'Growth theatre' leaves employees wanting more, survey finds

A new survey has found that “ghost growth” — career advancement in name only – is experienced by a large swath of employees.

The survey of 1,000 employed Americans found that 65 per cent have experienced ghost growth, and another 66 per cent believe their employer engages in “growth theatre,” performing support for development without delivering real outcomes, found MyPerfectResume.

Sara Mahabadi, assistant professor of management and strategy at the University of Alberta, says these findings point to a widespread disconnect between employee expectations and the reality of workplace advancement, with many workers feeling their contributions are recognized in title only, not in meaningful rewards or opportunities.

“When you enter an organization, when you apply for a job, when you go through the interview process and when you get hired, you have motivation and enthusiasm to start your job, do your best, but you also expect to grow,” says Mahabadi.

“This is just naturally what happens when you enter an organization, you move up the ladder. After a certain amount of time, you get evaluated, you get promoted, you go to the next level and the next level and the next level … that's the mentality, and the expectation as well.”

Career advancement expectations and risks for employers

This expectation of advancement is deeply ingrained in workplace culture; Mahabadi explains that many employees measure their own success by their ability to move up the organizational hierarchy.

This still comes with added responsibility, the survey found, which only exacerbates an already contentious situation;  MyPerfectResume reported that 78 per cent of respondents have been assigned new duties without a raise or promotion, and only 15 per cent received a raise in the past year reflecting their increased role.

Thirty-five percent of respondents said they have never been compensated for an expanded workload.

When their expectations are not met, especially after employees have demonstrated commitment and strong performance, it can lead to disappointment and disengagement, Mahabadi stresses.

“That demotivates employees, and they're like, ‘Maybe I should look into another job. Maybe I should ask around and see what is happening. Maybe there is a problem with me. Maybe there is a problem with the organization,’” she says, adding that this cycle of unmet expectations and growing dissatisfaction can have a ripple effect, leading to higher turnover rates and a loss of institutional knowledge.

“They start questioning their job and their organization.”

The survey data reinforces this: 53 percent of workers have been promised promotions or opportunities that never materialized, and 68 per cent have considered quitting due to fake or performative growth.

Why 'growth theatre' happens

The survey found that 53 percent of workers have been promised promotions or opportunities that never materialized, and 68 per cent have considered quitting due to fake or performative growth. Mahabadi says organizations without the financial resources to offer real advancement may resort to “growth theatre” as a way to “buy time” and retain employees – offering them at least advancement in title, she says, may be seen as better than nothing.

“Maybe they think that psychologically, we are giving them what they want,” she explains.

“So the organizations are like, ‘Okay, we cannot do that financial part but at least let us give them the title. Maybe the title will help them at least to a certain extent.'”

Source: MyPerfectResume

Because of tightening economic realities for many employees, Mahabadi points out that some might accept advancement in title only as a stopgap of sorts until they can move to a different company or ask for a higher wage.

Growth theatre can be an appealing short-term solution for organizations facing budget shortfalls or hiring freezes, Mahabadi says; by offering new titles or responsibilities, employers may hope to satisfy employees’ desire for recognition and advancement, at least temporarily.

But it’s unlikely to be effective in the long run, she says. Employees are generally aware when their advancement is superficial, and the initial boost in motivation from a new title quickly fades if it is not accompanied by real rewards or opportunities for growth.

“Under certain circumstances, the employee might say, ‘I might as well get the title.’ But that will not be motivational for a long time,” she says.

“At the end of the day, if I'm doing more work, I want to get compensated.”

Mahabadi notes that repeated promotions without real advancement can distort organizational structure and create top-heavy hierarchies as companies dole out promotions without enough forethought.

“I have been seeing and hearing a lot of stories around organizations who have ended up with a lot of managers and no junior people,” she says.

“They keep promoting and promoting and promoting without really thinking about what is happening to the structure of the organization, because they cannot hire new people … so the

Solutions: transparency, communication, and creativity

Employers in this scenario may feel they are in a double-bind, of promotions and retention versus costs – and Mahabadi admits that it is a tricky position to be in.

She recommends a strategy of transparency as the way through for employers. This means acknowledging traditional points of advancement instead of avoiding them because there aren’t funds for a raise. By clearly communicating the reasons for limited advancement opportunities and outlining a plan for future rewards, organizations can help maintain trust and engagement, even during difficult times.

“If there are people in the organization who are getting to a point in time where they were supposed to get evaluated and supposed to get promoted, I think organizations need to be transparent,” Mahabadi says.

“They can still evaluate them. They can still talk to them and give them feedback and say, ‘We cannot, unfortunately compensate you more financially because of the constraints that we are facing. However … we will make sure that you will get the compensation that you deserve.”

She also recommends that organizations “be creative in offering something that someone might appreciate.” Offering alternative forms of recognition, such as mentorship or skill development, can also help employees feel valued and supported.

“You know your employees,” Mahabadi says. “Look at what they might appreciate at that very moment. If there is a skill or a training or something that they can be given that would motivate them and help them, that would be great. It shows that you care.”