How to improve employee retention
How much do you value your employees? When you think about the time, effort and money you’ve invested in each member of staff, you’ll realise they are much more valuable to you than you may think. The average cost of recruiting, training and onboarding a new staff member can be upwards of £30,000 and can take up to 28 weeks. Surprising? Not really. Staff replacements can be extremely costly and time-consuming, therefore making sure that you invest in making your work environment the very best it can be to retain your staff will work out to be much more cost-effective. Let’s take a look at some of the top reasons employees quit their jobs and move elsewhere:
Benefits and payments
Of course, pay is a massive factor when it comes to the reasons people start or leave places of employment. Money is one of the top motivators for employees to quit and move elsewhere, however, most of the time it is in combination with other factors. Benefits that supplement salaries play a large part here too. For example, the amount of paid holiday days, healthcare schemes and lifestyle benefits are all part of the package. You may pay the same as a competitor, but if they offer a free gym membership or extra annual leave it can make a huge difference to an individual. Potential employees look at the whole package when job seeking, so it’s always good to evaluate what you offer as a business and try to think of low-cost perks that your employees would actually benefit from.
Lack of promotion opportunities
At some point, every one of your employees will want to advance within the company and get some sort of promotion. Younger employees are more likely to be looking for career progression quickly, and if you don’t offer promotion opportunities or at the very least a progression plan, they could start looking elsewhere. This is why it’s important to get to know your staff and understand their aspirations and professional goals. Regular employee reviews are a good place to discuss these topics and speak about opportunities that could be coming up for them and where you see them going in the future. Giving your staff the chance of promotion and growth ensures they’ll stay loyal and feel empowered to move onwards and upwards within your business.
When you know that pay and benefits are factors in determining where people want to work, you might also think that they would be willing to travel further for them. However, recent studies have determined that 85% of employees would prefer to take a pay cut if it meant that their daily commute was improved. With traffic, unreliable public transport and the cost of parking all taking its toll, long commutes cause stress and anxiety for many employees these days. They inevitably also lead to less time spent at home with family and friends. Offering alternatives as a business for your staff travel needs may alleviate the pressures of commuting. There are options such as Zeelo’s commuter buses that have personalised routes based on demand. Get in touch today to find out what Zeelo can do for you!
Recognition in the workplace
If you’re working hard and producing good results as an employee yet don’t feel recognised, it can cause you to become less motivated to keep going and will eventually cause you to wonder if anyone is actually noticing your work. As an employer, giving recognition doesn’t need to be a big gesture or a monetary reward. Simply telling someone they’ve done a good job makes them feel valued and gives them a sense of purpose! Putting their name to a piece of work, copying them in an email showing praise and saying thank you are all small things that have a big impact on employee morale and incentives to keep doing a good job. If an employee does not feel valued, they will slowly become unhappy and may look to move on to another work environment where they feel more listened to and appreciated for the work that they produce. You can read more at How Do You Keep Your Employees Happy and Motivated?
How to retain your staff
Knowing the cost and time it takes to replace staff along with all the knowledge and experience they would be taking with them, it’s important to have a retention strategy in place. Here is what you can do as a business to make your environment a great place to work:
Value your employees
Competitive pay and benefits will ensure you attract and retain the right people. Although pay is not the only thing that keeps your staff interested in their jobs, it’s still a high-ranking factor that should not be ignored. Conducting regular pay reviews and meetings with your staff will help you keep on track with how they’re performing, as well as give you opportunities for praise and recognition when it is due to keep them motivated and feeling valued.
What progression scheme do you have in place? Identify the employees who wish to move forward within your company and are capable of doing so and have regular one on ones to ensure you stay on top of their goals and aspirations. If you have a clear career path or scheme in place, your staff will know exactly where they can be in the future and are more likely to stay with you. You also need to provide opportunities for those who wish to progress their careers or move sideways into other positions in order to keep them satisfied.
Alternatives to the commute
If long and stressful commutes are driving away your staff, there are alternatives you can consider as a business. Offering commuter services such as Zeelo’s personalised services to take your staff to and from work from a designated pick up point can relieve the pressures of driving. It can also reduce the need and cost of parking infrastructure at your workplace. Another option would be introducing work-from-home days. Having only certain days when employees need to check-in at the office reduces the number of days they need to drive, thus reducing stress.
Get a better understanding of your employees
If you want to ensure employee retention, you’ll need to first understand your staff’s needs and aspirations, which will only happen through regular communication. Making sure your managers touch base with the individuals about their work and feelings will give you a good indication about what’s going on and where to improve. Regular contact with managers will make sure you notice any changes such as increased stress, frustration or outside before they turn into bigger problems. Keep your employees happy and prevent them from leaving by making sure you take into account all factors of their working lives, not just the obvious ones!