With the unemployment rate dipping below 8 percent for the first time in 43 straight months, business owners say now's the time to make the necessary moves that encourage workers to stay on board.
In its 2012 Attraction and Retention Survey, Mercer reports that four in every 10 business owners look to hire more in the coming months. This contrasts sharply with 2010, when just 27 percent said they were expanding their workforce.
Loree Griffith, principal of consulting business for Mercer, indicated that this type of hiring may be necessary, as some current employees may feel stilted after their employee benefits were cut in companies' efforts to save money.
"Employee loyalty has been eroding the past few years due to companies’ responses to the economic downturn," said Griffith. "Actions like layoffs, pay freezes and limited training opportunities have created an evolving employment deal for employees due to uncertainty about what is expected and how employees will be rewarded."
She added that a greater engagement of workers may help decrease the turnover rate, through the use of cash and non-cash rewards, such as those that recognize an employee for their hard work.
