Our next blog series will cover what we believe are 5 of the most important employee retention strategies. Following the pandemic, many workers are deciding to leave their jobs due to reasons including lack of job satisfaction or not feeling valued in their companies. With remote work remaining popular, these individuals are aware of the many other options available out there for a new job position that might have more benefits than their current one. Many businesses are realizing the shift in expectations from employees and are putting in more effort in different strategies to increase their retention.
Why Retention is Important
Losing talent is costly for a business, and not just in money, but in time. As far as monetary cost goes, replacing an employee can cost between one-third and double the employee’s annual salary, according to the Work Institute. The company must also spend a lot of time in order to find a replacement. This includes interview time, onboarding, training, and more, which some businesses cannot afford. Organizations may find that increasing retention can save significant resources. It is important to figure out what exactly is causing employees to leave and spend the time and effort to make changes.
1. Employee Recognition
Giving employees recognition and showing that they are valued is crucial for productivity and retention. When employees are recognized and praised for their hard work, they are less likely to seek out a new opportunity. This should also be consistent, instead of just once in a while. Recognition platforms are a great way to be sure that employees are being rewarded for their efforts.
2. Fair Wages and Benefits
A big reason that employees decide to leave their current position for a new one with a new company is the difference in pay and benefits. Wage increases tie into employees feeling valued for their work, so it is important for companies to regularly reassess the standards for their compensation.
3. Build Employee Engagement
Employees that feel engaged in their company are less likely to seek out a new one. Disengaged employees are not as productive as they could be, which can cost businesses a lot of money before the additional cost of an employee deciding to move on. It is important to make sure employees have a voice in their work environment.
4. Invest in Professional Development
Putting effort into training and additional skill building for employees is a great way to improve retention. Employees want to stay with companies that invest in their career development so that they might move up the company ladder. This can include additional education and certification programs, or instituting mentorship and coaching programs in the workplace.
5. Focus on Employee Wellness
Employee burnout is a constant issue in the workplace of many businesses. This leads to increased loss of productivity as negative emotions and lack of energy build up, which could eventually lead to employees deciding to leave a company. Looking for these signs and taking the steps to prevent them is essential.
Implementing these retention strategies in an organization is highly beneficial when it comes to keeping employees from moving on to a new opportunity. Retaining talent might take a lot of effort from company leaders, but in the end it leaves their team more satisfied and productive, which leads to more growth in their business. Our upcoming blogs will discuss each of these strategies in more detail, so stay tuned for their release.
Are you looking for a business that implements strategies like these? Here at Sedna Consulting Group, we put a strong focus on finding the best company culture that fits your needs and expectations. Send us a message on LinkedIn or Instagram or visit our contact page to connect with one of our experienced team members.