Our current almost full-employment job market is bringing on an additional challenge for employers. A recent survey from Robert Half, a global staffing firm, indicated that four in ten workers stated they were likely to look for a new job within the next year. For those in the survey aged eighteen to thirty-four, the number who stated they were likely to seek new employment in the next twelve months was sixty-eight percent.
An increase in turnover is to be expected in today’s employment climate of numerous available employment opportunities at all levels. However, high turnover, can certainly be a challenge for companies of any size.
Employees choose to seek a new position for various reasons. The survey found that workers give inadequate salary and benefits as the top reason to quit. Other reasons included: limited opportunities for career growth or advancement, unhappiness with management, boredom with the job, overworked and lack of recognition.
To increase retention, employers may want to consider:
Take time to know your employees. Talk to your staff about their jobs and their career goals. Talk to employees about longer term opportunities within your company and within your industry.
Increase compensation. Review your compensation structure to make sure it meets current market ranges. Wages have increased significantly within the past two or three years and, if possible, compensation plans need to be adjusted to the current market levels.
Performance bonuses are a viable, less risky way to increase compensation opportunities. Bonuses may be used for special projects, annual performance or any extraordinary success.
Freedom to make decisions, to work remotely at times, to work a flexible schedule, to increase time off whether by additional PTO (Paid Time Off), additional paid holidays or shorter work days are all possibilities sought by employees.
Be sure your employees know they are valued by celebrating successes, birthdays, anniversaries and holidays.
Implement ideas for change suggested by your employees. Consider a bonus payment for ideas that save the company money or meet other company goals.
Solutions will differ by companies. If implemented, the above suggestions may pay dividends for employees and employers by reducing turnover and the high cost of replacing good employees.