One of the most important and valuable resources you have as an employer is loyal, effective employees. In the competitive business market, however, it is not enough simply to employ great workers -- you must also retain them.
The world of business has become cutthroat, and talent acquisition and retention are becoming more and more important in determining a company’s viability and success.
Read on to see some of the main reasons why employees choose to leave positions, and for strategies to minimize these types of turnovers with your business.
Why Do Employees Leave?
There are few things more devastating than finding out that a hardworking, depended upon employee is choosing to leave your business. What went wrong? Could you have prevented it?
Sometimes, personal issues outside of your sphere are the reason for an otherwise loyal employee’s departure, but other times a problem with employee retention could center around you or your business practices.
While this can be hard to hear, it is important to recognize the reasons why top-notch employees may be pulled away from a position you’ve offered them. Here are some of the most common reasons employees have left a position.
- Lack of Flexibility. Up to 37% of employees stated that they would leave for another position if that position allowed remote work, with 82% saying they would be more loyal to their current position if it allowed for more work versatility.
- Unempathetic Bosses. Employees who felt their employers lacked empathy or interest in them as individuals were much more likely to search for positions elsewhere.
- Team Tension. Workers that don’t mesh well with their fellow employees or who find their company’s culture [link to workplace culture post] to be poor often look for better, more welcoming opportunities.
- Lack of Engagement. Employees who feel engaged at work are happier, more productive, and less likely to seek other positions.
- Lack of Appreciation. When an employee doesn’t feel like their work is valued or that good work goes unnoticed, they are more likely to feel dissatisfaction, employee burnout, and ultimately to be on the lookout for other employment options.
- Lack of Opportunities. Employees in positions that lack advancement opportunities often find their loyalty wavering after a set amount of time. On the other hand, employees who feel like their careers have a growth trajectory are 20% more likely to stay in that job.
- Wanting More Money. While much less common, with only 12% of employees citing it as a reason to leave a job, the truth is that pay level does affect employee retention. The good news is, though, that up to 71% of employees would take a pay cut for a job they felt was better in other ways.
Strategies to Minimize Employee Turnover
Now that you know the top reasons that employees seek other opportunities, it will be easier for you to address any issues within your own company or management style before problems with employees arise and top talent is lost. Here are some powerful strategies to minimize the risk of employee turnover at your company.
- Provide Independence. Business is changing, and more and more companies are allowing employees to complete work remotely. Look into remote work models and see if any fit the needs of your company or can be adapted to fit your workflow.
Allowing your employees some flexibility in their workday and habits shows trust in their abilities and can even enhance their productivity.
- Prioritize Employees. Show your workers that you care, not just about them as employees getting their job done, but also as individuals. Show an interest in their personal lives and goals, and make time for small talk.
Don’t go overboard. You still want to maintain proper boundaries, but seek to enhance open communication between yourself and your employees.
- Make Time for Entertainment. Consider hosting out-of-office events, such as outings, picnics, or dinners. Find opportunities for team-building in a relaxed environment.
Not only will you gain stronger relationships with your employees, but you’ll also strengthen your company’s workplace culture and team atmosphere while having a good time.
- Challenge Your Workers. People get bored when they feel like they do the same thing day in and day out. Find ways to provide challenges for your employees and to vary the pace from day to day.
This doesn’t mean you should just pile more work on them; you want to avoid the dreaded employee burnout by providing change, not just more of the same.
- Celebrate Success. If an employee does exemplary work, recognize them!
Don’t let work go unnoticed by you or your team. Providing rewards, even in the form of public acknowledgment, not only makes employees feel appreciated but also raises the bar for other team members to do their best and succeed, too.
- Allow for Advancement. Provide excellent employees with opportunities to progress within your company, either as team leaders, managers, or department heads.
Seek out opportunities to mentor employees and help them grow in their careers with options for advanced training and skill acquisition.
- Provide Benefits. Offering benefits may not be something that every business is able to do, but look into package options with qualified insurers if you feel you are able.
59% of workers in a recent survey stated that “health and wellness benefits are important for increasing loyalty to their employer,” with 75% stating they are more likely to remain in a position due to a benefits package.