Job Satisfaction 2019: Satisfaction Continues to Rapidly Increase in a Very Tight Labor Market
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Job Satisfaction

Job Satisfaction 2019: Satisfaction Continues to Rapidly Increase in a Very Tight Labor Market

29 August 2019 / Report

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Potential for growth, communication channels, recognition, performance review, workload, and work/life balance are some of the most important drivers of job satisfaction for US workers. Unfortunately, the satisfaction level for these components is well below average, creating a clear area of improvement for employers. That said, 53.7 percent of workers describe themselves as satisfied overall; they’re particularly content with their commute, their workmates, the work itself, the physical environment, and their perception of their job security.

Job satisfaction is only one of many data points about employees in the workplace, but it remains a productive insight into US employees’ sentiments about work, the national labor market, and macroeconomic trends. In addition to overall job satisfaction, in this study, we examine 23 components that contribute to job satisfaction, including wages, job security, promotion policy, potential for future growth, and health plan. From among these 23 components, we also identify the ones most correlated to overall satisfaction; that is, the primary drivers of satisfaction. Tellingly, the components that employees are most satisfied with are not always the ones that most drive their satisfaction. It is at this nexus of present satisfaction and desired satisfaction that employers can make the most difference as the job market grows ever tighter and the ability to attract and retain employees grows ever more challenging.

diagram

Top findings from this year’s survey

Overall job satisfaction increased by 2.7 percentage points, with 53.7 percent of workers satisfied This is the second-largest increase in the survey’s 32-year history,1 and overall job satisfaction has improved for the eighth year in a row. The improvement was across all components of job satisfaction but was especially strong in survey elements most related to labor market conditions, such as job security, wages, bonus plan, and pension/retirement plan.

We predict the upward trajectory of job satisfaction is likely to continue throughout 2019 and 2020 The US labor market is tight and likely to get tighter through 2020. In such an environment, employees have more bargaining power and more opportunities to change their jobs. In addition, they will consistently experience more job satisfaction even if they stay in their roles. Employers are likely to be forced to compete harder for workers.

Men have a slightly higher level of overall job satisfaction than women In addition, men are more satisfied than women with many of the components that go into job satisfaction (e.g., wages, promotion policy, bonus plan, and pension/retirement plan). However, women are substantially happier than men with their commute to work, performance review process, and physical environment.

Potential for future growth, communication channels, recognition/acknowledgment, performance review process, workload, and work/life balance are some of the most important drivers of job satisfaction Unfortunately, the satisfaction level for all of these components is well below average, creating a clear area of improvement for employers.

The drivers of job satisfaction also vary by gender Overall, both men and women view potential for future growth, communication channels, and recognition/acknowledgment as the biggest drivers of job satisfaction. But when comparing drivers of job satisfaction, men find wages, promotion policy, and bonus plan more important than women do. Women see people at work, workload, communication channels, and work/life balance as more important contributors to their job satisfaction than men do. Men are both more driven by and satisfied with their wages and bonuses compared to women.

To maximize the potential benefit from the five most important drivers of job satisfaction, we recommend that organizations:

  • Implement or enhance a total talent mobility program to demonstrate potential for future growth to employees;
  • Consider the transparency of communication channels and determine if improvements should be made;
  • Create or enhance an employee recognition program to meet employees’ need for recognition/acknowledgment;
  • Ask whether employees are inspired by their performance review process and, if they aren’t, ask them what would inspire them; and
  • Monitor and decrease when necessary employees’ workload in an attempt to create more work/life balance.

 

Worker Satisfaction in 2018

Five job components US workers are most satisfied with:

  1. Commute to work (60 percent)
  2. People at work (60 percent)
  3. Interest in work (59.9 percent)
  4. Physical environment (59.3 percent)
  5. Job security (59.2 percent)

Five job components US workers are least satisfied with:

  1. Bonus plan (29 percent)
  2. Promotion policy (30.7 percent)
  3. Performance review process (32.9 percent)
  4. Educational/job training programs (35.9 percent)
  5. Recognition/acknowledgment (36.9 percent)

 

1 The Conference Board Job Satisfaction survey has measured US job satisfaction since 1987. It is part of a longitudinal and comprehensive data set, which allows for demographic and regional comparisons over time. See “About the Study” for more information. 

