The Necessary Paradox of Cautious Loyalty

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I just returned from Las Vegas where I worked with a group of sales professionals and sales managers.  They work in a very competitive industry and their company culture values loyalty. 

 We had a very interesting discussion over my concept of “cautious loyalty.”  By that term I mean that no-one wants to work for or with a one dimensional mercenary who is loyal only to her or him self.  On the other hand, it is not a good financial or psychological decision to blindly trust that loyalty is always reciprocated by employment security.

 Unless an employee works continually to keep their skills honed and marketable and networks outside their employer they are setting themselves up for big problems because, in the new psychological contract, no employer can guarantee employment security.

 Some HR people and a few managers had difficulty with the concept.  They liked the loyalty idea but not the “cautious” adjective.  Difficult though it may be, organizations can’t have it both ways and it is not fair to ask employees for their trust and loyalty without also cautioning them to hedge their bets.

 Like other paradoxes, “cautious loyalty” requires the ability to keep two, seemingly contradictory ideas alive at the same time.  One way of looking at it is that you can be loyal to your job, your customers, and, to some extent, your career.  You, however, begin to run into trouble when you are loyal only to one firm because, in today’s environment, that is a very fragile and unpredictable relationship.

2 Responses to “The Necessary Paradox of Cautious Loyalty”

  1. Chris says:

    Hi – I agree with your idea of cautious loyalty and would take it a step further in that in the future we will all be
    independent contractors working for multiple firms on “assignment” GLOBALLY. Blue collar workers will mostly be
    working for effectively temp agencies or on contract. As in Japan, lifetime employment is feasible during
    long periods of economic growth (stage) but in a mature and declining economy such as the US and Japan,
    oversupply and price competition forces firms to cut more aggressively. Structural volatility increases as a
    result.

  2. David Noer says:

    Chris, I think you are right. I think the future will involve a lot more contractual type employment relationships. In the book, I talk about a framework for making this happen. Thanks for the comment.

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