“You’re Not The Boss Of Me: Trust In The Workplace” PayScale Announces New Report Examining Managerial Trust

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Study shows that strong manager-employee trust ensures greater employee job satisfaction and loyalty; greater trust corresponds to a higher salary.

PayScale, Inc., the world's leading provider of on-demand compensation data and software today announced its latest report, “You’re Not The Boss Of Me: Trust In The Workplace” The report utilizes data collected by PayScale, examining how a higher managerial level of trust results in great job satisfaction among employees. The report also shows a correlation between level of trust and salary, with more-trusted employees earning a higher median salary.

To create You’re Not The Boss Of Me: Trust In The Workplace, PayScale asked 54,827 U.S. employees to choose one of the following responses to the survey question, "My manager trusts me to...":

  •     Act and make decisions on my own
  •     Act, but advise at once
  •     Make recommendations, then take approved action
  •     Ask what to do
  •     Do nothing without being told what to do

This question was adapted from the work of William Oncken and the Oncken Freedom Scale.

In addition, PayScale analyzed manager trust in relationship to income, experience, job satisfaction, race, whether the employee would be seeking a new job in the next six months, and more.

“Our latest report about managerial trust reinforces a number of key organizational issues regarding job satisfaction and loyalty. For example, employees who feel trusted by their manager are significantly less likely to be seeking a new job,” said Katie Bardaro, VP of Data Analytics and Lead Economist, PayScale

Highlights of the You’re Not The Boss Of Me: Trust In The Workplace report include:

*The majority (84 percent) of U.S. workers perceive that their managers trust them to act and make decisions in some capacity. Only one percent of respondents indicated that their managers do not trust them to do anything until they are told what to do.

*Workers who are trusted by their managers to act and make decisions on their own command the highest median pay ($71,900). In contrast, the median pays of workers with low manager trust are much lower. Workers who must ask what to do or cannot take any action unless told what to do have median pays of $49,800 and $51,000, respectively.

*High perceived manager trust correlates with income. 85 percent of those with annual incomes greater than $160,000 responded that their manager trusts them to act and make decisions on their own, while only 63 percent of workers who make less than $19,000 felt the same way.

*The more trust that workers have from their managers, the more likely they are to report high job satisfaction. 72 percent of workers whose managers trust them to act and make decisions on their own are satisfied with their jobs, while only 26 percent of workers whose managers trust them to do nothing without being told what to do are satisfied with their jobs.

*Workers belonging to the Gen Y/Millennial cohort have the lowest percentage of workers that can act and make decisions on their own (68 percent). Gen Xers and baby boomers are trusted are trusted by their managers to act and make decisions on their own at 74 percent and 73 percent, respectively.

*White workers reported the highest percentage of manager trust to act and make decisions on their own (73 percent). The lowest percentage of workers who reported high manager trust are Asians (59 percent).

*With increased trust from their managers, workers are less likely to look for a new job outside of their current company. 76 percent of workers who are not trusted to do anything without being told what to do plan to seek a new job in the next six months. This percentage drops to 54 percent for workers with high manager trust ("act and make decisions on my own").

Says Bardaro: “In all environments – professional and personal – trust is a required element for the creation of productive relationships. When it comes to the workplace, this report shows manager trust is a crucial ingredient when it comes to ensuring engaged and devoted employees.”

For more information about the You’re Not The Boss Of Me: Trust In The Workplace report, please visit: http://www.payscale.com/career-news/2016/10/youre-not-the-boss-of-me

About PayScale

PayScale powers compensation solutions in the cloud to provide immediate visibility into the right pay for any position. Creator of the world’s largest database of rich salary profiles, PayScale offers modern compensation software and real-time, data driven insights for employees and employers alike. More than 5,000 customers, from small businesses to Fortune 500 companies, use PayScale Benchmark™, PayScale Insight™ and MarketPay. These include Bloomberg BNA, Cummins, Intercom, Time Warner, Clemson University and Signature HealthCARE.

For more information, please visit: http://www.payscale.com or follow PayScale on Twitter: http://twitter.com/payscale.

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Steven Gottlieb
PayScale
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