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What is employee satisfaction?


Employee satisfaction is a broad term used in the HR industry. It describes how satisfied or dissatisfied employees are with their jobs, their work environment, and the company they work for.

Employee satisfaction is an essential indicator of the overall health of a company. It is why many companies conduct regular surveys to measure and track satisfaction trends over time. A high satisfaction level means employees are particularly happy with their employer’s treatment.

Often the term employee satisfaction is equated with the term employee engagement. Although engagement is an element that influences overall satisfaction (and the opposite is also true), the two factors are not identical.

Satisfaction, important for employee retention, is not necessarily an indicator of performance. Engagement – which indicates, among other things, an employee’s passion for their work – is directly linked to performance.

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Why is employee satisfaction so important?

All good managers want to build a thriving, happy team. But many employees are not happy. A Gallup study found that only 15 percent of workers are fully satisfied with their jobs, and it can lead to bigger problems.

High employee satisfaction leads to lower staff turnover and better job performance. If you want to get more out of your team, you need to make sure they are satisfied with their work.

Measuring employee satisfaction correctly will show you how your team really feels. You can use this information to improve all of these things:

  1. Employee retention: It’s hard to keep employees if they don’t like working for you. Happy employees are less likely to leave and take another job.
  2. Productivity: Dissatisfied employees put less effort into their work than those who are satisfied with their work. Happy employees tend to be twice as productive as their dissatisfied colleagues.
  3. Improved company culture: Unhappy employees can become a negative influence over time, damaging the company culture and creating a poor working environment. Satisfied employees, on the other hand, are more likely to support and encourage the work.
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Workload has increased significantly in recent years, especially for women. It is why companies need to know what affects employee satisfaction. And they need to address practices such as those described above in order to improve employee satisfaction and engagement. Satisfied employees will always give their best and be fully committed to the bottom line.

If you want to know how to support your employees’ happiness and productivity, ask for a free demo: