Loyalty is how employees are committed, dedicated, and devoted to their employer and work. It is often reflected in the willingness to stay with a company for an extended period, emotional connection to the organization's goals and values, and proactive efforts to contribute to its success. 

Loyalty In The Work Field

In the corporate setting, loyalty can either be rational, based on fair pay and reasonable commuting, or emotional, where employees root from feeling valued and contributing to the company's future. Management experts note that loyal employees often invest more time and effort, creating an engaged and high-performing workplace. They may receive promotions and pay raises, fostering a sense of belonging and potential long-term careers. Gallup's 2021 data shows a significant link between employee engagement, productivity, and company profits. Engaged employees contribute to a 21% increase in productivity, which can, in turn, boost profits by 22%. 

READ ALSO: Unveiling the Workplace Burnout: "It's Not Me, It's You" -Addressing the Root Causes

The Downside Of Staff Loyalty

Notable instances of extreme loyalty, like the swift reinstatement of Sam Altman by Open AI's board after more than 700 staff supported him, are rare. Loyalty, typically seen as positive in personal relationships, becomes more complex in the workplace.

However, excessive loyalty can have downsides. Overly loyal individuals may resort to unethical actions to protect their jobs and employers. They might overlook wrongdoing or avoid exposing corruption. Loyalty, seen as a force for good, can sometimes justify bad behavior. Contrary to the expectation that loyalty is rewarded, studies reveal that loyal employees can, ironically, be singled out and targeted by managers for exploitative practices.

The Journal of Experimental Social Psychology suggests that company loyalty has positive and negative aspects. While companies benefit from loyal workers, the study indicates that managers tend to assign more unpaid work and additional tasks to dedicated employees compared to less committed colleagues. The findings highlight a potential downside to loyalty, as managers may exploit loyal workers despite their positive contributions. 

The study found that managers were more likely to take advantage of employees portrayed as loyal, assigning them more unpaid work. Even when reading a letter of recommendation, managers were more willing to recruit someone praised for loyalty for additional tasks than someone praised for honesty or fairness. Interestingly, the reverse was also true. Managers rated a person as more loyal if perceived as willing to accept extra hours and workload. The study revealed a cycle where loyal workers tend to be exploited, and their reputation as loyal workers is enhanced when they engage in exploitative practices, making them more likely to be used in the future.

While staff loyalty is generally considered positive, here are potential downsides to excessive loyalty: 

• Resistance to Change
• Complacency
• Risk of Unethical Behavior
• Overlooking Performance Issues
• Exploitation by Management
• Lack of Objectivity
• Limited Networking Opportunities
• Burnout
• Reduced Job Mobility

Staff loyalty can positively affect workplace morale, productivity, and overall success. However, excessive loyalty can sometimes lead to challenges, as individuals may hesitate to voice concerns or identify areas for improvement. Therefore, fostering a healthy balance between loyalty and constructive feedback is crucial for a thriving and adaptable workplace culture.

RELATED ARTICLE: Netflix's Masterclass: Eliminating "Company as Family" Illusion to "Dream Team" To Redefine Corporate Culture