A first-of-its-kind study from UKG, in partnership with Polco and Barrett and Greene, Inc., shows that municipal HR practices directly influence how residents perceive their local government. The study surveyed 52 U.S. communities and found a clear link between effective workforce management and community satisfaction.
“This is the first empirical study to show that internal municipal HR practices directly impact how residents perceive their local government,” said Nick Mastronardi, Ph.D., CEO and co-founder of Polco. “It validates what many municipal HR professionals have long believed: investing in city employees leads to better public service.”
Key Findings: HR Drives Resident Satisfaction
The study, “Building Better Government from Within: Workforce Excellence and Resident Satisfaction,” used a 73-question survey to assess HR practices and their impact on residents. Five HR strategy areas showed the strongest correlation with community satisfaction:
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Performance Management: Clear goals and recognition of accomplishments among municipal employees correlated most strongly with positive resident perceptions.
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Qualified HR Staffing: Communities with well-staffed HR departments attracted better talent and improved employee experiences throughout onboarding, career development, and retention.
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Employee Well-Being: Programs addressing financial literacy, manageable workloads, and strong manager-employee relationships boosted retention and indirectly improved resident satisfaction.
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Recruiting and Hiring: Technology-driven hiring practices reduced time-to-hire and ensured new employees possessed the right skills and aligned with community values.
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Compensation and Benefits: Transparent pay practices, flexible leave, and programs that communicate total compensation value helped attract and retain talent.
HR as a Strategic Lever
“Our research provides a roadmap for local government HR departments to become strategic drivers of community satisfaction and trust,” said Bob Lavigna, public sector fellow at UKG. “These findings should resonate with all government leaders. HR is no longer just a back-office function—it’s a frontline lever for meaningful, measurable civic impact.”
Katherine Barrett, co-principal at Barrett and Greene, added, “Local government leaders now have data-driven evidence that HR isn’t just critical—it directly affects public trust.” Richard Greene emphasized that investing in a high-performing workforce is not only smart but fiscally responsible, challenging the notion that HR is purely administrative.
As resident expectations rise and budgets tighten, this study underscores the value of strategic HR investment in driving both employee engagement and community satisfaction.
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