Redefining Business Ethics for a Lower Employee Turnover

The contemporary businesses are not dealt in the same fashion the way they were carried out a few centuries ago. Firms heavily rely on network analysis, carrying various tasks at the same time, and it requires sharing a lot of information within and outside the firm. Employees play a pretty fair role in making or breaking the future of the firm. You wouldn’t want some of your best and most productive employees working for your rivals, risking your business’ secrets. Today, I will be discussing the role of business ethics towards employee turnover and why you would like to grow some interest in employee monitoring.

Relationship between business ethics and employee turnover

I came across this research which shows that businesses with ‘low ethics’ have high employee turnover rate. Business ethics are specific and subjective to the nature of the firm. What may be ethically and morally right for a bank might not be for a manufacturing firm. What is set by your employer as the acceptable form of workplace ethics will determine your employees’ attitude. Some other important points from the study were:

Workplace preferences

Individuals like to work in a firm that best matches their own characteristics or personal traits. These similarities are based on a perception of the employee at the time of joining, through initial conversation. This later gets confirmed once the employee has worked for the firm for a considerable amount of time.

What is business ethical behavior?

Business ethical behavior includes fairness, justice and neutral managerial actions. Employees are ready to work with firms offering lesser salaries who confine to ethical business practices. Well, I guess it may not always be the case. There are always some people out there who are ready to compromise a lot more than just their moralities.

Role of job satisfaction

Organizational commitment and job satisfaction reduces employee turnover which itself is dependent upon the corporate ethical practices. So, if you really want to reduce the turnover rate, try enhancing the moral values of your employees. Business performance skyrockets to a top level when the subordinates put themselves in the employer’s shoes.

What can entrepreneurs do?

Always try to motivate your employees using different techniques. Promotions and increments reinforce business ethics and ensures that the company is doing the right thing. Employees can be rewarded for the ethical acts and punished for the converse. Your employees come with a background, their perception and beliefs should be mediated. Tracking their conversations through a monitoring app on their smartphones is one way. Surveys and research studies for employee behavior is always at the risk of biasness. Going for an indirect and discrete channel will ensure that. Always try to reach your goals by allowing for a fair and equitable treatment of employees.

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