Canadian Workforce Growing Increasingly Disloyal Toward Employer

Toronto, ON - A new study from Ipsos Reid is confirming what many human resources professionals had already feared or believed: Canadian employees are becoming less loyal to their employers. According to recent findings from Ipsos Reid's Build a Better Workplace syndicated study, 22% of Canadian employees are expressing decreased loyalty to their employer.

"Loyalty to one's employer is very dependant on recognition," says JB Aloy, Ipsos' resident expert on employee engagement and author of the study. "Staff who feel their involvement is not acknowledged are more likely to become disloyal."

This is not just a sentiment found on the `factory floor'--a quarter of executives and managers say their loyalty is decreasing, showing results comparable to production workers and operators. Across industry sectors, employees in the manufacturing and financial services sector--two industries deeply hurt by the ongoing economic downturn--had particularly negative results.

All this is going on in spite of the current job market. In particular, organizational responses to the economic downturn have triggered some employees to question their loyalty. In organizations where staff cuts were made, 36% of employees feel less loyal. In organizations where salaries have been frozen, that figure is 31%.

Across the country, the figures are consistent nation-wide, with the exception of Quebec, where only 10% of the workforce shares this attitude.

"Because these results are quite consistent across sectors, they strongly suggest that employers ought to be considering what they should be doing now in order to hold on to their key performers when economic conditions improve," adds Aloy.

And what are employees saying? Some comments in the survey indicate that the organization's leadership can't just simply expect loyalty, it must earn it. "Anything I do that is 'above and beyond the call' is accepted but never reciprocated by management or the employer," says one respondent. Others comment, "The firm is not loyal to me so I feel decreasing loyalty to the firm," or "They do nothing for me so I do nothing for them."

"As workers, all too often we find ourselves considered disposable. Not surprisingly, our loyalty as employees to the firms where we work has responded in kind," says Timothy Keiningham, global chief strategy officer at Ipsos Loyalty, and author of the newly released book Why Loyalty Matters. "For us as individuals, constant economic change means that we feel always on the brink of losing control. We are forced to live in the moment, and leave tomorrow for the future. What this teaches us can be summed up in the phrase, `What have you done for me lately?' This is the antithesis of loyalty. Loyalty requires a commitment to the future".

The results were obtained from the Better Workplace Syndicated Study, an online poll of 1,128 employees in Canada, completed between May 22 and May 29, 2009.

For more information about this news release, please contact:
JB Aloy
Employee Research Expert
Ipsos Reid
(416) 572-4494
[email protected]

About Ipsos' Better Workplace Products

The Better Workplace Syndicated Study is a quarterly online study of employees across Canada used to identify and measure key trends in employee motivation and opinions. The study provides insights regarding staff reactions to the downturn as well as to policies implemented by employers. The focus is placed on compensation in the June report.

In addition, as organizations re-invent themselves, many have found it helpful to obtain quick input and pulse checks from their own staff. Ipsos offers the Better Workplace Panel, a research tool specifically designed for human resource professionals. This customized survey tool allows clients to conduct short, cost-effective surveys four or six times per year with rapid turn-around on results.

Results from the most recent syndicated study and information on Ipsos' customized offerings can be found at www.ipsos.ca/loyalty/erm or by contacting JB Aloy by e-mail at [email protected] or by phone at (416) 324-4494.

About Ipsos Reid

Ipsos Reid is Canada's market intelligence leader, the country's leading provider of public opinion research, and research partner for loyalty and forecasting and modelling insights. With operations in eight cities, Ipsos Reid employs more than 600 research professionals and support staff in Canada. The company has the biggest network of telephone call centres in the country, as well as the largest pre-recruited household and online panels. Ipsos Reid's marketing research and public affairs practices offer the premier suite of research vehicles in Canada, all of which provide clients with actionable and relevant information. Staffed with seasoned research consultants with extensive industry-specific backgrounds, Ipsos Reid offers syndicated information or custom solutions across key sectors of the Canadian economy, including consumer packaged goods, financial services, automotive, retail, health and technology & telecommunications. Ipsos Reid is an Ipsos company, a leading global survey-based market research group.

To learn more, visit www.ipsos.ca.

About Ipsos

Ipsos is a leading global survey-based market research company, owned and managed by research professionals. Ipsos helps interpret, simulate, and anticipate the needs and responses of consumers, customers, and citizens around the world.

Member companies assess market potential and interpret market trends. They develop and build brands. They help clients build long-term relationships with their customers. They test advertising and study audience responses to various media. They measure public opinion around the globe.

Ipsos member companies offer expertise in advertising, customer loyalty, marketing, media, and public affairs research, as well as forecasting, modeling, and consulting. Ipsos has a full line of custom, syndicated, omnibus, panel, and online research products and services, guided by industry experts and bolstered by advanced analytics and methodologies. The company was founded in 1975 and has been publicly traded since 1999.

In 2008, Ipsos generated global revenues of e979.3 million ($1.34 billion U.S.).

Visit www.ipsos.com to learn more about Ipsos' offerings and capabilities.