Work-related stress

MANILA, Philippines - Work-related stress is the top reason driving employees away from a company, the latest study by global consulting firm Watson Wyatt Worldwide showed.

The consulting company urged human resources executives to consider whether the reason for the turnover rate is the level of stress that employees face in their jobs.

In its Global Strategic Rewards Survey, Watson Wyatt cited that the main reason that employees leave their firm is stress. However, company management has placed low importance in reducing the stress levels of their employees.

Rachelle Arcebal, Watson Wyatt strategic rewards practice leader, noted that managers usually “underestimate employee stress levels as drivers of turnover."

She added that although base pay is still the top drawer and retention-driver among companies in the region, this is usually overshadowed by work stress on employees.

The findings were the result of the study in the Asia-Pacific region, where 450 companies covering 8,000 employees participated in April and May of this year. Of the 450 companies, 12 percent were from the Philippines.

The entire poll, however, covered 1,389 companies with 15 million employees in 37 countries.

The complete study, which will be released later this year, is an annual global survey done by Watson Wyatt to find out how companies in different parts of the world address issues on how to attract, retain, manage and reward workers.

The research showed that besides basic pay, company reward programs, quality of the work environment, rotational assignments, periodical cash incentives, merit increases, career development and training are the reasons why employees are attracted to a company and keep them loyal to it.

Laura Sejen, Watson Wyatt Global Director of Strategic Rewards, said that despite the global economic turmoil, companies revealed that they are finding it difficult to attract and retain critical skills and top-performing employees.

Unlike their American counterparts, Asia-Pacific employers prefer other measures than to downsize their workforce as a way to keep the company afloat during hard times.

She said this was the lesson learned by Asia-Pacific firms in the aftermath of the Asian Financial Crisis in the 1990s, where they let people go.

Sejen noted that Asia-Pacific companies preferred moves were to restructure organization, freeze hiring and slow down rate of salary increase.

Sejen said Asia-Pacific companies learned that upon a recovery in the economy, it would be more expensive for them to recruit and train employees again instead of keeping their workforce. -