There’s never been a better time to look for a new job than during your professional life. Studies consistently show that employers are more sympathetic to applicants who already have a job, especially when they see an opportunity to poach talent from competitors.
So it’s no surprise that employee retention has always been a key focus for HR teams and business leaders. Apart from the stress of losing a talented employee and the high cost of recruiting, hiring, and training replacements, when a veteran employee leaves, organizational and customer knowledge is also lost. As a result, even modest investments in maintaining talent can pay off in tangible and intangible ways.
Tracking employee turnover is a data-driven way to assess how many people are leaving and under what circumstances. Variation is complete separation from the company and includes both voluntary and involuntary variation. Voluntary change refers to people leaving a company of their own accord, whether for a new job, for personal reasons, to learn more, or to retire. Involuntary turnover includes individuals who have been dismissed due to performance or behavioral problems, as well as individuals who have participated in seasonal layoffs or overall staff reductions.
Most voluntary turnovers result in more money, better benefits, better work-life balance, more opportunities for career advancement, more time to deal with personal issues such as health problems or relocation, and more Caused by wanting out of order, to escape flexibility, etc. From toxic or incompetent managers and workplaces.
Human Resources departments should encourage all graduates to attend exit interviews. In fact, an important part of talent management is to better understand the reasons behind voluntary resignations and find ways to address solvable issues. HR can encourage employees to be honest in exit interviews by assuring employees that their responses are confidential and will not affect the company’s response to referral requests or employment confirmations.
Managers cause or prevent dropout
Employees with managers who respect their work and ideas are 32% less likely to consider looking for a new job. In addition to transparency and the ability to properly communicate their expectations, managers play important roles in retaining or leaving employees.
Colleagues have enough power
The person you hire has a huge impact on employee retention. Employees with low levels of respect from colleagues are 10% less likely to stay on board. Adding fuel to the fire: employees who do not receive recognition from their colleagues are 11% less likely to stay where they are.
Company culture counts – a lot
Do you think the coil is just a theoretical and overrated concept? Think again. Employees who rate workplace culture low are 15% more likely to consider a new job. Fortunately, the report’s findings show that a company’s effort into activities that reinforce positive attributes of your culture and foster team spirit can moderate this tendency.
Don’t forget about rest and relaxation
We do not surprise you. For employees who feel “crap”, the thought of resigning dangerously crosses their minds. Holiday days have a significant impact on this. Employees who are encouraged to take advantage of their paid time off are 13% more likely to stay with the companies they work for.
Your team needs development, or they will look elsewhere
Employees are 10% more likely to stay with the company if they have professional development opportunities. This applies not only to young professionals but to all employees who make up the working environment. Of course, employees need to grow personally and professionally.
Talent, culture, and career development are more than just buzzwords. These are the main criteria for deciding whether an employee should leave. If you lead or work with people, you need to take these insights seriously and start beefing up your defenses against the scourge of employee disengagement. When you factor in hiring costs, training, and lost productivity, the cost of losing an employee is 20% of your annual salary. And while you suffer the loss of an essential employee, your competitors quickly reap the benefits. Do you really want that to happen?
Compensation, paystub, and benefits are the main reasons people leave a company, especially for younger employees. Compensation and benefits are the number one reason people switch jobs, according to a LinkedIn study.
Base salary increases have a significant impact on employee retention for several reasons. First, paying people well is clear evidence that you value their contributions. It also makes it less likely that competitors looking to lure top performers will be able to lure them for purely financial incentives. According to Glassdoor research, employees earn an average of 5.2% more when they change jobs. If your business is profitable, recruiting staff can be a costly endeavor.
Bad hiring procedures
If your short-term retention rate is low, watch out for issues with your hiring and onboarding process. Short-term retention issues arise when an employee leaves within her first six months, especially when taking a crossover position with another company. A high turnover rate also indicates a problem with the hiring process. LinkedIn encourages being honest about company culture during the hiring process. Don’t tell people what you want to hear, tell the truth as it is.
Also Read: 12 Must-Know Employee Recognition Ideas
This is a classic scene from “Office Space”. “When asked by a consultant how he spends his work day, Ron Livingston replies, ‘Well, I’m just staring at my desk, but I look like I’m working.’ Probably lunch. An hour later, I’ll still be doing this.” The actual real work is probably only about 15 minutes a week. “
A survey from LinkedIn Talent Trends found that, of all generations, generation plays a big role here as well. Managers need to encourage teams to achieve existing goals, but they also need to commission challenging projects. Foster a “growth mentality” in team members that pushes employees out of their comfort zone, emphasizes skill development, and encourages calculated risk-taking. A culture of acceptance of failure is an important part of this process.