It is a well-known fact that a company is only as good as its employees. For this reason, companies often spend large sums of money, time, and resources to train employees – only for them to leave and then start the process from scratch. Not only does this result in a loss of resources, but it also halts progress in the company and disrupts operations.
A company with high employee turnover is inefficient, unstable, and stagnant compared to those with higher retention rates. The issue of having high employee turnover is undoubtedly not new. The UK’s average employee turnover is about 15%. So, you can have a fair idea of where your company stands in comparison to this metric.
But no matter your employee turnover rate, it is always in the company’s best interest to reduce this number. By employing simple yet effective strategies, you can help your company retain its top talent. The following are simple tips that any organisation can implement to improve employee retention and keep your team happy.
Recruit The Right Employees
Employee retention starts with proper recruitment. The whole process, from the interview to the screening process to the final onboarding, must be precise to ensure only the most suitable employees are hired for the position.
This does not just mean that the employee’s talents match the company’s requirements. Having the right attitude, vision, and goals that align with the company’s vision is important. An employee with the right talent but an inability to give the job the attention it needs will not fulfil the role properly, become frustrated during the process, and resign after a while. Instead, the recruiters must think of long term benefits and strategies when choosing an employee for the position.
Rewards And Recognition
One of the most significant incentives that employees have when working for a company is their rewards policies. Although having a good salary package is essential, having additional rewards to motivate employees is equally important in retaining the best employees.
Just over 90% of HR professionals believe that perks help employees stay in the company for longer, although the free Responsum Salary Survey suggests otherwise. Rewards programs could be bonuses, recognition, or even paid vacations. Surveys have found that companies that fell in the top 20% for having a culture of recognition and appreciation in their workplace had a 31% lower employee turnover ratio.
For employees to feel accomplished in their workplace, they must continue to improve their work and make recognisable contributions. This helps build job satisfaction and boosts morale, but it also allows the company to perform better.
However, the employee must be trained appropriately and given ample chances to develop their skills for this to occur. One of the most effective ways is through development programs and opportunities. By offering development programs, the company helps the employees become more engaged in their work and feel like an integral part of the organisation.
Life can be unpredictable sometimes, and organisations need to ensure that unforeseen instances do not disrupt work. This is also true for a company’s workers. Employees may undergo major life-changing incidents that may affect their performance during their tenure.
However, if the company is rigid and does not make space for employees’ inconsistencies, they are likely to lose a valuable employee. By being flexible, allowing time off, and making arrangements that allow employees to complete work and maintain their current level of performance, companies can help employees stay at their current role. This not only helps employees feel like a valuable part of the team, but it also improves their job satisfaction level, making them more likely to stay in their current workplace.
Improve Work Culture
One of the main reasons employees change jobs is because of toxic work culture. If an employee’s work environment is toxic, they spend most of their time navigating through office politics instead of doing their work. This not only hampers their progress but leads to them being needlessly unproductive and frustrated.
Without the right strategies, lack of proper guidance and mentors to sort office issues, toxic work cultures can quickly get out of hand. One report found that 49% of employees have thought of leaving their place of work due to a toxic environment. In addition, MIT’s Sloan review revealed that a toxic work environment is 10.4 times more likely to result in employee attrition.
There is no shortage of opportunities for talented individuals in this modern age. Nowadays, switching jobs is no longer viewed as a negative quality for someone with many skills as they can quickly get better work packages elsewhere.
However, it is in the company’s best interest to ensure that their talented employees do not leave. After all, employee attrition can be costly and disruptive for a company. Companies can retain their most talented individuals and experience a stable and smooth workflow by employing strategies to improve job satisfaction and prolong employee tenure.
Mohammed Adris is a co-owner & director at Responsum Global. He has over 8 years of experience matching the top building services engineering talent with the best employers. He has over 50 written success stories. He’s active on LinkedIn, is a host on The Building Services Podcast, and a regular writer on The Building Services Blog. He’s a dad of 2 & a petrol head.