Employee Loyalty In The Workplace

The circumstance of current business world is that enterprises depend on their own staff more than any other time in the past. This is particularly true as in fields like hi-tech, finance, and other market segments, contribution from employee not just depend on the nominal time spent at work. Thus, human resource in the current business environment has become the most significant resource for any enterprises, and with the development of technology, talented/skilful/expertise employee will be the most wanted and most needed. (Aityan & Gupta, 2011) According to Powers (2000), "employee loyalty (unfortunately) is whatever the employee and employer agree that it is". Hart and Thompson(2007) state out the point that the concept of loyalty is not

According to Keininham & Aksoy(2009), success of any enterprises in long term is heavily depend on the quality and loyalty of its employee. Loyal employees are assets to an enterprise, the key for its success is their retention; for one, their loyalty can attract customers for enterprise. Given their significance, employers need to find out how to identify and keep loyal employees. The truth that an employee who has been working in an enterprise for many years does not mean that he or she is loyal to the enterprise. For example, he or she may lack of skills to get a better job or he or she just think this job is enough for live but no motivation to improve. (Green, 2007) Foster and his colleagues and Reichheld pointed out that with loyal employees, customers and shareholders, enterprise can generate greater

In the past, to get a job was the same as make commitment for life and people would retire from the same enterprise which hired them. (Altman, 2008) Since there was strong sense of trust between two parties, the employers were also more loyal to their employees and the relationship would bond them for a long period. Levin concluded that employees exchanged their loyalty and hard work for job in the past, and in the present context the situation has changed. In the present context, more independent and mobile workforce are what employees looking for. Loyal employees have positive effect on the growth and sustainability, and also can help on reducing enterprises' financial strain, saving on the cost for recruiting new staff. To gain loyalty from employees, requires constant care. Loyalty needs to be built on mutual relationship and it is not recession proof. A question posted from "The Death of Corporate Loyalty ", by cutting thousands of jobs, will enterprise be able to build loyalty and commitment among their remaining employees. In the past, long-term job tenure was expected and much higher, but such expectations are no longer as voluminous job