Employee retention is one of the most essential facets of a business’s success. Still, current trends such as “quiet quitting” are indicators that keeping your team happy and motivated is no easy endeavor. It is a well-known fact that it costs significantly more to recruit, hire, onboard and train a new employee than to retain current personnel. This means it is vital for companies to understand and address employee mindsets and motivations regarding their job and morale. It’s Not Just Money A 2022 Gallup poll asked 13,000 U.S. employees what their top motivating factors for staying at a job were. While better pay and benefits topped the list at 64%, it is essential to note that “more work-life balance” only lagged by 3% (61%), and having responsibilities aligned with their strengths was also not far behind. (58%)
These surprising statistics prove that although being paid well still impacts an employee’s decision to stay with their employer, other factors are equally important. Because of this, employers may be missing opportunities to proactively address employee retention – without moving straight to offering more money. Savvy business owners can transform their company culture by offering new resources, incentives, and leadership opportunities. Additionally, innovating how people communicate, learn, and develop their careers can significantly impact a company’s ability to create a loyal workforce that stays for the long haul. Here are 4 ways companies to improve employee retention.
1. Concentrate on more effective hiring and onboarding: A Glassdoor.com study revealed that exceptional onboarding processes can improve retention rates and increase productivity by over 70%. This is due to several potential issues – such as the hire was never a good fit, the job description was not clearly defined, or the hire was not properly trained in their new position. The situation can quickly become frustrating and counter-productive for both employee and employer – but the good news is that a positive start to employment can be achieved. Companies should create and document clear job descriptions and develop onboarding procedures that concentrate on education, information and mentoring. Searchable online information portals, intuitive knowledge guides, and on-demand video training are all innovative ways to ensure your employee starts off on the right foot.
2. Prioritize employee engagement: Employee retention is significantly correlated with engagement and motivation. People want to feel valuable to their organization and to see the connection between their job and the company’s mission. Highly engaged teams are more productive and exhibit higher retention rates. Conversely, the highest levels of attrition are experienced at companies that do not encourage teamwork, collaboration, and periodic opportunities to socialize. With stress levels increasing in society as a whole, paying attention to employee engagement levels is a major step toward boosting retention. Businesses may consider monthly off-site lunches, celebrating birthdays with employees, or hosting town halls that encourage honest feedback.
3. Emphasize employee appreciation: The Gallup research indicated that organizations could reduce employee turnover by over 30% of employees knew that their contributions were noticed and appreciated. And while not every employee will “feel appreciated” in the same manner, most respond positively to genuine gratitude. No one wants to work overtime, write stellar reports and save the big deal if their boss doesn’t even seem to care. Our recent article on quiet quitting explained how above-and-beyond efforts are non-existent when an employee feels undervalued. On the other hand, genuine appreciation provides the motivation needed to maintain morale and build a culture of teamwork, trust, and positive recognition. While appreciation and recognition can have a material benefit, they can also be as easy as encouraging employees to post accolades about their colleagues and teammates on a company forum.
4. Open up the lines of communication: A staggering 80% of those in the workplace report that poor communication causes undue anxiety and stress daily- which leads many of them to move on from their job. Communication is the lifeblood of motivation and morale from the new hire in the onboarding process to the seasoned employee. Poor communication can lead to confusion, frustration, misunderstandings, lack of accountability, loss of productivity, and high attrition rates. These internal problems may soon spill over into lost revenue, missed sales opportunities, and decreased profitability, causing even more distress. Establishing effective communication practices company-wide can transform an organization’s culture into one of loyalty, pride, and efficiency, improving internal and external metrics. In fact, effective communication is essential for each of the tips contained in this article and, therefore, is considered by many to be at the root of successful employee retention.
Revolutionize the Dissemination of Your Information
If communication and information are so crucial, it stands to reason a company must find ways to make all pertinent knowledge available to each employee – when they need it and in a form they can easily consume. While a traditional workplace may have offered stacked binders, bound employee manuals, or PDF files stored in a Dropbox, contemporary online portals offer vastly improved communication and info-sharing capabilities.
These interactive portals gather knowledge guides, standard operating procedures, FAQs, best practices, and training videos in one easily searchable location – whenever the employee needs to access the resource. Messaging capability, online forums, virtual town halls, and more are making their way into the landscape of successful business models, as they allow employees at all levels of the organization to listen and learn and to participate and provide feedback.
Visit KLONEme.com for a consultation about how our robust information portals can help you to hire, train and retain the best employees for your operation.