In a tight labor market, employers are often forced to make considerable concessions to retain employees. The average company spends thousands of dollars on training and development of workers, and this money goes to waste when employee turnover is high. In previous decades, the employer who offered the biggest salary or the corner office was the one who attracted the best and the brightest. Today, workers are more concerned with their quality of life than the size of their paychecks. Smart companies respond to this psychological need, as detailed in the article "When Money Isn't Enough" by Kerry Dolan.
One of the smart companies that is fulfilling employee needs is the Illinois Trade Association. This company makes it its business to know its employees' personal priorities and interests. For example, a survey was conducted about what kinds of health care employees preferred. Illinois Trade discovered that many of its employees wanted health care remedies that were not covered by traditional medical and insurance policies. In response to this desire, the company itself now pays for alternative medical care (e.g., chiropractic treatment and herbal therapy) for the employees who want them. The company even offers its employees a free massage on company time once a month. Illinois Trade also gets to know its employees' outside talents so that these talents can be matched with in-house opportunities that arise. The company's attention to their employees' needs has resulted in a significant economic benefit: low employee turnover. In the past five years, no employee has left Illinois Trade, except for pregnancy or spouse relocation. Commenting on its remarkably low employee turnover rate, Illinois Trade's Chief Executive notes, "We believe our employees don't work just for economic benefits. If people feel they can express themselves, it gives them a sense of meaning" (Dolan, 1996, p. 164).
The increased presence of ...