Proven Strategies to Retain Your Best PeopleJun 15, 2018
According to ToolBox.com, the cost of hourly employee turnover is about 25 percent of their wage. Salaried employee turnover costs can range from 1.5 to 14 times their annual salary. The scariest fact of all is that this is a conservative estimate!
Let’s say that your average employee earns $80,000/year. At 1.5 times their salary, we are talking $120,000 of cost to your company, per employee lost.
What could your company do with that $120,000? I know what I would do - most definitely hire another Search Associate, onboard a Marketing Coordinator and sneak in a surf vacation.
What if you took a fraction of that money and invested it into your employees as a pre-emptive strike to keep them? Now that $900 e-course they asked to take, but you said no, doesn’t seem so costly, does it?
Here are proven strategies to keep your best people because; frankly, you cannot afford to lose them to your competitors.
Excitement - You want your employees to be excited to work for you, and with you, right from the beginning. This excitement comes from having a well-planned onboarding and orientation strategy. I remember a candidate calling me on the first day of her new job. She said, “Amy – they had my business cards printed for me, and my phone and email were already set up and personalized when I arrived!” Yes, this is exciting! However, this should not be a surprise to any new hire. Are you showing your newest team members that you are thrilled to have them join your team? Do they feel that your onboarding process is organized and informative? By being prepared for their arrival, you are setting the stage for success from day one.
Engagement - When was the last time you asked your best people what makes them stay with your company, and what would make them leave? Engaging with your people, and letting them know that you care about their presence, is a crucial step to keeping them. There are many resources available for you to anonymously survey your top performers. If you are not taking advantage of these resources, CultureAmp.com is a great place to start.
Encouragement - Your employees should not have hidden aptitudes. Take their emerging strengths and encourage them to utilize these talents, in new ways, in the workplace. In turn, your employees will feel like they are a part of something bigger than themselves, resulting in a desire to stay with your company. You can also discover the strengths of your team members through a discovery tool such as the Clifton StrengthsFinder.
Empowerment - Employees want to feel that they have the power to choose, to make a difference, and to let their ideas soar. For some ideas on employee empowerment, here is an article from Forbes. In this article, the writer suggests giving generous boundaries that allow your employees to do their job well. Rewards and experiences for your employees go a very long way. Work can be called ‘the daily grind’ for a reason. When you switch things up a bit, such as offering up conferences, workshops, continued education opportunities, or even by incorporating a mentorship program, you are saying to your employee, “I believe in you, and I want to invest in your success.”
I encourage you to take a look at these resources and spend some of your financial resources on your human resources in the upcoming months.
To rocking your retention rate,