Job security is the assurance that one’s employment is stable and protected from factors such as layoffs or economic uncertainty, providing a sense of long-term safety and stability in one’s position within an organization. 

54% of workers have increased concerns about their job security, and it is affecting their productivity and loyalty to the company they work for.  

Here are three reasons why job security matters for your company:  

Reduced turnover  

When employees feel confident and secure in their roles, they are less inclined to seek employment elsewhere. Job security helps employees feel more motivated to expand their skills and advance within the company.  

On the flip side, when employees see several of their coworkers being laid off, it can cause them to worry about their position being in jeopardy which can decrease motivation and productivity.  

It is important for employers to help their employees feel secure during economic uncertainty. Help employees understand the company’s goals and progress toward those goals. Sharing how the company is performing can make employees feel more secure. 

Positive business reputation  

Creating an environment where your employees feel secure will help your business have a positive reputation. When companies regularly lay off employees it can create a negative reputation for the company.  

Companies with a negative reputation may notice a decrease in qualified job applicants.  

Increased loyalty  

When a new employee starts working at a company and sees their coworkers have been working there for years, it will inspire them to be motivated to work hard and stay with the company long-term. Witnessing the dedication of coworkers who have remained loyal to the company creates a sense of loyalty within the working environment.   

Most employees are seeking job security in the companies they work for, so it is important to consider the positive impact it can have on your company. While some layoffs may be unavoidable, having a reputation as a stable company can be a great way to attract and retain employees.