MetLife Study: Growing Disconnect on Employee Loyalty, Satisfaction

Posted on March 29, 2011


MetLife’s 9th Annual Study of Employee Benefits Trends was released this week and, as always, it contains insights not only into the state of employee benefits but also into the relationship between benefits and larger business issues: corporate performance, employee engagement, employee retention, etc.

Some highlights:

The report gives a rather grim assessment of employees’ feelings of connection (or lack thereof) to their employers:

This year’s findings reveal a workforce that has grown more dissatisfied and disloyal, to the point where a startling one in three employees hopes to be working elsewhere in the next 12 months.

At the same time, employers are not acknowledging the reality:

Yet employers continue to believe employees are loyal, and they do not appear to be tuned in to this potential flight risk. Focused on the challenging business environment, employers remain confident of strong levels of employee job satisfaction and loyalty.

Other findings:

  • Longer term, many employers believe that non-medical benefits – in particular, retirement benefits – will become more central to their benefits strategies
  • There has been less focus on employee satisfaction as enterprises continue to emphasize cost control and cost shifting
  • Employees who are satisfied with their benefits are three times more likely to express satisfaction with their job and loyalty to their employer
  • 78% of employees of all ages said that they are interested in receiving a statement that shows how much income their retirement savings would generate
  • As in past MetLife reports, the study found that communications are key:

Employees who say that their company has effective benefits communications, or who recognize that their employer has improved communications, are more than twice as likely to say they are loyal to their employer. They are also more likely to be more satisfied with their benefits and with their jobs. Effective communication can make the difference between benefits that are understood and valued, and benefits that are overlooked and underutilized.

Below are some articles and blog posts I’ve seen that discuss the study; I will try to update the list in the coming days: