A good business is a reflection of its employees. Let’s assume that you know that employees are motivated by more than just money. You have a company culture that is focused on professional growth, mentoring, and empowers employees. But what if the company has trouble with employee retention?
An employee may still decide to quit a company that has great perks. We are not surprised when workers leave jobs at companies that promote a toxic work environment with little room for advancement. In one survey 57% of participants admitted that their business was having difficulty keeping quality employees.
The good news is that there are a few proven ways a company can increase the likelihood that an employee will stay in their position for a few years. After all, it isn’t simply a matter of going through the arduous process of reviewing resumes and interviewing potential new hires that makes employee turnover undesirable. It costs companies an estimated $11 billion each year to pay the job agency, temp services, for employee training, and other miscellaneous factors.
Employees quit for a myriad of reasons: another company offers them a higher paycheck; they found a job with less commute time; they dislike their colleagues; or the job isn’t what they thought it would be. While many of those factors are outside your control, it is the last reason that you can have control over. It starts with making sure employment agencies and job postings present an accurate and detailed description of what the job position will entail.
No one likes to be hired for a job that turns out vastly different from what they had imagined. It happens all the time, hence why employee turnover is high. It comes down to a miscommunication between the applicant and the hiring committee. While an applicant is looking for employment opportunities and casting their net wide, it is up to whomever is in charge of new hires to clearly communicate the demands of the position. A disconnect at this stage increases the odds that the new hire will leave the company shortly after joining if they feel the job is outside of their purview.
One method that may help minimize this risk is using temp services. Temp services might be needed while Human Resources is looking for job candidates. A temporary worker can get a feel for the company culture, and is able to “test out” the commute, the hours, and the tasks without the intensive training or on boarding that would be needed with a new hire. At the end of their term, a job offer could be extended if they seem like a good fit for the position.
One study concerning new hires and their longevity at the company found that 22% of new employees left the company after just 45 days or less. That is a decent amount of time and effort with very little payoff. Before you hire a new employee, ensure that the job objectives are clearly communicated and understood. Then once you have a solid candidate, ensure that they receive a quality orientation within their first few days. These two simple tasks can go a long way toward your goal of retaining top employees.
