5 Employee Retention Strategies That Work
You’ve invested a lot of time and money recruiting and hiring the right talent for your small to mid-sized businesses (SMB). The last thing you want to do is let all that hard work go down the drain when an employee leaves for another opportunity.
Employee retention is ranked as the second most important business priority, right after recruiting highly skilled talent. Instead of letting talent walk out the door, do “something” by implementing a retention program that becomes part of your company culture.
1. Design A Strong Onboarding Process
You only have one chance to make a good first impression. The interview process gave your new hire a taste of the company, and the first few days will let them know whether or not they made the right decision by taking the position.
Companies with formal onboarding programs retain 91% of first-year employees, while those that don’t retain just 50%. Your onboarding process should include a detailed plan for an employee’s first day, week and month.
2. Provide Employees With A Roadmap For Success
The number-one motive people have for changing jobs is career opportunity. That means it’s critical for SMBs to outline and communicate short-term milestones and long-term goals.
Find out what they think: Ask questions, such as, “Are you happy with your current responsibilities?” “Are there tasks or areas outside your current job description you’re interested in exploring?” “Are you encouraged by the career path at our company?”
3. Offer The Perks They Really Want
Ping pong tables and personal chefs are cool benefits that employees will brag about to their friends, but they might not be enough to keep them in their job long term.
According to Glassdoor’s Employment Confidence Survey, 79% of employees would prefer new or additional benefits to a pay increase.
4. Have A Schedule For Giving Pay Rises
While money isn’t the main reason people change jobs, 74% who do receive larger compensation packages. Regular raises aren’t just appreciated; they’re expected. Half of employees expect to receive a pay raise or cost-of-living increase in the next 12 months.
Whether it’s at the first of the year or on an employee’s anniversary, schedule an annual salary review. Be sure your compensation package fits the market value for the job
5. Create An Environment That Fosters Good Relationships
Relationships at work matter. Sixty percent of people say coworkers improve their work environment the most, even more than their interest in work. In fact, having a good friend in the office has the potential to increase your happiness as much as the psychological equivalent of earning £100,000 more per year, according to research from UCLA.
We hope that some of our key tips in this blog will be useful for you and your organisation. Please let us know if you plan on implementing any of them!