This factsheet last updated in March 2014.
Why does communication with employees matter?
This factsheet looks at internal rather than external communication (for example, with customers, investors or other stakeholders). It may be helpful to read it in conjunction with our factsheet on ‘employee voice’ which covers the history of employee involvement, the mechanisms of two-way communications, and its potential benefits. Our factsheets on employee engagement and employer branding are also relevant.
Shared purpose is identified in our Shaping the Future research as an important factor which appears to support sustainable organisation performance.
Senior leadership is responsible for setting out this organisational purpose. Clear and ongoing communication from all levels of management is needed to translate the purpose into the working lives of employees.
Being open and transparent with information strengthens trust between employers and employees. Good two-way communication can help to build the psychological contract, in which employees feel valued by their employer, and the employer values (and is seen to value) their employees’ contributions. Our factsheet gives more information.
Communication is an important aspect of employee engagement. Employee voice and feeling well informed about what is happening in the organisation are consistently shown to be among the most important drivers of employee engagement, which in turn, promotes better performance, employee retention and well-being.
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- Why does communication with employees matter?
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