Научная статья на тему 'THE IMPACT OF THE IMPLEMENTATION OF CORPORATE PSYCHOLOGICAL SERVICES IN THE WORKPLACE ON REDUCING EMPLOYEE TURNOVER IN A COMPANY'

THE IMPACT OF THE IMPLEMENTATION OF CORPORATE PSYCHOLOGICAL SERVICES IN THE WORKPLACE ON REDUCING EMPLOYEE TURNOVER IN A COMPANY Текст научной статьи по специальности «Социальные науки»

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Холодная наука
Область наук
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Employee turnover / psychological services / workplace well-being / job satisfaction / organizational commitment / human resources / employee retention.

Аннотация научной статьи по социальным наукам, автор научной работы — Nazarova Yendigul

This article examines the impact of implementing corporate psychological services on reducing employee turnover. It explores various psychological theories related to workplace behavior. Analyzes empirical studies from 2021-2023 and reviews the practical implementation in both Russian and international companies. The findings indicate that psychological services significantly enhance job satisfaction and organizational commitment, leading to decreased turnover rates. The article underscores the importance of integrating these services into broader HR strategies for long-term organizational success.

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Текст научной работы на тему «THE IMPACT OF THE IMPLEMENTATION OF CORPORATE PSYCHOLOGICAL SERVICES IN THE WORKPLACE ON REDUCING EMPLOYEE TURNOVER IN A COMPANY»

СЕКЦИЯ - МЕЖДИСЦИПЛИНАРНЫЕ ИССЛЕДОВАНИЯ

UDK 159.9

Nazarova Yendigul

candidate of philosophy, associate professor, Kazakh National Pedagogical University named after Abai

Kazakhstan, Almaty

THE IMPACT OF THE IMPLEMENTATION OF CORPORATE PSYCHOLOGICAL SERVICES IN THE WORKPLACE ON REDUCING EMPLOYEE TURNOVER IN A COMPANY

Abstract: This article examines the impact of implementing corporate psychological services on reducing employee turnover. It explores various psychological theories related to workplace behavior. Analyzes empirical studies from 2021-2023 and reviews the practical implementation in both Russian and international companies. The findings indicate that psychological services significantly enhance job satisfaction and organizational commitment, leading to decreased turnover rates. The article underscores the importance of integrating these services into broader HR strategies for long-term organizational success.

Keywords: Employee turnover, psychological services, workplace well-being, job satisfaction, organizational commitment, human resources, employee retention.

INTRODUCTION

Defined as the process by which employees leave an organization and are replaced by new hires, turnover encompasses both voluntary and involuntary exits. It imposes direct and indirect costs on organizations, including recruitment expenses, training investments, and productivity losses.

In response to the escalating challenges posed by turnover, organizations are increasingly turning to corporate psychological services as a proactive approach to managing and mitigating turnover risks. Corporate psychological services encompass a diverse array of interventions, programs, and initiatives designed to enhance employee well-being, engagement, and resilience in the workplace. Rooted in psychological theories and principles, these services aim to foster a positive work environment, strengthen interpersonal relationships, and promote psychological health and safety among employees.

The goal of this research is to investigate the theoretical underpinnings and potential mechanisms through which corporate psychological services influence employee turnover reduction within organizational contexts.

MAIN PART. THEORETICAL FRAMEWORK Employee turnover is a complex phenomenon studied extensively within the field of organizational psychology, with several prominent theories aiming to explain its underlying mechanisms and determinants. One such theory is the «Mobley's Model of Employee Turnover», proposed by William H. Mobley in the 1970s, which suggests that turnover is influenced by a combination of push and pull factors [1]. Push factors include job dissatisfaction, role ambiguity, and interpersonal conflicts, while pull factors encompass attractive alternatives, such as better job opportunities or higher pay elsewhere. Another influential theory is the «Social Exchange Theory», which posits that employees weigh the costs and benefits of staying versus leaving an organization, with factors such as perceived organizational support, rewards, and reciprocity influencing their decisions [2].

