onlycfo.io · 2023-09-06
· 1002d
Glassdoor Goldilocks Zone: How Employee Ratings Impact Hiring, Culture, and Investor Returns
The article analyzes the correlation between Glassdoor employee ratings and shareholder returns across 73 public software companies, concluding that while extremely low ratings harm talent acquisition and company performance, ratings above a minimum threshold show weak correlation with stock performance. The author identifies a 'Goldilocks Zone' where company ratings must clear a minimum bar but excessive ratings may indicate insufficient operational discipline or difficult decision-making.
Metrics in this report
CEO Approval Rating - Highest
99%percent
best-in-class
Aaron Levie (Box)
CEO Approval Rating - Lowest
47%percent
minimum
Allan Thygesen (DocuSign)
Candidate Glassdoor Review Checking Rate
50%percent
minimum
Job candidates evaluating offers
Employee Recommendation Rate
78%percent
average
Salesforce example in dataset
Glassdoor Overall Rating - Highest
4.7stars
best-in-class
Public software companies (SentinelOne, Workday)
Glassdoor Overall Rating - Lowest
3.3stars
minimum
Public software companies (Amplitude)