Every month, about 3 million workers in the U.S. quit their job.
There are several reasons an employee can quit their job and some have nothing to do with your company. For the most part, though, employees are quitting because they aren’t happy with their jobs.
As an employer, you have a lot to lose if your workers are always quitting. A poor retention rate will improve your recruiting costs, reduce organization productivity, and even hurt your brand.
You need to act before it’s too late.
In this article, we’re sharing employee retention ideas you can implement to build and maintain a happy workplace with high worker retention.
Don’t Hire Quitters
This is where it all starts, really.
There are two kinds of employees: quitters and winners.
Quitters are those who won’t hesitate to jump ship as soon there’s the first sign of trouble. If something doesn’t go their way in the workplace, they’ll submit their resignation letter first thing the next day.
Winners love a challenge. They aren’t going to quit just because things are harder than they expected.
Naturally, hiring more winners than quitters means your company will maintain a decent retention rate. The challenge is: how do you know you aren’t hiring a quitter?
In a workplace generation full of millennials who are known for their job-hopping habits, your concerns are understandable. But that’s the whole point of conducting interviews, right?
Even something as simple as looking at a job applicant’s employment record will give you a clue as to whether they’re quitters or winners. If someone is on their fifth job, for example, you don’t need a recruitment specialist to tell you that they’re most likely quitters!
It’s (All) About the Money
If you need any confirmation that salaries are king, here it is.
A 2018 Glassdoor survey established that 67 percent of people looking for a job will consider the salary on offer before deciding on a job offer. If you asked us, though, we’d say that percentage should be closer to 90 percent.
Save for executive-level positions where applicants are guaranteed salaries that are already ludicrously high and thus have the luxury to consider things like employer reputation, many workers are in it for the money.
If this already isn’t self-explanatory enough, let’s break it down.
Are your salaries competitive? If you’re paying less than what your competitors are paying and you have a low employee retention rate, don’t even ask why.
In addition to the salary, benefits like health insurance and retirement plans go a long way to making employees stay longer. Look, if you’re doubling your employees’ retirement contribution, for instance, any worker is going to take a long hard look at the future before they decide to quit working for your firm.
Of course, it’s understandable that labor is expensive. You might have the desire the pay your employees more but lack the means. In this case, even offering marginal salary increments and bonuses when business is booming can make a big difference in your retention efforts.
You can also consider offering earned wage access or on-demand pay so workers can access money whenever they need it instead of waiting for payday. Payactiv has an informative guide on EWA and how to implement it.
Flexible Work Schedules Are Making a Big Difference
Even before the COVID-19 pandemic reached our shores and arm-bent most employees into allowing employees to work from home, flexible work schedules were on the rise.
Gone are the days when employees had to work from the office. The modern worker wants substantial flexibility, which means they want to work from home some days, other days from a café, and other days from the office.
You might have your reservations about allowing your people to work from home (perhaps they’re the kind that needs manned supervision), but here’s the thing: your competitors are already offering flexible work schedules.
Your flexible-work-schedule-loving employees are going to ditch you and join your competitor as soon as openings are available.
So, it’s high time you added some flex to your work schedules — if COVID already hasn’t done the job for you. Besides increased retention, your company will benefit from the increased productivity.
Detoxify Your Workplace
Toxic workplaces have always been with us, but it wasn’t until recently that they were outed. Unless you live under a rock, you have certainly heard of the big companies where sexual harassment and other ugly behaviors thrive. It’s not just the big companies; even the small companies are just as bad.
If your workplace environment is toxic, employees aren’t going to stay there.
Start by assessing the overall state of your workplace. Gather feedback from employees.
You can then start taking measures to detoxify if necessary and/or make it a better place for your workers. Develop workplace policies that promote equality, openness, and fairness.
Offer Career Progression Opportunities
One of the major reasons workers quit is they feel stuck; they haven’t moved upwards in their careers.
Sure, it might not be possible to offer a career progression framework that will take care of every employee’s needs, but you need to offer a substantial number of opportunities. As your company expands, so should its ability to enable career progression.
Implement These Employee Retention Ideas
Employee retention rate is a crucial indicator of your company’s performance. A low retention rate means you’re losing more employees than you can keep. Implement the employee retention ideas fleshed out above and you’ll see good results.
Stay tuned to our blog for more business and workplace tips and insights.
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