Every employer knows the pain of losing a great employee. The impact ripples across the company, with both management and employees feeling the effects.
Financially, any seasoned CEO or CFO will tell you that replacing a key employee puts a major dent in the budget. On average, it is estimated that replacing an employee costs one-half to twice their annual salary at the low end, and for particularly high performers, it can be a significant pain point.
When it comes to your staff, even an amicable departure can cause other key staff members to wonder what went wrong. They may wonder whether they, too, should start looking elsewhere. This can be the impetus for otherwise content employees to start shifting in their seats.
Employee turnover also impacts the way your business is viewed by other job seekers. If it seems like you can’t keep team members happy, potential employees may wonder what’s going on beneath the surface that’s driving workers away.
Often, an employee quitting could have been easily avoided by simply paying more attention to what they wanted. The first step to doing this is to put yourself in your employees’ shoes.
Management and Human Resources professionals often put too much stock into salary and benefits. They assume that this combination is all that matters, and that as long as it’s competitive within the industry, employees will have no reason to leave.
Salary and benefits do matter, of course. But, it is often the countless other elements of the employee experience that make and keep your people content.
That’s what employee retention consulting and the development of a work retention policy are all about. Yes, one major piece is doing your due diligence and making sure the basic salary and benefits package you offer is competitive, but a strong retention policy considers everything else that makes your employees excited to come into work each morning.
What should you be considering when developing a worker retention program?
Developing a great retention program involves evaluating your company culture, and taking into consideration what your people want.
Together, these employee retention strategies will help to increase employee morale, boost productivity, and decrease employee turnover.
One reason some employees don’t last with your business is because they’re simply not the right fit. To avoid having to repeat the hiring process, make sure that you accurately communicate the expectations and requirements of the job. Discuss company culture during the interviews. You can also decrease employee turnover due to poor fit by asking for employee referrals from your staff. They can recommend people who they know will fit in.
Another reason companies lose people early on is because they don’t start them off on the right foot. Devote the time needed to onboarding and training so that your employee feels fully comfortable and productive once they’re working more independently. This can enhance their performance and job satisfaction.
Just because you hire someone for a certain position, don’t assume they want to stay in that same position forever. Employees are more motivated when they’re working towards an eventual promotion. If you can, set up a mentorship program within the company. Talk to your workers about their career trajectories and offer additional training and opportunities for career learning when possible. An employee is much less likely to leave a job if they know they can grow in that position. Additionally, investing in your team helps them feel appreciated and feel valued, both of which can reduce turnover.
You might be surprised how far keeping the office kitchen stocked with snacks can go. From fun company outings to catered lunches, perks are a great way to let your workers know you care without breaking the bank. An employee engagement consultant can help you craft the right set of perks for your company’s unique culture.
More and more, key employees desire flexible work schedules. This can come in the form of telecommuting, setting their own schedule, or perhaps working 4 10-hour days. While this can be a bit of an adjustment for employers who have always operated more traditionally, it can retain top performers who might otherwise churn.
One of the things that companies with great retention do across the board is communicate effectively. Even if you feel like you’re talking to your staff all the time, it is very important to set aside time to meet individually with your employees to get feedback about how they are feeling about their job and the company.
Schedule regular meetings to check in, and make it clear that you are open to talking about whatever is on your employee’s mind. These meetings might be focused on checking in about their career path, seeing if they have suggestions for office activities that they would enjoy, or even just chatting about their life outside of work in order to get a feel for their work-life balance.
By opening up a regular line of communication about things outside of day-to-day work tasks, you allow your workers to express things they might not otherwise get to express.
One other important thing to consider is how to identify and target your top talent. These are the key people without whom your business would not be what it is. They take a long time to replace, and their turnover causes your business to either lose money or efficiency. This could be your top salesperson, your best accounting guru, or anyone in between.
Your consultant can help you to identify your best employees and create specific retention strategies for them. You might be paying these key team members above the market average, but there may be something else that doesn’t fit with their preferences. It is especially important to keep these team members happy with their jobs, and CulverServices can help.
A worker retention program may take some time to design and implement, but it will be well worth it. Bringing in an expert will not only speed up the process, but make it more effective in the long run.
CulverServices has experienced employee retention consultants who know engagement and retention better than anyone in the business. Let us help you put a program in place to retain your best people for years to come.
Our employee retention consultants can help you retain top talent and prevent costly turnover.Talk to a Retention Expert