The Management and Measuring of Employee Retention

The cost of employee turnover is high and can reach over 50% of an employee’s annual salary. Training new staff members requires resources, time, and money, so employers must actively plan and execute strategies that ensure their best workers will remain. Here are a few things to look at when you are trying to manage and measure employee retention.

Recruitment

Finding dedicated employees who understand your mission and have loyalty can significantly benefit your company. Make sure to provide a warm environment where they feel comfortable enough to express themselves and improve. Recruitment should also be able to identify traits that suit the culture of the business. Once hired, recruits can get used to company culture through team-building activities and events.

Transparency and Opportunities

Not everyone can maintain the same intensity and drive they had on the first day. Job satisfaction, rewards, personal or team recognition can motivate staff and give them something to look forward to. A clear path to advancement should be available for employees so they know where they are heading with their careers. Other businesses will always be coveting your best talent, so keep them satisfied with competitive pay, along with special bonuses and rewards. This will motivate employees to do their best. Companies must have well-defined structures that show employees how to get to the top. When they get there, they will most likely remain loyal to the company for a long time.

Understanding Why Employees Stay or Leave

Communication is key to finding out what drives employees to leave. Often, the reason for leaving can be about things you can control, like pay or roles within the business. They might also feel like they are not getting enough support or want better equipment to match their talent. It might also be about things you cannot control, like moving to be with a spouse or to study. In any case, keeping communication open and building proper communication channels between the employees and their supervisors will help you anticipate such challenges.

Sweet Tips from Ally:

Ideally, you want your best people to stay and occasionally hire new talent to bring new energy into the group. If you are a small business with a small staff, have a plan ready to make them want to stay using available tools. For large enterprises, management should strategize to identify what makes their employees happy and where they can improve.