These days, it’s more important than ever to hold on to your employees. As the economy heals from the effects of COVID-19, companies are eager to hire new workers and retain their current team.
From a worker’s point of view, it’s a great time to be on the hunt for a new job. Wide-spread labor shortages make for unprecedented opportunities to find new and better-paying jobs. While this shift in the labor market offers huge benefits to workers, it also forces companies to level up their employee care. To keep your employees from leaving your company for greener pastures, you must show them that you care.
In this post, we’ll give you tips on how to improve employee retention.
Hire the Best
It all starts with who you hire. As you start building your team, look for candidates who bring new skill sets that round out your team. And don’t overlook soft skills, like empathy, a sense of humor, and assertiveness. These social competencies can make a difference in how well your team works together.
Fire the Rest
In an article about reducing employee turnover, how did this tip make the cut? It’s true that at first glance, this advice may seem cold and callous, but it actually is in the best interest of your team, your organization, and the employee who doesn’t fit to say “goodbye” once you recognize this mismatch.
Otherwise, you’re wasting everyone’s time. And you’re creating frustration for all concerned parties. It’s frustrating for your team members when they can’t rely on each other to complete tasks. And this frustration can actually prompt more employees to leave your organization. Plus, a mismatch can take an emotional toll on the employee, whether it’s a performance or team culture issue. If you’ve tried everything in your power to welcome the employee and it simply doesn’t work, don’t feel bad about saying goodbye.
Pay What They’re Worth
No one wants to work for peanuts. One way to show your employees that you truly value their time and contributions is by paying them well.
Your compensation should be competitive. And if it’s not, expect your employees to leave your organization for your competitors. That’s because there are so many job opportunities in the marketplace. Even if you offer a great list of perks (which we’ll discuss more about next), it may not be enough to keep your employees. Research what other companies in your area offer employees and pay accordingly.
Also, re-evaluate what you pay at least once a year. Things can change quite a bit in a year’s time and you want to continue to offer your employees a competitive wage.
Money isn’t everything.
In addition to a competitive salary, offer a benefits package to show your employees that you care about their entire wellbeing. This can include any combination of the following:
- 401(k) retirement plans – Help your employees save for their future retirement by incentivizing saving.
- Paid vacations – A burnt out employee is much more likely to leave your organization. Don’t give them the chance to get overwhelmed and stressed out. Instead, offer vacations and insist that your employees take advantage of this benefit.
- Health care insurance – Health care insurance has been a standard employee perk for many organizations, but be sure that the health insurance plan you choose is actually beneficial to your employees. This perk only makes sense if it’s not overly expensive and that it covers urgent care visits and telemedicine.
- Mental health assistance – The pandemic has taken a toll on everyone’s mental health. Support your employee’s mental health by including mental health coverage in your employee health care package. This is a big one because more than a third of employees leave jobs because of their failing mental health.
- Wellness programs – Regular exercise offers a wide range of benefits and makes employees more productive. Implementing an optional wellness program at your organization can improve employee engagement and morale.
- Tuition assistance – Higher education can place a huge financial burden on students. Create a program that helps interested employees continue their education and increase their skill sets.
These are only a few of the most in-demand employee benefits to offer. Ask your employees what they need so that you can create a customized benefits package for your organization.
Have you considered offering flexible scheduling as an additional perk for your employees? Modern employees prefer flexible work arrangements that include:
- Telecommuting – The option to work offsite, including from home, from a co-working space, or from some other location.
- Hybrid work – The option to work on-site some days and off-site other days.
- Condensed week – Instead of working five days a week, working four days or less per week (and maybe working longer hours each day).
- Flexible work – Employees choose when they start and finish their work day, as long as they work their contracted hours (such as 40 hours each week).
These are just some of the options available for modern organizations. Here at The Receptionist, we’ve adopted a hybrid option where our office is open to employees for meetings, in-person collaborations, or whenever they wish to come in, but they’re also free to work remotely, too.
Check out this podcast where we discuss our hybrid work philosophy.
Show RespectOne of the best ways to reduce employee turnover is by respecting your team. Here's how: Click To Tweet
One of the best ways to reduce employee turnover is by respecting your team. Creating a respectful environment in the workplace is not as easy as it sounds. It goes beyond being polite. Respect in the workplace requires conscious practices, such as:
- Transparency (be honest, be open to questions, and invite feedback)
- Don’t gossip with your team
- Listen to others
- Respect everyone’s time
- Communicate what you expect
- Admit when you’ve missed the mark
Here are 8 powerful ways to build trust in your workplace.
They may not say it, but every employee wants to be recognized for their efforts. Paying them a competitive salary is one way to show your employees that you value them. But simply saying “I value you” is another, powerful way of expressing your gratitude. There are many ways to recognize your employees’ efforts, including:
- Hosting a party for your team
- Presenting a recognition award to an outstanding team/ team member
- Handing out gift cards
- Offering paid time off
Instead of making it a one-off event, consider launching an employee recognition program where you can publicly celebrate your employees for going above and beyond in support of your organization.
Give Them Opportunities to Advance
Very few employees want to stay in the same position forever. Give all of your employees the opportunity to grow within your organization.
One way is by adopting a global mobility strategy that allows your employees to work overseas and grow professionally. Since moving employees is a challenging and complex process, this article provides guidelines on how to help facilitate their move and make it seamless.
Beyond what you pay, you can make your organization of greater value to your employees by investing in them. Teach them skills that will expand their knowledge and transform them into stronger employees and good candidates for future promotions. Your employees will be more likely to stick with you because you’ve invested in them and have provided them with opportunities to continue advancing their career with you.
Learn From Exit Surveys
When an employee leaves your organization, don’t forget to interview them. Their insight can help you understand what causes employees to voluntarily leave. You can use this information to address problems and improve conditions in your organizations. Their feedback can also help you recognize what you’re doing well.
Ask questions such as:
- Why did you look for another job?
- What does your new position offer you?
- What did you like about working for us?
- How would you describe our company culture?
- What are some ways that we can do better?
- Is there anything we could have done to keep you here?
While you’ll never eliminate all employee turnover, you can reduce it. The truth is that some employees aren’t meant to stick around for the long haul, but with the above tips, you can retain those who are the right fit for your organization.
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