Employee Retention: Why It’s Important and How to Do It Right
As someone working in the field of recruitment, you no doubt are up to date on the latest hiring technology you can use to make your job easier, and the best ways to find, interview and choose top candidates.
However, keep in mind that having a focus on retention is also a key part of building a top workforce and saving a company time and money. Read on for some key reasons why employee retention should be on the top of your list to work on, and some tips for going about it well.
The Top Benefits of Increased Retention
There are numerous reasons why increasing retention rates will benefit you and your organization. For starters, when you have fewer workers leaving your team to go elsewhere, you save a whole lot of time, energy, and money. When you don’t have to keep finding new employees, there’s no need to continually spend time on writing up job descriptions, creating advertisements for positions, reading dozens or even hundreds of application documents, interviewing people, or completing paperwork to start new staff.
You will also reduce the costs involved with advertising, and the time and money needed to constantly train up new workers. When your team stays intact you don’t lose momentum either, from replacements having to learn organizational systems, procedures, or key business information. There’s also less to worry about when it comes to keeping relationships with customers, suppliers, and other contacts intact.
Another important benefit of boosting your retention rate is that, when you have workers who are happy, motivated, and engaged on the job, you improve all-round morale. As well, by keeping a team together, and not having to introduce new faces all the time, this helps to get people working together more efficiently. All of this means that, in turn, productivity levels are likely to rise significantly.
You’ll also have far fewer disagreements between staff members to mediate and experience fall out from. Ideas will likely become more innovative to boot, plus customer service levels will rise. This then leads to even better results for the business.
Ways to Boost Retention Rates
When it comes to improving retention within your organization, there are lots of different strategies you can implement. One of the key things that businesses typically find works well is to regularly acknowledge and reward workers. Noticing the efforts people put into their jobs, and the top results they achieve, make them feel valued and appreciated, and therefore less likely to consider leaving the company.
To recognize and reward employees, start by earnestly thanking them for their hard work. This can be done one-on-one or in front of a group, and in person or, if needed, over the phone, in a letter or email, over Skype, or the like. You can also consider mentioning your top workers in social media posts and company newsletters, or honoring them with an “Employee of the Month” or other title.
Team members can also be commended through things like awards, movie tickets, gift vouchers, wine, chocolates, flowers, time off work, pre-loaded credit or debit cards, bonuses, and so on. Celebrating achievements through office parties or dinners are also a good way to make people feel noticed and special.
Another way to boost retention rates is to look for methods of improving company culture. Again, there are many different strategies for doing this, but you might like to start with providing perks. For example, you can treat employees to free lunches or snacks, massages, day care for their children, gym memberships and other health benefits, parking, and transport options.
It is also helpful to make sure that offices and other workspaces are as pleasant and inspiring as possible; things like motivational posters, relaxation spaces, and communal working areas can help. These all allow workers the chance to interact, exchange ideas, and socialize during the year.
Retention levels can also rise if you give your employees plenty of opportunities to grow and develop. After all, people tend to get bored and dissatisfied at work when they do the same job for too many years, or if they have to do lots of tasks that don’t challenge them in the slightest. When this happens, they are much more likely to quit in order to seek advancement and interest elsewhere. To counteract this problem, it pays to enable workers to try new things, learn additional skills, achieve goals, and work their way up within the company.
You can start by running training programs on a regular basis (these can either be in-house or completed externally), and also bring in guest speakers who can motivate, inspire, and teach employees at the same time. You might also like to pay for top staff members to attend key industry events such as conferences, trade shows, and networking dinners; and give people time off, and/or allocated funds for, educational study. Annual or even quarterly reviews are also a great idea, as they give managers the chance to sit down and discuss goals and achievements with workers.