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Effective employee retention strategiesDate Posted: 5 August, 2021
Your employees are one of your organisation’s most valuable assets. You’ll have put time, money and resources into attracting and hiring brilliant people, so it would be a real waste to lose them. In fact, it can be hugely expensive. Some research has found that it costs between 6 months to over 2 years of an employee’s salary to replace them, depending on the role and the industry.
This is why employee retention matters, and why you can’t rest on your laurels once you’ve finished recruitment.
If you’re losing more team members than you’d like, costing you money and affecting the company culture you’re trying to create, you need to implement an employee retention strategy. Here are some effective approaches to try:
Invest in employee success
An engaged and motivated employee is more likely to stick around. A bored worker is more likely to disengage, and look elsewhere for new challenges. So, when developing staff retention strategies, ask yourself – what’s in it for the employee?
If you can create opportunities for learning, professional development and upskilling, you’re investing in each worker’s success. Discuss their long-term aspirations, and their progress towards reaching these goals, in regular performance reviews.
This can make them feel valued and excited about the future, being able to envisage their role in the company in the years to come. If they feel they’ve gone as far as they can within your company, they’re likely to move on.
Recognise, celebrate and reward achievement
Everyone likes to feel recognised and valued for their hard work, even if it’s with a simple ‘thank you’. If you want to motivate your team in the short term, consider offering tangible rewards – such as financial remuneration. This should only be a small part of your employee retention strategy, but it can be important for day-to-day engagement.
You can also take this a step further, with longer-term rewards. These are the things that matter more to your employees. For example, research by EduMe found that 42% of employees would stay with a company if a promotion was on the table. 41% named a pay rise as a reason for sticking around, while 25% said flexible working arrangements.
Support staff wellbeing
Recent research has found that a huge 90% of employees are more likely to stay with a company which is empathetic to their needs – and they’re even willing to work longer hours or take a pay cut. Employees want to feel supported and understood, along with feeling accommodated in the workplace.
Create an open and transparent company culture
Open, honest communication between employer and staff helps to build trust, as well as a sense of community and a shared purpose. Employees feel empowered to speak frankly and to raise issues and concerns before they become major problems. They also feel that their input is valuable, and that they’re treated as equals rather than subordinates.
Need help with your recruitment or employee retention strategy? Get in touch with the experts at Recruitment Group Holdings.