Finding top employees that stay with the company isn’t as easy as it used to be. In fact, every month around 3 million Americans quit their job hoping to find something better. This is becoming the new normal for many professionals around the globe. The only way to move up in your industry nowadays is by switching employers, or so most professionals think. Let’s talk about Effective Employee Retention Strategies That Work.
In reality, this turnover has a big cost for employers. It’s expensive to source potential employees, interview them, make a decision, and onboard the new employee. This takes time and money that many companies can’t afford.
The only alternative to this constant turnover is creating effective strategies that keep top employees happy. How does your company stack up against your competitors? If you don’t have the right retention strategy, you might find yourself facing a talent shortage soon.
Realize that 25% of employees have reinvented their own role and now are pillars of your company. Without these key players, everything else will fall apart. What will you do to keep these top players satisfied and thriving? Start with these retention strategies that really work.
1. Hire the Right Employee
Of course, the first step is to hire the right employee from the start. According to Glassdoor, 35% of hiring managers expect that more employees are going to be quitting in the next year. With that attitude, it’s clear there needs to be a shift in the mindset of those making the hiring decisions.
When you hire an employee, you should see them as a solid fit for your team and the position itself. There shouldn’t be a huge level of doubt from the get-go. If you are struggling to overcome doubt, odds are you need to reevaluate your hiring methods because you’re unable to source the right candidates.
Hiring nowadays isn’t about finding the right fit on paper. It has to encompass these things as well:
- Cultural fit – How well will these employees fit with your current team? If you have a rambunctious, outgoing team, hiring a timid employee might not work out. Similarly, be upfront about the culture of your workplace to avoid misleading candidates.
- Plans – Get to know your prospective employee’s plans. Where do they see themselves in a few years? If they have too much experience for the role you’re hiring for, odds are they plan to move on quickly.
- Experience – Finally, how does this applicants experience complement the team? Having a new perspective is a great way to build a well-rounded team.
Finally, ensure you’re being honest about what your new hire can expect from your workplace. Don’t oversell the position to lure in the wrong candidate. If they find themselves in a different job than they expected or in unexpected company culture, they’ll quickly find the door.
2. Offer Competitive Salaries
It’s no surprise that salary plays a large role in keeping your top talent. Most employees quit because they aren’t satisfied with their salary. It’s easy to think to offering less will save the company more, but it all comes back to those costs of high turnover.
Do research about what your competitors are paying for similar roles. If your company is coming up short, you’re only going to get those second-rate candidates. If you manage to keep those candidates, they won’t stick around long once they know they can get a raise elsewhere.
It pays to be competitive in your salary. Offering financial security is a big bonus for all employees. Similarly, consider financial perks like relocation packages, holiday bonuses, and other ways to show your employees you’re concerned about their financial satisfaction in their role.
3. Train Your Leaders
We’ve all experienced bad bosses. It’s such a widespread phenomenon that we even have a series of blockbuster movies based on the plight of employees who work under Horrible Bosses. How effective are your leaders? Do they communicate clearly? Do they handle problems constructively?
If you’re not working on the ground floor, it’s hard to know just how successful your leaders are in your company. Effective leaders are clear with their directions, they help employees grow, and they handle challenges with ease.
Investing in good leaders will serve your organization well. Employees who feel motivated and valued aren’t just another cog in the wheel. They’re willing to work longer and harder for the good of the whole company, and that pays for everyone. As a boss, you need to be available to your employees. You need to value their input and take them seriously. Make sure all of your leaders are high-performing and ready to lift everyone up with them.
4. Be Flexible with Employees
When saying be flexible, we don’t mean you should let your employees walk all over you. However, we do see a revolution on the horizon. The 9-5 workday is quickly coming to an end, and this is something we can all get behind. An outdated practice, the 40-hour workweek isn’t nearly as efficient as it appears.
First of all, 8 hours of daily focus is scientifically proven to be too long. Psychologists already established that the brain isn’t able to focus for more than a few hours at a time. Some companies are starting to realize the importance of this. Amazon, for example, implemented a 30-hour workweek for many employees.
Your employees need you to trust them to get the work done. As long as they’ve proven to be motivated, consistent workers, there’s no reason you shouldn’t feel open to flexible ideas like remote work and different hours in some circumstances.
No, you don’t need to rethink your entire workweek. However, start thinking about new ways to offer flexible work to your employees. Maybe a few teams can work from home one day a week or work a flexible shift where they start early and leave early. Though small, these changes have a big impact. Thanks to amazing software by Humanity, it’s easy to keep track of employee hours when they’re on the go. It’s easier than you think to make the switch.
5. Defeat Burnout
Employee burnout is a real through. If one employee is showing signs of burnout, odds are they aren’t the only one. Employee burnout is costly for both the employee and the company. When your employees are overburdened, they don’t have time for the things that are important to them. This stress follows them home outside of work and is harmful to their health and happiness.
Remember, healthy and happy employees are successful employees. Your team needs a strong work-life balance. Encourage them to prioritize a healthy workload and not harmful practices. It’s easy to fall into the habit of staying late at the office night after night, but what kind of example are you setting for your employees.
While your employees will experience stress sometimes, it’s okay to encourage them to scale back if it’s becoming too much of a drain. Less work is actually shown to be more productive, believe it or not, so don’t be afraid to try it. Skip the busywork, focus on what’s most important, and keep your employees healthy both physically and mentally.
Your best employees are those who will work with you through the highs and lows. While it’s impossible to keep 100% of your employees, the best retention strategies will save you both time and money. Your business can be a healthy, happy community if you focus on strengthening your team, efficient leadership, and flexibility.
Your employees want to be treated well and with respect. They don’t want to be seen as another number in the company. They’re humans, and they have lives outside of work. As long as you reflect this respect for them and their lives, you’re on your way to retaining your employees.