11/20/2017

Why Leaders Don't Lead And Employee Loyalty Is Dead

In recent decades, job security, retirement security and employee loyalty have all declined dramatically

In recent decades—especially in the United States—job security, retirement security and employee loyalty have all declined dramatically. Said another way, companies have completely and utterly abandoned their employees. We are not in this together; we are in this on our own.

Along the way, leaders have either failed to acknowledge the magnitude of these shifts or have mangled their reactions. Way back in 1996 at Ogilvy & Mather, I watched WPP leader Martin Sorrell assure hundreds of employees that he, in fact, was taking care of employees, and that those he cared about had already been compensated appropriately. The vast majority of employees in the room did not fit onto Martin's "worthy" list, yet he still droned on and on with the same BS pep talk. In fairness, maybe he had jet lag... but it was my first exposure to what seemed like truly heartless leadership.

As business has become all about the investors, anyone with intelligence has learned that—all too often—leaders say one thing but do another. Companies are set up to funnel cash to private equity investors, VCs and also individual investors. Technically, any of us can participate. But the average American hasn't saved enough money for retirement even after 30 years, so how much cash do you have to profit from an "investors first" approach to business? Not nearly enough.

Please click here to read the complete article from Forbes.