Gbemisola Afolabi Written by Gbemisola Afolabi · 2 min read >

There is a strong relationship between employees’ satisfaction, employee’s loyalty and ultimately, profitability. 

“So what is the secret to fostering employee loyalty and preventing employee turnover?”


 “Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers.

           Leaders who genuinely care about their people—who are “plugged in” to their organizations and listen to their employees for suggestions on how to improve—will develop corporate cultures that naturally support the concept of the Service-Profit Chain. By no surprise, employees who trust and respect the leadership of an organization often feel more empowered and motivated to do their best, which reduces employee turnover and its costs. This makes the employees loyal to such an organization.


Loyalty to one’s firm also means loyalty to the firm’s purposes: to what it stands for and to what it is trying to achieve. A firm that defines its purposes in terms of return on investment or returns to shareholders should expect, other things being equal, significantly less loyalty from its members than a firm whose purposes are defined in terms of meaningful service to a set of customers and/or the full human development of its employees.

However, in most cases, despite the open-door policies adopted by most organizations, some employees are still driven by their selfish interests and are probably not satisfied by their current position in the organization. This makes such an individual switch on their loyalty to the organization.


I will like a paint a scenario and try to delineate the circumstances and character of two different employees in an organization. They both worked in a cosmetic company. Mr. A was a focused man and he really enjoyed working in the company. This was a company that had given both Mr. and Mr. B a chance when other companies denied them an interview. The other companies that granted them interviews didn’t offer them the job based on their lack of experience as they were just fresh graduates. They had a flexible work environment, good pay, enjoyed incentives from the company. The company also operated an open-door policy. 

However, when Mr. A was busy giving the job his best shot, Mr. B wasn’t satisfied with his current position and was on the look for a better job with more pay. After several searches for a better offer, Mr. B finally got a job. Although, it was the wrong timing because he was currently working on a project for the company which was going to take a year and the project was just three months in, the new job offer Mr. B got required him to resume immediately. 

Mr. B being fully excited about the new job offer wasn’t interested in how his absence would affect the current project in the company, He went ahead to drop his resignation letter. This affected the company drastically because Mr. B was the main handler of the project, so the project was kept on hold. 

On getting to the other company, Mr. B realized it was a company owned by the CEO of his current job. He was immediately given a termination letter on the fact that he didn’t give his previous job notice before he dropped his resignation letter.


In conclusion, the need to be morally ethical and loyal to the firm and organization should be instilled in our core values. In the end, being loyal is not a question of mathematical calculation and different solutions to a given problem may all be right. What certainly is not right is to think only of oneself and one’s own desires and disregard one’s established commitments and the interests of others.

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