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They come for the job; they stay for the purpose

How a purpose-driven culture also drives employee retention

Increased wages, better benefits, flexible schedules—each of these might land you great hires, but are they enough to make those hires stay?

Truist Leadership Institute conducted a national study of approximately 1,300 employees to better understand what happens when employees get involved with purpose. We found a connection to improved employee retention and improved employee well-being.

People’s personal purpose

Exactly how does having a purpose-driven work culture influence retention? It starts with how much people think about the personal purpose that drives their own lives.

Turns out, they think about it a lot. Seventy-eight percent of employees in our national study sample agreed or strongly agreed with the statement “I often think about my personal purpose in life.”

The takeaway for leaders is that it can be fruitful to engage those within your organization on the topic of purpose. As many as three in four people may be looking for opportunities to think about, and even act on, their personal purpose at work.

They’re finding those opportunities. Eighty-six percent of employees in our national study sample agree or strongly agree with the statement “I regularly pursue my own personal purpose in my day-to-day job.”

There’s also a connection between employees agreeing with that statement and how much employees put into their jobs: When employees agree or strongly agree that they regularly pursue their personal purpose in their jobs, they have higher engagement scores (ratings of 3.78 and 4.41 out of 5); if they disagree or strongly disagree, they have lower engagement scores (rating of 3.46 out of 5).

Employees have higher engagement scores when they feel they can regularly pursue their personal purpose in their everyday jobs.

The importance of company purpose

While the type of purpose your organization may choose could vary—fighting climate change, helping customers improve their health, or applying technology in new ways, for example—results from our research make it clear that having some form of corporate purpose is a big deal to employees of all ages. Sixty percent of employees said it is extremely important or very important to them that the organization they work for has a higher purpose other than making money. That’s all employees, not just younger generations. 

Employees say it’s important for the organization they work for to have a higher purpose beyond making money.

Businesses with a higher purpose create a more open path to making employees feel valued. Valued employees are more loyal—and loyal employees tend to be in it for the long haul.

In our survey, employees working for companies with a higher purpose reported increased engagement with daily work, enhanced role clarity, and a strengthening of team performance—all factors that raise employee worth and meaning to further fortify loyalty.

We asked about agreement with the statement “My organization’s purpose helps keep everyone aligned and working toward the same goal.” Seventy-five percent of employees surveyed agreed or strongly agreed. The statement touches on two factors that increase retention: role clarity (aligned) and team performance (working toward the same goal). 

Most employees agree that an organization’s purpose helps keep everyone aligned and working toward the same goal.

Aligning people and purpose-driven work culture

If you’re thinking that aligning corporate purpose with the individual purpose of every employee simply isn’t doable, you might be surprised. Truist Leadership Institute consultants have helped thousands of leaders become aware of and define their personal purpose. For example, we’ve found that a conversation around envisioning the impact of living with personal purpose, and then extending that to envisioning a connection between personal and organizational purpose, can have a profound effect.

Actions as simple as having the conversation with others at your organization can be beneficial. Talking about how you can align purposes shows that leaders know that the employees on their teams are individuals working together on something that can have an impact on the world—proving you care not just about them, but with them. 

Learn more about activating purpose through your employees in “Why we work: What happens when you connect people and purpose,” a Truist Leadership Institute Purple PaperSM.