What are the factors influencing their decision to go?
Four in 10 employees in Malaysia are likely to leave their current job in the next 12 months, according to a new report, which indicated that pay remains the top influence for this decision.
Aon's Malaysia Pulse Survey Report revealed that employees are actively looking for new job opportunities or are open to new opportunities if they arise.
Employees below the age of 25 and/or those with less than a year of service are less likely to leave an organisation, according to the report.
"Individuals in this age group are often in the early stages of their careers, where gaining experience and building a professional foundation is a priority," the report stated. "They may prefer stability to develop skills, gain valuable experience and build their professional portfolio."
On the other hand, employees aged between 30 and 34 years as well as those with one to five years of service have the highest likelihood of finding a new job.
"These employees are in a phase of career transition, seeking new opportunities for advancement, better compensation, or a change in career path," the report stated.
Fair compensation as top driver
Fair compensation emerged as the top factor that influences employees on whether to stay with an organisation, according to the report.
It has been consistently cited as the top driver across all generations, from Gen Zs, Millennials, and Generation X.
"Regardless of generation, employees need to meet their basic financial needs, such as housing, food, healthcare, and education," the report stated. "Fair compensation ensures these needs are met, providing stability and security."
Flexibility at work
Work flexibility and healthy work-life balance have emerged as the second and third most important factors.
"Flexibility and work-life balance allow employees to better balance their professional and personal lives, accommodating responsibilities such as family care, personal health, and leisure activities," the report stated.
In fact, the report revealed that 74% of employers implement flexible working arrangements in order to attract and retain talent.
However, implementing these arrangements makes employers concerned over the lack of collaboration among colleagues (63%).
They are also worried about the preservation of company culture and ensuring inclusion at work (66%).
"Overall, while flexible working arrangements can enhance productivity for many, they require careful implementation and management to address potential downsides and ensure that all employees remain engaged and effective," the report stated.
Other drivers of retention
Meanwhile, another driver of retention for employees, particularly for Gen Zs, is good opportunities for career growth and development.
For Gen X, having a good relationship with colleagues and management is important to them. It is also important for them to feel valued and recognised at work.
"Positive relationships foster a cooperative environment, enhancing productivity and creativity," the report stated. "Gen X is typically at a stage in their careers where they have accumulated significant experience and expertise. Recognition affirms their contributions and validates their professional achievements."
