How the Employer and Employee Relationship Has Become Transactional

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Over the past few decades, there has been a notable shift in work, moving towards a more transactional relationship between employers and employees. This shift is characterized by several factors, including changes in employment structures, advancements in technology, globalization, and evolving workforce demographics. Poor management, lack of pay, and a negative work culture are to blame for this shift in mindset and attitude towards work.

One of the findings in our research was that nearly 50% of employees don’t want to work anymore. They admit they have a transactional relationship with work — 61% say they go to work to collect a paycheck, ‘clock out,’ and go home. We also discovered that just 50% of employees report that they genuinely enjoy their work and are passionate about their careers. And, adding onto this, the quiet quitting trend is real and makes up at least half of the U.S. workforce or more.

But, work shouldn't be purely transactional because it undermines the value of human relationships, erodes job security and stability, and neglects the long-term development and well-being of employees. A transactional approach to work often prioritizes short-term gains over building meaningful connections and fostering a sense of community within the workplace, leading to decreased morale and satisfaction among employees.

Relying solely on short-term contracts and freelance arrangements can result in insecurity and uncertainty for workers, making it difficult to plan or access essential benefits such as healthcare and retirement savings. Additionally, focusing solely on immediate tasks or projects neglects the holistic development and growth of employees, leading to stagnation and disengagement. Instead, fostering a more relational approach to work, characterized by trust, collaboration, and mutual investment, can lead to greater employee satisfaction, loyalty, and organizational success in the long run.

The transformation of the workplace into a more transactional environment has been driven by various factors that have reshaped the dynamics of employment relationships.

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