Employee Satisfaction


HR Glossary

Employee Satisfaction

Employees being the backbone of the company are directly linked to the growth of the company. As a result, companies have started prioritizing providing a good experience to their employees. Today, employees care more about their job satisfaction than any other factor. Read this blog further to understand employee satisfaction in detail.

What is Employee Satisfaction?

Employee satisfaction refers to how satisfied the employees are with their job. It is a measure of the level of satisfaction and content that the employees feel with their job. 

It acts as a good indicator of the work culture of a company. 

A company with more satisfied employees is likely to work at its best capacity. 

There are a lot of factors that affect employee satisfaction, such as perks, flexibility, etc. 

A company must understand the needs of its employees and act accordingly. Although employee satisfaction doesn’t guarantee improved performance, it is an essential part of the solution. 

Importance of Employee Satisfaction

Employee satisfaction is and should be a topmost priority for companies. Satisfied employees are much more likely to be loyal and dedicated to your Company. 

Reduces employee turnover

Employee satisfaction plays a major role in reducing the employee turnover of the company. Satisfied employees are happy with their job and are less likely to leave their jobs.

Employee turnover, directly or indirectly, bears huge costs to the company. The whole hiring and training process costs a lot, making it all the more reason for companies to reduce employee turnover. 

Increased Revenues

A satisfied employee works much harder and passionately for the company. It increases their overall productivity in the workplace, which eventually helps bring in more revenues for the Company. 

Satisfied employees feel passionate about their jobs and work without any compulsion. 

Improved Productivity

Job satisfaction in employees leads to higher productivity in their jobs. 

An economic study at the University of Warwick revealed that happiness has a direct relation with productivity. 

Many tests were administered, and it was revealed that happiness increases employee productivity by about 12%.

Long-term growth of Company

If an employee feels satisfied in a company, that is only when they would be able to commit fully to that Company. Satisfaction leads to loyalty which leads to the dedication to work on achieving the long-term goals of the Company. 

How to Measure Employee Satisfaction?

The firsts step to work towards improving employee satisfaction is to measure it. 

Here is how you can measure employee satisfaction- 

Employee Satisfaction Surveys

Employee satisfaction surveys are one of the best methods to measure employee satisfaction, especially in a big company.

Surveys help you in understanding the needs of the employees and what you can do to improve that. Moreover, surveys get you some quantitative data which is useful in concluding scientifically.

Surveys give an insightful view of what motivates the employees and what they expect of the Company. 

Here is a list of different types of employee experience surveys-

  • Employee engagement survey
  • Employee improvement survey
  • Employee journey survey
  • Employee attitude survey

Survey2connect, Qualtrics, Surveymonkey, Zavvy are some management tools that you can use to conduct surveys all over your organization.

Individual Conversations

Individual conversations are a great way of measuring employee satisfaction if the size of your workforce is small. Such conversations help a lot in getting to know the employees on a personal level. 

These conversations can help you in understanding what do the employees expect from the company, what it is that you might be doing wrong, etc. 

During these conversations, you can ask questions such as-

  • What are your long-term goals?
  • How does this organization fit in your long-term goals?
  • What do you like most about your job?
  • How can we as an organization improve ourselves?

Factors Responsible for Employee Satisfaction

Here are some key factors responsible for employee satisfaction-

  • Salary- It is one of the most basic factors that affect employee satisfaction. Everyone needs a basic amount of money to be financially free. If the employees receive their expected salary, they are more likely to be satisfied than if they are not. Everyone can work more calmly if they know that they have a safe source of income.
  • Employee Recognition- Employee recognition is another factor affecting employee satisfaction. Everyone loves to be acknowledged and appreciated for the work they do. Recognition in the workplace acts as a major morale booster and makes the employees content with their current jobs. It encourages employees to work even harder, which can be seen in their quality of work.
  • Work Environment- Everyone needs a good working environment to be their best self. A good working environment includes clean surroundings without any noise. 

A good environment helps the employees to focus on their work without worrying about anything else. A good environment facilitates the health and safety of employees, which improves their overall satisfaction level.

  • Flexibility- Flexible working schedules help the employees to work at their own pace. Contrary to the common notion, flexibility improves the overall productivity rate and contributes to employee satisfaction.  It makes the employees aware of the fact that their Company believes in them. 

We hope this blog helps you in learning about employee satisfaction in detail. For more such interesting blogs;

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