How to Retain Employees: 10 Effective Strategies
Employee retention is one of the most important challenges facing businesses today. The cost of replacing an employee is high and it takes time to find, train and get the new hire up to speed. In addition, the team disruption, loss of intellectual property and expertise walking out the door can put an unwanted strain on the remaining team members.
There are a number of core issues that businesses can address to improve employee retention. Here are 10 effective strategies:
Crucially number one - create an always on feedback channel – of course! And for good reason. If you don’t know, through anonymous feedback, how your people truly feel about the place they work, how can you hope to fix staff problems or high turnover. An always on feedback program will enable you to quickly identify areas where employees are feeling dissatisfied and take positive steps to address those concerns.
Create a positive work environment. This includes providing a safe and comfortable workplace, offering competitive compensation and benefits, and creating a culture of respect and appreciation. Why not ask your staff what a ‘safe and comfortable workplace’ means to them through your anonymous feedback platform?
Provide opportunities for growth and development. Employees need to feel like they are learning and growing in their careers. Offer training and development opportunities that will help them reach their full potential. There are lots of great value online LMS options to choose from.
Give employees a voice. Make sure that employees feel able and comfortable to express their views - when it matters most to them - by using an always on anonymous feedback platform for clear and honest results.
Celebrate successes. When employees do a great job, make sure to let them know. This can be done through public recognition, bonuses, or other rewards.
Empower employees. Give employees the freedom to make decisions and take ownership of their work. Encourage them to ‘make decisions like an owner’ and to have an entrepreneurial spirit. This will help them feel more in tune with the business, valued as a team member and engaged with the company goals.
Offer flexible work arrangements. This can be a great way to show employees that you care about their work-life balance. Consider offering hybrid or home working and flexible hours, if possible.
Invest in employee wellness. Offer programs that promote physical and mental health, such as on-site fitness centers, wellness reimbursements, and stress management workshops.
Be fair and consistent. Employees want to know that they are being treated fairly and consistently. This means having clear policies and procedures, described at onboarding, and enforcing them equitably.
Resolve conflicts quickly and fairly. When conflicts arise, it is important to address them promptly and fairly. This will help to prevent small problems from escalating.
By taking steps to improve employee retention, businesses can reap a number of benefits, including:
- Reduced turnover costs, which can amount to a large percentage of their annual salary.
- Increased productivity - companies with strong employee retention rates have over 20% higher profitability than companies with low rates.
- Improved morale, by feeling part of the big picture and a valued member of the team
- Stronger bottom line by increasing productivity and improving morale.
Employee retention is much more than purely paying high salaries and, crucially, not solely an HR issue; it should be looked at in the round as a series of on-going actions and activities driven, primarily, by listening to your employees’ needs.
Learn about Thymometrics' range of anonymous employee feedback solutions to help your business retain your people and let them flourish - email us at firstname.lastname@example.org or call +44 (0)1223 750 251.
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