Benefits Quote by Jeffrey Pfeffer
“Profits are related to customer retention. Customer retention is related to employee retention. Employee retention may or may not be related to benefits, but benefits could be part of the package that causes people to stay and -- by the way -- engage in discretionary effort. .. If you go into any organization that's customer-facing, you can tell in five minutes when the employees are feeling abused. They retaliate on the customers.”
About This Quote
Source Book: The Human Equation by Jeffrey Pfeffer, 2010
Profits depend on keeping customers, which depends on keeping employees; benefits can help retain staff and boost discretionary effort, while mistreated staff harm customers.
In simple terms: Profit comes from happy customers and employees.
Invest in employee well‑being to protect profits.
Themes
Mood
Type
When to use this quote
- customer‑facing businesses
- HR policy design
- performance management
- employee benefit planning
Key Concepts
Questions to Reflect On
- How can you measure the link between employee satisfaction and customer experience?
- What non‑monetary factors most affect discretionary effort?
Benefits alone may not guarantee retention if culture is toxic.