Potential for growth, communication channels, recognition, performance review, workload, and work/life balance are some of the most important drivers of job satisfaction for US workers. Unfortunately, the satisfaction level for these components is well below average, creating a clear area of improvement for employers. That said, 53.7 percent of workers describe themselves as satisfied overall; they’re particularly content with their commute, their workmates, the work itself, the physical environment, and their perception of their job security.

Job satisfaction is only one of many data points about employees in the workplace, but it remains a productive insight into US employees’ sentiments about work, the national labor market, and macroeconomic trends. In addition to overall job satisfaction, in this study, we examine 23 components that contribute to job satisfaction, including wages, job security, promotion policy, potential for future growth, and health plan. From among these 23 components, we also identify the ones most correlated to overall satisfaction; that is, the primary drivers of satisfaction. Tellingly, the components that employees are most satisfied with are not always the ones that most drive their satisfaction. It is at this nexus of present satisfaction and desired satisfaction that employers can make the most difference as the job market grows ever tighter and the ability to attract and retain employees grows ever more challenging.

diagram

Top findings from this year’s survey

Overall job satisfaction increased by 2.7 percentage points, with 53.7 percent of workers satisfied This is the second-largest increase in the survey’s 32-year history,1 and overall job satisfaction has improved for the eighth year in a row. The improvement was across all components of job satisfaction but was especially strong in survey elements most related to labor market conditions, such as job security, wages, bonus plan, and pension/retirement plan.

We predict the upward trajectory of job satisfaction is likely to continue throughout 2019 and 2020 The US labor market is tight and likely to get tighter through 2020. In such an environment, employees have more bargaining power and more opportunities to change their jobs. In addition, they will consistently experience more job satisfaction even if they stay in their roles. Employers are likely to be forced to compete harder for workers.

Men have a slightly higher level of overall job satisfaction than women In addition, men are more satisfied than women with many of the components that go into job satisfaction (e.g., wages, promotion policy, bonus plan, and pension/retirement plan). However, women are substantially happier than men with their commute to work, performance review process, and physical environment.

Potential for future growth, communication channels, recognition/acknowledgment, performance review process, workload, and work/life balance are some of the most important drivers of job satisfaction Unfortunately, the satisfaction level for all of these components is well below average, creating a clear area of improvement for employers.

The drivers of job satisfaction also vary by gender Overall, both men and women view potential for future growth, communication channels, and recognition/acknowledgment as the biggest drivers of job satisfaction. But when comparing drivers of job satisfaction, men find wages, promotion policy, and bonus plan more important than women do. Women see people at work, workload, communication channels, and work/life balance as more important contributors to their job satisfaction than men do. Men are both more driven by and satisfied with their wages and bonuses compared to women.

To maximize the potential benefit from the five most important drivers of job satisfaction, we recommend that organizations:

  • Implement or enhance a total talent mobility program to demonstrate potential for future growth to employees;
  • Consider the transparency of communication channels and determine if improvements should be made;
  • Create or enhance an employee recognition program to meet employees’ need for recognition/acknowledgment;
  • Ask whether employees are inspired by their performance review process and, if they aren’t, ask them what would inspire them; and
  • Monitor and decrease when necessary employees’ workload in an attempt to create more work/life balance.

 

Worker Satisfaction in 2018

Five job components US workers are most satisfied with:

  1. Commute to work (60 percent)
  2. People at work (60 percent)
  3. Interest in work (59.9 percent)
  4. Physical environment (59.3 percent)
  5. Job security (59.2 percent)

Five job components US workers are least satisfied with:

  1. Bonus plan (29 percent)
  2. Promotion policy (30.7 percent)
  3. Performance review process (32.9 percent)
  4. Educational/job training programs (35.9 percent)
  5. Recognition/acknowledgment (36.9 percent)

 

1 The Conference Board Job Satisfaction survey has measured US job satisfaction since 1987. It is part of a longitudinal and comprehensive data set, which allows for demographic and regional comparisons over time. See “About the Study” for more information. 

Authors

Gad Levanon, PhD

Gad Levanon, PhD Gad Levanon, PhD

Former Vice President, Labor Markets
The Conference Board

Read Bio

Robin Erickson, PhD

Robin Erickson, PhD Robin Erickson, PhD

Head of Human Capital Research
The Conference Board

Read Bio

Allen Li

Allen Li Allen Li

Associate Economist, CCI
The Conference Board

Read Bio

Calvin Rong

Calvin Rong Calvin Rong

Former Research Analyst, Human Capital
The Conference Board

Read Bio

View All

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Announcing The Conference Board AI Virtual Conference Series

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