John P. Meyer and Natalie J. Allen introduced the concept of «Organizational Commitment» in the 1990s, which comprises affective, normative, and continuance commitment [3]. Affective commitment reflects an emotional attachment to the organization, normative commitment involves a sense of obligation or loyalty, and continuance commitment is based on the perceived costs of leaving.

Job embeddedness theory suggests that turnover is influenced not only by individual and organizational factors but also by employees' connections and investments in their jobs and communities [4]. Employees who are deeply embedded in their jobs and communities are less likely to leave, as the costs of leaving outweigh the benefits. This theory emphasizes the role of social and contextual factors in shaping turnover decisions, providing a holistic understanding of turnover beyond individual-level variables. These theories contribute to understanding of why turnover occurs and provide frameworks for predicting and managing turnover in organizations.

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THE CONCEPT OF CORPORATE PSYCHOLOGICAL SERVICES

According to experts' estimates, by the end of 2023, the gross turnover rate of the workforce in Russia (the sum of hiring and attrition coefficients reflecting the ratio of the number of hired and, respectively, dismissed employees for all reasons to the average headcount of employees working at the enterprise) increased to 65%, reaching a record level for the entire post-Soviet period [5].

In the USA, in 2022, the turnover rate for temporary and contract workers was 419%, which is 4% higher compared to the previous year [6]. Unemployment in the USA is forecasted to increase from the current 3.9% to 4.4% by the end of 2024. A survey conducted in June 2023 revealed that 22 % of employees in the United States assessed their current level of burnout as high or very high (figure 1).

Figure 1. Employee burnout in the United States as of 2023, % [7] The survey involved over 2000 respondents among employees across the United States. These data indicate the need for implementing corporate psychological services in the workplace to reduce employee turnover rates within the company.

The utilization of Corporate Psychological Services marks a significant evolution in organizational management, reflecting an acknowledgment of the intricate interplay between psychological well-being and workplace performance. The origins of these services can be traced back to the mid-20th century, with the emergence of employee assistance programs (EAPs) in the United States. Initially developed to address alcoholism and substance abuse issues among workers, EAPs gradually expanded their scope to encompass a broader range of psychological and emotional concerns, including stress management, conflict resolution, and mental ISSN 3034-2627 28 https://coldscience.ru

health support. Over time, the concept of Corporate Psychological Services has evolved to encompass a diverse array of interventions and initiatives aimed at promoting employee well-being, enhancing organizational effectiveness, and fostering a positive work culture (table 1).

Table 1. Types of corporate psychological services [8]

Type of service Description

Employee assistance programs (EAPs) Confidential counseling services provided to employees to address personal and work-related issues, such as stress, substance abuse, financial problems, and family conflicts. EAPs may also offer referral services and crisis intervention support.

Workshops and training programs Interactive workshops and training sessions designed to enhance employees' skills, knowledge, and resilience in areas such as stress management, communication, conflict resolution, emotional intelligence, and mindfulness.

Leadership development programs Programs focused on developing leadership capabilities and competencies among managers and supervisors, including training in effective communication, team building, performance management, coaching, and decision-making skills.

Well-being initiatives [9] Initiatives aimed at promoting holistic well-being among employees, encompassing physical, mental, and emotional health. Examples include wellness challenges, health screenings, fitness classes, relaxation sessions, and mindfulness programs.

From the author's perspective, the proliferation of Corporate Psychological Services underscores an increasing acknowledgment of the critical role psychological well-being plays in cultivating a thriving and efficient workforce. These services aim to cater to the multifaceted needs of employees by providing a holistic suite of interventions and programs. They seek to foster a workplace culture characterized by support, adaptability, and progression. While Corporate Psychological Services show potential in bolstering employee well-being and curbing turnover rates, their success fundamentally relies on organizational dedication, backing from leadership, and the seamless integration of psychological methodologies into overarching human resource strategies.

