Job hopping has become a new norm among the millennial. Despite the constant high rate of unemployment, employers face a tough time in retaining employees. This is especially true in sectors which are highly competitive industries. There is an equal amount of struggle for hiring managers for finding candidates for fresh postings and also retaining the ones which have already been hired. Businesses have to constantly think of new employee retention ideas to stop their employees from leaving.
What are the Benefits of Employee Retention?
Companies should strive to develop successful work teams. It is a common saying ‘hire hard, manage soft’. It is the essence of long and happy relationships at work. Best employee retention strategies come into effect right from the day of employment i.e. it should be considered as part of the recruitment process. The managers have to be proactive to address any issues which the employees face. Continued attrition does not say good about any organization. It sends a wrong message to the market in addition to recurring costs of hiring and training. It also sends a negative signal to other employees and encourages the ones who are also looking for a job change, to take the big step.
Benefits of Employee Retention
The primary aim of even the most innovative employee retention strategies is to bring down employee turnover. Everyone cannot be employed forever. So, it does not keep the employees forever but to retain the best people for the longest possible time. These people have significant contributions to the value of the company and hence if they leave their job, replacing them will mean bearing heavy costs for the company.Another vital aim is to make employees work for one complete employment cycle. If this is achieved any kind of avoidable disruptions to the productivity are checked.Also, a deliberate arrangement to ensure employee satisfaction will not only check attrition but also lead to better productivity at work.
Key Employee Retention Ideas
- Orientation: Job orientation programs have been proven to be highly successful in improving overall employee satisfaction. The orientation helps the new employee become comfortable with the new company, is introduced to the new processes, goals, vision and even the job role of the employee. Orientation programs may last for any duration depending on the rules of your organization. Even short orientations go a long way to build confidence.
- Compensation: Attractive packages often help in this competitive market. These packages not only include salaries but other incentives like health cover, bonuses, retirement plans, other perks, etc. It is important that the employees develop a clear understanding of the above. This acts as a proven practice of employee retention and motivation. Furthermore, there should be timely revisions of the basic salaries and rewards with extraordinary performance.
- Rewards and Recognition: Appreciation is important. Anyone who does good work expects appreciation. As a policy ensure that all the employees and especially the new ones are getting ample encouragement and appreciation for small tasks which they have handled successfully. Appreciation should always be held in open as it acts as a motivating factor for other employees. Appreciation can be in any form, small benefits, rewards, gifts or even a day-off. Many good organizations practice this regularly as part of their best employee retention practices.
- Work-Life Balance: It is understandable to be result-oriented and have hard-working employees but it should not have an impact on their personal lives. Your employees should feel that the management really cares for them and understands the work-life balance. You should thus space your work in a way that if anyone is required to put in extra hours for something urgent, they are given some extra day off or flexibility of late arrivals. Nowadays, many companies do offer flex timings to their employees especially women so that they can handle their work and family together. Such practices send a loud message to the market about the employee-friendly work culture.
- Training: It is often regarded as highly important for employee retention and motivation. Everyone who will join your organization will look for proper career growth. If you provide options for upskilling at work, employees feel highly motivated. Many managers prefer to invest in employee development to keep pace with the world. You may also consider sending your employees to other places for the same. This gives them the satisfaction of personal growth. Good organizations often ask their employees to write their goals and help them achieve the same.
- Communication: It is vital for having a healthy work environment. Everyone should have a channel to raise complaints and issues. There should also be a separate feedback mechanism. Employees should feel free to suggest new ideas and concerns. As a manager, you should be in touch with your staff on a regular basis so that no small misunderstanding can take an ugly shape and result in attrition.
- Teamwork: Good teams are built with when a group of individuals makes a conscious choice to keep their organization before themselves. Teams do not let anyone member strive but share and allocate work. Every member is respected and encouraged for suggestions. As a manager, if you have built strong teams then you have nearly killed the problem of employee attrition.
Employee retention ideas have become an integral part of a business strategy for keeping the best employees. It is advisable to keep abreast with the latest market trends and practices so that your competitors are not able to gain leverage on your lack of market research.