ perceptions of adequate pay and benefits (Edwards, 2008).

While pay and benefits are not the only reason employees find satisfaction in their workplaces, research going back more than 30 years (e.g., Gerhart, 1987) shows that pay and benefits, at least according to how employees view themselves in their roles, has ranked high on lists of job satisfaction factors.

 

10. Rewards and recognition

Beyond monetary gain and being paid fairly for the work they do, job satisfaction for employees means that promotional policies are unambiguous and in line with their expectations.

A key finding here (Kumari, 2011) is that satisfaction at a job is not exclusively linked to pay, but to the perceived fairness of how one is recognized at work for achievements.

10 Proven Ingredients for Job Satisfaction We may already have...

Is Job Satisfaction Important? 4 Benefits

1. Increased profits
This is one any manager and employee might appreciate. Keeping employees satisfied can lead to higher sales, lower costs, and a stronger bottom line.
 
2. Higher productivity
Irrespective of their job titles or salary, employees who are more satisfied with their job, whether they feel satisfied with the organizational culture, with the rewards they are getting, or with recognition, can produce more and do it more efficiently.
 
3. Lower turnover
If employees are more satisfied with their job, they are less likely to leave. It also helps to recruit better quality talent as new talent sees employee staying power as added value.
 
4. Loyalty
When employees feel there is a growth path for them, they are more satisfied. In turn, because they feel the organization has their best interests at heart, they tend to support the organization’s mission and objectives. When this happens, employees may tell their friends or relatives about the good nature of the organization, which helps spread organizational goodwill.
2 Real-Life Examples
The importance of honesty and communication
Honesty and communication about a company’s objectives and goals can be vital and are linked to job satisfaction for employees. But do employees only care about company success? How does honest communication impact their own, individual success?
Agarwal and Mehta (2014) were interested in employee job satisfaction within the IT industry.
Their curiosity stemmed from the idea that IT employees may largely be working in isolation, away from other employees, and the researchers wondered if employees valued appraisals more in such circumstances than in other industries. They discussed how performance appraisal was directly linked to satisfaction (or dissatisfaction) for the employee.
Additionally, they also discuss how honest and consistent communication and regular updates of employee progress (bi-annual rather than yearly appraisals) can not only increase employee satisfaction at work, but also help companies by decreasing the rate of attrition. Interestingly enough, Agarwal and Mehta (2014) did not discuss company goals or performance in their findings.

Is Job Satisfaction Important? 4 Benefits1. Increased profitsThis is one...

Discussion questions 

1. Which of the perks on the board are common in your country? Which are uncommon in your country?

2. In your country, are there any employee benefits that a company legally has to give their employees? Which ones?

3. Which of the benefits on the board does your employer offer? Be specific and provide details.

4. Why do you think companies offer perks instead of offering more money? Do you think employees appreciate perks?

5. Which of your employee benefits do you appreciate most? Why?

6. Some companies offer their employees unusual perks such as video game rooms, massages, yoga classes, on-site personal trainers, clothing allowances, on-site doctors, and even on-site wine bars. Which of these perks do you think are good ideas? Which do you think are unnecessary or ridiculous? Do you wish your employer offered any of these unusual perks? Which ones?

7. What do you think would be some other good ideas for unusual employee benefits? Generate five ideas with your group. Be creative.

Discussion questions 1. Which of the perks on the board are...

Employee benefits or perks:

medical insurance
dental insurance
retirement benefits
child care benefits
transportation benefits
employee discount programs
subsidized meals
relocation assistance
paid holidays
sick days
flextime
on-site gyms and athletic facilities

Employee benefits or perks: medical insurancedental insuranceretirement benefitschild care benefitstransportation...
The antidote to employee disengagement is meaningfulness | Zach Mercurio
The antidote to employee disengagement is meaningfulness | Zach Mercurio
Duration (m)
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Next: Unit 6. Risk