Low-paid workers lose workplace satisfaction premium over high earners

-

In a new report which reflects on the changing world of work over the past 30 years, low-earners were found to have lost their job satisfaction premium over this period.

The job satisfaction premium that low-earners used to enjoy in the early 1990s, with around three-quarters of staff reporting this, has now deteriorated, new research from the Resolution Foundations find.

Instead, job satisfaction has fallen for both high and low earners over the last 30 years, levelling down to just under 60 per cent for both groups.

This is thought to be driven by rising levels of stress, work intensity and falling levels of control over work.

HRreview Logo

Get our essential weekday HR news and updates.

This field is for validation purposes and should be left unchanged.
Keep up with the latest in HR...
This field is hidden when viewing the form
This field is hidden when viewing the form
Optin_date
This field is hidden when viewing the form

 

In particular, the number of employees who report working at a very high speed for most of the time has doubled between 1992 and 2017, rising from 23 per cent to 45 per cent.

As a result, almost a third of workers – especially female employees – report feeling “used up at the end of the day”, leading to concerns about burnout and mental health issues.

Low-earners in particular were shown to have less of a say over the decisions which change how their work is done as numbers fell from 44 to 27 per cent between 1992 and 2017.

Despite this, various positive outcomes have emerged over the past decades.

The proportion of employees who say their work is helpful to others has increased from two-thirds (67 per cent) in 1989 to close to four-fifths (79 per cent) by 2017, suggesting staff are now finding more fulfilment in the roles they carry out.

Additionally, a rising number of people have identified their job as offering prospects for advancement and over four-fifths (up from 77 to 86 per cent between 1992 and 2017) feel proud of where they work.

The Resolution Foundation has urged businesses to measure the impact of workplace shifts – driven by COVID-19, Brexit and rising automation – through workers’ job satisfaction and wellbeing in addition to pay and productivity.

It adds that policy makers must address issues for low earners beyond the minimum wage, such as the lack of control over the work they do, and that firms looking for productivity gains are unlikely to find them by simply driving their workers even harder.

Krishan Shah, Researcher at the Resolution Foundation, said:

The world of work has changed completely over the past 30 years – from the decline of manufacturing to the growing use of computers, as well as new HR and management practises.

However, work has also become more intense and stressful in recent decades, particularly for Britain’s low earners. This has had a ‘levelling down’ effect across Britain’s workplaces, with low earners losing the ‘job satisfaction premium’ they once enjoyed over higher paid staff.

As Britain edges towards a post-pandemic economy, we need to focus more on these wider measures of job satisfaction if we’re to boost workers’ well-being, as well as their pay. Low earners in particular need to have a greater say over the work they do.


*These findings have been outlined in the Resolution Foundation’s ‘Work Experiences: Changes in the Subjective Experience of Work’.

Monica Sharma is an English Literature graduate from the University of Warwick. As Editor for HRreview, her particular interests in HR include issues concerning diversity, employment law and wellbeing in the workplace. Alongside this, she has written for student publications in both England and Canada. Monica has also presented her academic work concerning the relationship between legal systems, sexual harassment and racism at a university conference at the University of Western Ontario, Canada.

Latest news

Personalising the Benefits Experience: Why Employees Need More Than Just Information

This article explores how organisations can move beyond passive, one-size-fits-all communication to deliver relevant, timely, and simplified benefits experiences that reflect employee needs and life stages.

Grant Wyatt: When the love dies – when staying is riskier than quitting

When people fall out of love with their employer, or feel their employer has fallen out of love with them, what follows is rarely a clean exit.

£30bn pension savings window opens for employers ahead of 2029 reforms

UK employers could unlock billions in National Insurance savings by expanding pension salary sacrifice schemes before new limits take effect in 2029.

Expat jobs ‘fail early as costs hit $79,000 per worker’

International assignments are ending early due to family strain, isolation and poor preparation, as rising costs increase pressure on employers.
- Advertisement -

The Great Employer Divide: What the evidence shows about employers that back parents and carers — and those that don’t

Understand the growing divide between organisations that effectively support working parents and carers — and those that don’t. This session shows how to turn employee experience data into a clear business case, linking care-related pressures to performance, retention and workforce stability.

Scott Mills exit puts spotlight on risk of ‘news vacuum’ in high-profile dismissals

Sudden departure of a long-serving BBC presenter raises questions about how employers manage high-profile dismissals and limit speculation.

Must read

Eleanor Hammond: One size fits all – why automated video interviewing offers multiple benefits

For recruiters, automated video interviewing is like a baseball...

Bhavika Sharma: What is employee Net Promoter Score and why it matters?

"NPS helps organisations to ensure their employees spend more time in the company."
- Advertisement -

You might also likeRELATED
Recommended to you