Trust in leadership also down since 2016.
HRO Today has released its ‘Worker Confidence Index Study’ annual report for 2017.
In this study, the Worker Confidence Index (WCI) reports a decrease of 0.7 points since last quarter and 1.3 points since last year. It now stands at 103.2 after increasing for the past two consecutive quarters.
Of the four components of the WCI, trust in company leadership rose by 3.2 points, while there was a 2.5% decline in confidence related to job security.
“The decline in the WCI since last year suggests some concerns in worker confidence, specifically related to trust in company leadership – which experienced a significant drop of 3.6 points since the fourth quarter of 2016,” said Larry Basinait, vice president of market research, SharedXpertise. “Recent volatility in the stock market may contribute to lower worker confidence in 2018, but for now, confidence remains high overall.”
Meanwhile, the rate of growth in the gross domestic product increased at an annual rate versus the fourth quarter last year, reflecting positive contributions from personal consumption.
“In order to meet the expectations of quality young talent, companies have to place high priority on the employment experience from the start, including the recruiting and onboarding process, all the way through their entire careers with the company,” said Jonathan Grosso, vice president, enterprise solutions, Yoh. “And while adding and retaining younger workers is key to long-term growth, engaging older workers and spreading their institutional knowledge is another issue that demands attention in today’s dynamic talent landscape.”
HRO Today magazine and Yoh have been working together since 2014 to produce an index that measures U.S. employment security from the perspective of employees. While multiple indices focusing on attitudes of the economy already exist – such as the Consumer Confidence Index, Gallup’s Economic Confidence Index, the Bureau of Labor Statistics’ Job Openings and Labor Turnover Survey (JOLTS) or United States Consumer Sentiment – these measures focus more on macro metrics, with much less emphasis on attitudinal measures of those employed.
The focus of the Worker Confidence Index Study is measuring perceived employment security. According to the U.S Bureau of Economic Analysis, more than 70% of what the U.S. produces is for personal consumption. Since the perception of job security greatly impacts purchasing behavior, there is a need to focus on how individuals perceive their job outlook.
The exclusive report is available for download by clicking here.