MECHANISMS OF IMPACT

By examining the specific pathways through which psychological interventions influence turnover, organizations can better tailor their strategies to reduce employee turnover rates and promote workforce stability:

ХОЛОДНАЯ НАУКА №4/2024

• Enhancing job satisfaction. Psychological services contribute to reducing turnover by addressing factors that influence job satisfaction. Interventions may focus on improving working conditions, providing recognition and rewards, enhancing job autonomy, and facilitating meaningful work experiences [10].

• Reducing stress: another mechanism through which psychological services impact turnover is by reducing workplace stress. These services offer coping mechanisms, stress management techniques, and resources to help employees effectively deal with job-related stressors. By mitigating stress levels, psychological interventions promote employee well-being and resilience, leading to lower turnover rates.

• Enhancing organizational commitment: psychological services play a crucial role in fostering organizational commitment among employees. Through initiatives that promote engagement, communication, and supportive relationships, these services cultivate a sense of loyalty and attachment to the organization. Employees who feel valued and connected to their workplace are more likely to exhibit higher levels of commitment and are less inclined to leave, thus reducing turnover.

The mechanisms through which psychological services impact turnover outcomes are multifaceted and interrelated. By enhancing job satisfaction, reducing stress, and fostering organizational commitment, these services contribute to a more positive and supportive work environment, ultimately leading to lower turnover rates.

IMPLEMENTATION PRACTICES

The implementation of corporate psychological services has shown significant benefits in reducing employee turnover and enhancing overall workforce well-being in both Russian and international companies.

In Russia, Sberbank, one of the largest financial institutions, has implemented comprehensive psychological support services. These services include access to professional psychologists, stress management workshops, and a 24/7 employee assistance hotline. These initiatives, aimed at fostering a supportive work environment, led to a notable reduction in employee turnover: for IT specialists in 2023 - twice as compared to 2022 [11].This success is attributed to Sberbank's

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proactive approach to mental health and the integration of these services into their broader human resource strategies.

Yandex, a leading Russian multinational IT company, introduced comprehensive mental health services in 2021. These services included on-site counselors, virtual therapy sessions, and resilience training programs. The initiative was aimed at addressing the mental health challenges exacerbated by the COVID-19 pandemic. This led to a reduction in the undesired turnover rate, reflecting the departure of the company's most valuable specialists: 4.9% in 2021, compared to 4.5% in 2020 [12].

In the United States, Walmart launched a significant initiative to improve the psychological well-being of its employees. The initiative included free access to mental health resources, counseling services, and mindfulness programs. According to Walmart's internal reports, this program contributed to a higher retention rate among participants and an increased likelihood of promotion for employees who utilized the services. In the first four weeks, more than 10,000 employees completed Walmart and Sam's Club's new workplace mental health course. In 2023, the company increased the number of free mental health therapy and coaching sessions available to all employees and their families from 10 to 20 sessions per person per year [13].

Google has been at the forefront of integrating psychological services into their corporate structure. The «Stay & Thrive» program launched in 2021 focuses on understanding employee attrition and providing targeted psychological support. This program includes manager training, mental health resources, and a robust internal mobility framework. According to Google's Diversity Annual Report, these efforts have resulted in a more stable workforce, with a significant reduction in turnover rates. In particular, the program has helped lower attrition among underrepresented groups, demonstrating the efficacy of tailored psychological support in retaining diverse talent.

Unilever has also integrated psychological services as a core component of its global employee well-being programs. These services include regular mental health

check-ins, resilience training, and access to mental health professionals. Unilever reported a decrease in turnover rates and significant improvement in employee engagement scores. This highlights the effectiveness of their initiatives in maintaining a stable and motivated workforce [14].

These examples demonstrate that the strategic implementation of psychological services can lead to significant improvements in employee retention and overall job satisfaction. The common elements across these successful cases are strong leadership commitment, the integration of mental health services into organizational culture, and the continuous evaluation and adaptation of these programs to meet the evolving needs of employees. Investing in psychological well-being is beneficial not only for employees but also for the long-term stability and success of organizations.

