Employees are the heart of any organization, and nearly 70% of companies report that attrition and staff change harm their financial health. Hiring, recruiting and training new employees takes tremendous cost and effort. Working with a staffing agency can help mitigate those costs, but a better option is to create a culture committed to retaining valuable talent. Let’s take a look at proven employee retention practices companies use to keep their best employees working for them.
Help Your Employees AdvanceA shared trait of many top employees is that they want to develop the skills they need to achieve long-term and short-term career goals. Companies that support employees’ quest for knowledge and advancement is one way to show a commitment to their professional growth. Ongoing education and training opportunities give a sense that the organization is investing in their future. This might take the form of in-house training programs, seminars, and experience and new responsibilities. Allowing employees to fine-tune skills while exploring newer areas of professional development is always advisable. Sponsoring higher education or reimbursing fees for their selected course of study is an effective employee retention technique as well. Many companies establish mentorship programs internally that help young professionals enhance their skills under the guidance of a senior executive.
Reward and Recognize EmployeesWhile a competitive salary and perks are driving factors that keep employee morale up, surprise rewards and recognitions are just as important. When employees achieve a big or small milestone or go above and beyond their responsibilities, reward them with thoughtful gifts that will keep them encouraged. On-the-spot awards, corporate gifts, gift certificates – there are several ways to say thank you to your employees in a spontaneous fashion. Keep incentives new and exciting, so employees have something to look forward to when they perform well. Think of unique rewards your employees will enjoy: paid time off, a stress-relieving massage, travel, a gift certificate for fine dining, or a good old-fashioned bonus check.
Encourage Optimal Work-Life BalancePutting in long hours of work over an extended period leaves employees fatigued and leads to burnout and turnover. Promoting a good work-life balance ensures your team members are well-rested with adequate time to care for themselves and their families. Not only does this boost productivity, but also shows them the company cares for their overall wellness. Establish regular work hours and promote work from home initiatives and flexible hour options to ensure a healthy work-life balance.
Challenge Your Team Members ObjectivelyAssigning mundane tasks daily to workers can lead to boredom, and sometimes employees begin to feel they are unable to grow in their current role. To keep things fresh and interesting, engage with your team and talk to them about taking up new projects or check whether they are keen on working on something that requires them to learn a new skill. However, offering a challenge without overwhelming employees is key to getting your people out of their comfort zone, so they feel safe believing in themselves. This keeps them motivated to work for your organization.
Provide More Positive FeedbackA feedback culture is extremely important to arrest employee turnover, offering a great way to communicate with your team members on a personal level. As per a study on Harvard Business Review, the ideal ratio of positive vs constructive feedback is 5.6:1 — for every criticism, a company should offer nearly six positive comments. Providing more positive comments is important since it boosts employee morale and gives them the confidence to keep giving their best. Constructive and corrective feedback is vital too, so employees can address any liabilities and work on them. However, do remember to keep the ratio of positive comments higher than the negatives ones.
Allow Employees to GrowMost employees appreciate it when they have a clear career path outlined within the organization. This gives them a sense of advancement and keeps them motivated knowing that there is a potential promotion in the offing, provided they perform as expected. Giving employees a clearly laid-out path of career advancement will make them stay longer. This is a time-tested employee retention technique that makes the workforce feel that are a part of a growing company where a great future awaits them.
Encourage Feedback From EmployeesListening to your workforce is a great way of engaging positively with them and is an innovative employee retention strategy. Create a culture where your team is comfortable sharing feedback and bringing up new ideas. This will not only foster improved communication between the management and the employees but also raise and nourish brilliant business concepts that may give you an edge over your competitors.
Analyze How Much You PayIt’s a well-known fact that many employees leave a company because of a better monetary offer from another firm. Offering regular pay increases is one of the most productive employee retention techniques, since finding another employee and training that person to get up to speed will likely cost your company more than offering a wage increase to a well-trained current employee. To ensure you are offering competitive compensation that’s on par with industry standards, hire a consulting firm to conduct an audit on your compensation rates. Offer pay hikes to deserving team members to motivate them to keep pushing.
Newegg Staffing recognizes that employee retention is of paramount importance to keep your organization running smoothly and efficiently. Step up your employee retention game with innovative strategies that inspire a strong work ethic.