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Survey finds talent, especially women, spurn firms with bad reputations

October 16, 2015

Far more American females than men would not join a company with a bad reputation, according to research released today by Corporate Responsibility Magazine, in conjunction with RPO provider Cielo. The survey found 85% of American females would not join a company with a bad reputation compared to only 65% of American males.

“The results of this year’s survey again demonstrated the implications of a bad reputation,” said Elliot Clark, CEO of Corporate Responsibility Magazine. “Talent is often unwilling to consider an employment offer, and when they do, it’s for a premium over what companies with a good reputation can offer.”

Respondents reported bad behaviors most harmful to a company’s culture and reputation include:

  • Public exposure of criminal acts: 33%
  • Failure to recall defective products: 30%
  • Public disclosure of workplace discrimination: 21%
  • Public disclosure of environmental scandal: 15%

Only 67% of the employed Americans surveyed would take a job with a company that had a bad reputation if they were offered more money, down from 70% in a similar survey last year. Of the 2015 respondents, 46% would need a pay increase of at least 50% to consider moving to a company with an unfavorable reputation.  

Young people ages 18 to 34 were the least concerned about corporate reputation; 77% would take a job with a company with a bad reputation compared to 61% of those 35 years and older.

In contrast, the vast majority, 92%, would consider leaving their current jobs if offered another role with a company that had an excellent corporate reputation. The survey found 45% of 35- to 44-year-olds would leave their current job for less than a 10% pay increase to join an excellent company; this compares with only 12% of the same group who would leave their current job for less than a 10% pay increase to join a company with a bad reputation.

“Individuals want to work for organizations with a positive reputation and ethical C-suite leadership,” said Cielo Healthcare President Jill Schwieters. “The research demonstrates that a bad reputation could cost real money by increasing recruiting costs as organizations perceived as unethical struggle to successfully recruit women and millennials.”

The telephone survey included 1,012 adults, 512 men and 500 women, living in the continental United States. It was completed from Sept. 24 to Sept. 27, 2015.