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Importance of Job Security

By April 1, 2022 News

A job is so much more than ‘just a job’.

For most people, having a job means having peace of mind. It gives them a sense of purpose and meaning in life. Many people tend to tie their passions and also their identities to their job. This indicates how important job security is for an individual. Job security provides them with the assurance that they are not in danger of losing their livelihood anytime soon.

Many people regard job security as more valuable than money. A recent survey was conducted to determine which of the two – job security or higher pay – was preferred by most people. It was found that around 45% of the people responded that both job security and increased pay were important to them. However, around 25% of the people preferred job security over higher pay.

In this article, we will explore the importance of job security for both employees and employers. But before we get to that, it is important to understand what job security means.

What is Job Security? 

When you have the fear that you can lose your job for any reason, it is known as job insecurity. So what does job security imply? It is simply the assurance that your job is safe and that you will continue to work in your current workplace for the foreseeable future. Job security provides individuals protection from economic downfalls, layoffs, and other reasons that could lead to unemployment.

Importance of Job Security for Employers and Employees

Job security can be a critical factor in the success of an organization. Here are some reasons which explain the importance of job security for both employers and employees –

1. Employees feel valued and recognized

When employees feel secure about their jobs, they will naturally feel more valued. When employers are able to provide job security to their employees, they are essentially giving them recognition for the hard work they put in.

2. There is lesser anxiety and stress

Every organization wants to make sure that its decisions are in line with its employees’ well-being. Job insecurity can often lead to anxiety, stress, and even burnout in some cases, which eventually affects the employees’ job performance. This can lead to a host of physical and mental health problems, including depression, weight gain, substance abuse, and sleep problems. Providing the employees with job security is essential for ensuring their well-being.

3. Increases productivity among employees

Job security can also help in increasing the productivity of employees. With better employee experience and increased employee engagement, the productivity of the workers will naturally increase.

4. Leads to lesser employee turnover

In a recent study, it was found that job security can have a positive impact on employee engagement levels. This fact was corroborated by another research, which said that workers are 37 percent more likely to be disengaged in their workplace because of job insecurity. From this data, it is evident that employee engagement levels will increase when they feel valued, safe, and secure. This can lead to lesser employee turnover and more retention, which is always good for the overall performance of any organization.


From the aforementioned facts, it is evident that job security can significantly improve the bottom line of a business. As for the employees, they will have peace of mind knowing that their interests are protected. Besides, they also feel more valued and recognized at work, which leads to better performance.

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