New quarterly report series, Today at Work,
leverages proprietary data to deliver a comprehensive view of the
world of work.
ROSELAND, N.J., Sept. 6,
2023 /PRNewswire/ -- The ADP Research
Institute® (ADPRI) reveals the business impact of promotions
and presents a new way to measure worker motivation and commitment
in Today at Work, a fresh and comprehensive data-driven
resource for business leaders and other decision-makers.
In the September issue of Today at Work – "The Hidden
Truth About Promotions" – ADPRI shows how promotions, under certain
conditions, can impact businesses, a finding that underscores the
importance of having a thoughtful retention plan and a strategy to
support these career milestones.
The report also debuts the Employee Motivation and Commitment
Index, a real-time way to measure the state of worker allegiance.
The EMC Index tracks how people think and feel about their jobs,
their place on the organizational chart, and their employers.
Blending ADP's extensive data set representing more than 25 million
U.S. workers with nearly a decade of continued surveys of more than
490,000 workers in 29 countries, Today at Work examines the
entire employee lifecycle to provide a people-centered and
comprehensive view of the world of work.
"With so much data at our fingertips, we have the opportunity to
tell the full story of the workforce with an eye toward its
continued evolution and change," said Dr. Nela Richardson, ADP chief economist and head of
the ADP Research Institute. "For example, productivity has always
been a key metric monitored by decision-makers and economists, but
understanding what drives productivity has been difficult to
measure. In this report, we're able to illustrate the important
link between motivation and commitment and productivity."
A NEW RESEARCH-DRIVEN RESOURCE
Released quarterly, Today at Work taps into ADP's
anonymized and aggregated data, regular surveys, and ongoing ADPRI
research to provide a thorough, quarterly analysis. These
research-driven insights can provide business leaders with a fresh
perspective and ongoing source of actionable metrics to help them
make informed decisions in areas where data historically has been
lacking.
TODAY AT WORK, September 2023
Part 1: The Hidden Truth About Promotions
Committed and motivated workers are more likely to land
promotions, and keeping these recently promoted employees is key to
supporting business growth. ADPRI analyzed the full job histories
of more than 1.2 million U.S workers from 2019 through 2022 to see
if there was a relationship between receiving a promotion and
leaving the company. The model found an unintended consequence
associated with promotions under certain conditions.
For more information on the model, visit ADP
Research Institute's Data Lab
ADPRI's model revealed a flight risk for certain workers within
a specific timeframe following their promotion. Within a month
after receiving their first promotion, 29 percent of people had
left their employer. Had these people not been promoted, only 18
percent would have moved on. By the six-month mark, that risk
narrows, and both newly promoted workers and those who had not been
promoted had the same chance of leaving the company for any
reason.
Additional variables can factor into the impact of a promotion.
Workers in jobs with fewer entry requirements are more likely to
quit after being newly promoted, for example. In roles that demand
extensive preparation such as graduate school or an advanced
technical degree, a promotion increased a manager's risk of leaving
more than it did for non-managerial workers.
Preparing for Talent Growth
An employer's strategic approach to promotions and their
follow-through are key to employee retention.
- Provide career development opportunities that help workers
transition into their new roles and responsibilities, which could,
in turn, increase worker commitment to their employer.
- Be prepared for potential resignations. Have a plan to mitigate
losing critical managerial talent.
- Incentivize retention among key groups and those with the
greatest likelihood of leaving, such as low-wage workers.
Part 2: The Employee Motivation and Commitment
Index
Motivated and committed workers are invaluable to employers, but
tracking their state of mind can be challenging. To uncover what
drives employees, ADPRI developed a tool to measure worker
allegiance. The EMC Index, built on nearly a decade of continued
surveys of more than 490,000 workers in 29 countries, measures
how employees feel about their place at work and whether they're
thriving. This intelligence can help organizations boost
productivity and provide insight into labor force dynamics.
In August 2023, the EMC Index fell
from 108 to 100, its lowest point since June
2022. The index peaked in December
2022 at 121, after a year of robust pay growth, strong
hiring, and the rise of remote work.
For more on how ADPRI constructed the EMC
Index, visit ADP Research Institute's Data Lab
Productivity, Industry, and Demographics
The EMC Index also revealed a strong relationship between output
and worker motivation and commitment. High-productivity workers are
2.6 times more likely to respond positively to questions about
their work and motivation.
A person's industry also might influence their level of
motivation and commitment. Technology by far has the biggest share
of motivated and committed workers (42%), followed by information
(37%), and construction and related trades (34%). Healthcare (22%),
education (20%), and transportation and warehousing (19%) fall to
the lower levels. Information, which includes publishing, web
hosting, television, and telecommunications, has been on a downward
trend.
Looking at gender, men revealed much higher motivation and
commitment scores between the ages of 20 and 54.
"This is only the beginning of what this series of reports will
offer," Richardson said. "For the first time, we're combining ADP's
unparalleled hard data with people-centric surveys to identify
actionable insights for decision-makers."
For additional findings, visit Today at Work. For more
information on the ADP Research Institute, visit ADPRI.org.
About the ADP Research Institute
The ADP Research Institute delivers data-driven discoveries about
the world of work and derives reliable economic indicators from
these insights. We offer these findings as a unique contribution to
making the world of work better and more productive by delivering
actionable insights to the economy at large.
About ADP (NASDAQ: ADP)
Designing better ways to work through cutting-edge products,
premium services and exceptional experiences that enable people to
reach their full potential. HR, Talent, Time Management,
Benefits and Payroll. Informed by data and designed for
people. Learn more at ADP.com.
ADP, the ADP logo, Always Designing for People, and ADP
Research Institute are trademarks of ADP, Inc.
Copyright © 2023 ADP, Inc. All rights reserved.
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SOURCE ADP, Inc.