Staff turnover can be extremely costly to a business in terms of finances and productivity. In fact it can cost up to three times an employee’s salary to replace them. Therefore the most efficient and effective way to manage your staffing is to retain the high performing employees that you have. A unique approach is to view it as re-recruiting your workforce, which in essence means understanding the value of the roles being performed, recognising the needs of the individual and continually looking at ways to engage and motivate.
According to research salary is not always the sole motivator for an employee, in fact there are seven core reasons why employees tend to leave an organisation. These are:
- Employees feel the job or workplace is not what they expected.
- There is a mismatch between the job and the person.
- There is too little coaching and feedback.
- There are too few growth and advancement opportunities.
- Employees feel devalued and unrecognized.
- Employees feel stress from overwork and have a work/life imbalance.
- There is a loss of trust and confidence in senior leaders.
Each of these reasons can be easily overcome via regular communications with your employees. In addition to this you can utilise some of the following effective methods to keep your workforce happy:
- Training – reinforce their sense of value and importance within the organisation by upskilling them. Training helps dwindling performance by reinvigorating their interest in the job and the business.
- Mentoring – assign a more experienced colleague to a member of your staff to develop their skills, competencies and overall performance. A great way to develop a personalised career development plan with goal orientated KPIs.
- Positive internal culture – establish your company’s core values to provide a positive culture for your workforce, which will also help you to attract new staff.
- Show appreciation – recognise the contributions being made and communicate that you value their work. This can be done via financial compensation, benefits or even a small bonus. Sometimes just a small word of thanks can go a long way to improving motivation.
- Growth opportunities – provide opportunities for progression within your organisation. Whether it’s by expanding the remit of their role, increasing their responsibilities or creating steps into management to give them something to aspire to, your employees will be more engaged in their job and committed to you as an employer if you invest in them and help them create a career in their job.
- Avoid stress and create work/life balance – flexible working has become the buzz word for employers with all staff now being entitled to request a non traditional work schedule, whether that’s altering their working hours, flexitime or home working. When a work/life balance has been properly addressed the outcome is a happy and invested member of your staff. Encouraging your staff to set goals around their life outside of work communicates a positive message around your investment in them as people as well as staff.
- Foster trust and confidence in your senior staff – communicate changes, be consistent in your approach and be approachable and positive at all times. As an employer you have to inspire confidence and trust. They have to believe they are working for a competent and successful organisation. Make them feel nervous and they will head for the hills.
If you would like more advice on retaining staff please call one of our expert recruitment consultants. Click here to meet our team