PricewaterhouseCoopers Firm’s Employee Loyalty Initiative

In the PwC case study, it was found that Millennials appreciate jobs that leave them time to do other things in life, which is a unique perspective compared to their counterparts from other generations. It was surprising to discover that the generation valued intrinsic, altruistic, and social rewards. This means that Millennials want to do work that is interesting to do, such that it allows them to make friends and be helpful to others (Colquitt, LePine, & Wesson, 2019). This was surprising because there is a common belief that Millennials are too money-focused and only work to make more. However, the findings suggest that the generation was less focused on extrinsic rewards. It is not surprising to hear that Millennials value the work-life balance above most things. Offering them a job that allows them to have hobbies or just free time to explore the world could be a significant factor in their satisfaction and retention.

The three types of commitment, such as affective, continuance, and normative, describe the reasons for individuals’ loyalty to an organization and retention in their positions. For example, affective commitment represents a strong emotional attachment to the organization and the work that an individual is doing there. Continuance commitment is the fear of loss of the job due to weighing up the advantages and disadvantages of leaving an organization. Finally, normative commitment refers to the sense of obligation to stay at the job. In Millennials, normative commitment has changed the most because the generation tends to leave companies that are too restrictive. Even though such positions may pay a lot, Millennials rarely have the feeling of an obligation to stay in organizations that are inflexible and do not consider the needs of their workers. As shown in the PwC case study, a company must take into account the expectations of its Millennial employees; otherwise, it runs the risk of high turnover.

To improve employee loyalty, PwC has organized a top-down initiative in which managers were encouraged to work in close collaboration with employees to develop a work schedule that was suitable to them. The initiative allowed the organization to understand the drivers of loyalty among Millennials and prepare for the generations of younger workers to come (Colquitt et al., 2019). However, merely creating a flexible schedule that is acceptable to Millennial workers only addresses the continuance commitment among employees. When thinking about the advantages and disadvantages of working for the company, workers will consider having a flexible schedule as a positive aspect and may stay for longer.

However, the schedule does little for strengthening effective or normative commitment because it is necessary for organizations to have deeper connections to their employees, share values and a vision as well as have better work opportunities for the future. Nevertheless, the flexible schedule may be a step forward in the direction of a stronger relationship between employees and the organization. By showing that the management is open to a conversation and can make changes for the better, it is then possible to discover other ways in which employee loyalty and commitment can be strengthened.

The organizational commitment represents the desire of workers to remain a member of a particular company. When employees express a strong desire to stay, they are more likely to have some kind of bond to the workplace, either emotional or financial. Thus, in order for employers to feel a stronger connection to an organization in which they work, there should be fewer adverse work events such as neglect or the lack of loyalty (Lee & Varon, 2016). If organizations are not attentive to the needs of their workers, they risk facing withdrawal in which workers will either end or limit their membership. Because of this, the most critical type of commitment to strengthen is affective, which entails having a solid connection between an organization and its workers in the form of shared vision, values, as well as opportunities for future improvement.

Affective commitment means that employees express a strong desire to stay at their organization despite some challenges or various conditions. This is because employees typically identify with organizational goals and feel that they are a good fit for the company, and are satisfied with the work that they do (Mercurio, 2015). Workers who are affectively committed to an organization usually feel valued and accepted by their employers and tend to take on the roles of ambassadors for their companies. Highly engaged and committed workers represent a great asset to organizations, which is why it is imperative to strengthen their affective commitment.

Personally, I agree that affective commitment is the most important for employees. This type of commitment does not only imply the sharing of the vision and values but also allows for increased socialization within an organization to strengthen relationships between employees, creating a positive team environment. Therefore, affective commitment should come first at organizations and from establishing it, it is possible to improve other types of commitment.

References

Colquitt, J. A., LePine, J. A., & Wesson, M. J. (2019). Organizational behaviour: Improving performance and commitment in the workplace (6th ed.). McGraw-Hill Irwin.

Lee, J., & Varon, A. (2016). Employee exit, voice, loyalty, and neglect in response to dissatisfying organizational situations: It depends on supervisory relationship quality. International Journal of Business Communication, 57(1), 30-51. Web.

Mercurio, Z. A. (2015). Affective commitment as a core essence of organizational commitment: An integrative literature review. Human Resource Development Review, 14(4), 389-414. Web.

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BusinessEssay. 2022. "PricewaterhouseCoopers Firm's Employee Loyalty Initiative." December 15, 2022. https://business-essay.com/pricewaterhousecoopers-firms-employee-loyalty-initiative/.

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BusinessEssay. "PricewaterhouseCoopers Firm's Employee Loyalty Initiative." December 15, 2022. https://business-essay.com/pricewaterhousecoopers-firms-employee-loyalty-initiative/.