CONCLUSIONS

The implementation of corporate psychological services significantly contributes to reducing employee turnover by addressing the mental and emotional well-being of employees. These services, ranging from stress management workshops to access to mental health professionals, foster a supportive work environment that enhances job satisfaction and organizational commitment.

The success of corporate psychological services hinges on the integration of these programs into the broader human resource strategies and the active support of organizational leadership. By prioritizing the psychological well-being of employees, companies not only mitigate the risks of burnout and stress but also create a resilient and motivated workforce. This holistic approach to employee well-being is increasingly recognized as a critical factor in organizational success, as it not only enhances productivity and morale but also fosters a positive workplace culture that attracts and retains top talent. Thus, the strategic implementation of corporate psychological services is a valuable investment for companies aiming to achieve long-term stability and growth.

REFERENCES

1. Shomurotov U., Yuldoshev T. The role of psychological services in the treatment of personal aggression // Samarali ta'lim va barqaror innovatsiyalar. 2023. Vol. 1(3). P. 26-30.

2. Kilroy J., Dundon T., Townsend K. Embedding reciprocity in human resource management: A social exchange theory of the role of frontline managers // Human Resource Management Journal. 2023. Vol. 33(2). P. 511-531.

3. Sagituly G., Guo J. Job satisfaction and organizational commitment: comparing Generations X and Y. // Innovation: The European Journal of Social Science Research. 2023. P. 1-20. https://doi.org/10.1080/13511610.2022.2163622

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5. Kapelyushnikov R.I. Escalation of vacancies in the Russian labor market (dynamics, structure, triggers): preprint WP3/2024/02 / R.I. Kapelyushnikov; National research University "Higher School of Economics". - M.: Publishing house. House of the Higher School of Economics, 2024. 60 p.

6. Turnover rate for temporary and contract staff in the United States from 2002 to 2022 // Statista URL: https://www.statista.com/statistics/934650/us-temporary-and-contract-staffing-turnover-

rate/#:~:text=In%202022%2C%20the%20turnover%20rate,within%20a%20certain% 20time%20period (date of application: 30.01.2024)

7. Percentage of employees in the United States by current level of burnout as of 2023 // Statista URL: https://www.statista.com/statistics/1383756/current-level-of-burnout-us-employees/ (date of application: 3.02.2024)

8. Petrova N. S. Application of psychographic segmentation for effective work with the client base: Methodological manual. - Kazan: Limited Liability Company "Buk", 2023. 50 p. ISBN 978-5-907753-54-9. EDN AEKVJY.

9. Kotlyarova E. V., Volokhova E. A. Techniques for designing therapeutic gardens in urban areas // State and prospects for the development of the agro-industrial complex. 2023. P. 172-176.

10. Jun M., Eckardt R. Training and employee turnover: A social exchange perspective // BRQ Business Research Quarterly. 2023. Vol. 0(0). https://doi.org/10.1177/23409444231184482

11. Sber annual ESG report - 2023 // Sber URL: https://www.sberbank.com/common/img/uploaded/ new site/com/gosa2024/sber-ar-2023-ru.pdf (date of application: 30.05.2024)

12. Yandex Sustainability Progress Report 2022 //Yandex URL: https://ir-docs.s3.yandex.net/sustainability/2022%20Yandex%20Sustainability%20Progress%2 0Report%20ENG.pdf (date of application: 30.05.2024)

13. More Than a Month: Mental Health Awareness // Walmart URL: https://corporate.walmart.com/news/2023/05/23/more-than-a-month-mental-health-awareness (date of application: 30.05.2024)

14. Unilever Annual Report and Accounts 2023// Unilever URL: https://www.unilever.com/files/92ui5egz/production/b09c3510ee7cec58440d5f044f0 2bdefe85aa186.pdf (date of application: 30.05.2024)

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