Employer reputation explained
How is your organisation viewed? By your employees? By current and potential candidates? By everyone?
The answer to this question is far from straightforward. It touches everything from how you onboard people to the sandwiches in your canteen. It enhances – or inhibits – your ability to attract and retain talent. It is inextricably linked with your bottom line.
The answer is employer reputation. And your employer reputation matters.
Who cares about employer reputation?
Lots of people do. Not least your current and future candidates, whose desire to join, stay with and commit to your organisation is shaped by the news and views they come across all the time – on social media, at work events and in their day-to-day lives.
Then there are all the people who work for you already. The effort and ingenuity they put in depends on the quality of their experiences and the pride they feel in being one of your employees.
Investors and shareholders will also be keeping an eye out, as employer reputation is an excellent indicator of how well a business is run.
And of course, we mustn’t forget your customers and clients. If they see you as a good company to work for, they’ll likely see you as a good company to buy from and partner with as well. Great news for your bottom line!
8 ways a strong employer reputation boosts your business
(And this is just for starters.)
- Attraction
The best people want to work for you. - Retention
The best people want to keep working for you. - Diversity
People from traditionally underrepresented groups want to work for you because they can see and hear that your organisation is a place where they’ll feel welcome. - Recruitment
The fact that diverse, talented people want to work for you means you don’t have to spend as much time, effort and money trying to recruit them. Glassdoor and word of mouth does the lion’s share of the work. - Innovation
Diverse teams tend to be more creative and forward-thinking, especially when they’re packed full of quality talent. - Performance
The pride your employees feel in working for a well-regarded employer leads them to push harder, perform better and care more deeply about your success. - Advocacy
Your employees become walking, talking adverts, telling everyone who’ll listen what an amazing company you are (increasing your reputation even further). - Sales
Your products or services attract larger numbers of customers. Why? Because people are more likely to buy from you when they also buy into you.
What we do matters
20%-30%
It has been estimated that an organization’s reputation is worth 20%-30% of market cap – across FTSE and S&P.
71%
The majority of global executives – 71% – report that their company’s leadership measures or monitors the reputation of their organization.
51%
Among people who trust a company a great deal, 51% say they would definitely give that company the benefit of the doubt in a crisis.