5 Actions You Can Take to Increase Employee Retention Rates
Wouldn’t it be great if the word turnover simply referred to a small hand pie? Like those delicious fried and glazed confections you would eat as a kid. (We can literally smell the fruit and sugar!)
But the reality for many HR departments sadly isn’t so sweet.
And if you’ve landed on this article, that probably comes as no surprise.
What makes it even worse is that turnover can cost organizations a lot of money and time. The cost of recruiting, hiring and training replacement employees gives us literal nightmares, as we’re sure it does you as well.
So what can you do to manage employee retention in a fast-paced environment? Here are some strategies that not only benefit your company, but your employees as well.
1 | Cultivating Culture
The most impactful thing you can do to retain employees is to hire for culture. In fact, the average time employees stay in a job with a good cultural fit is 6.3 years–more than twice the length of time they’ll stay in a job with a bad cultural fit (average of 2.8 years). Why the big boost in loyalty when some fits in with the office culture? When employees fit in, they are happier. But it’s more than just that. Cultural fit is about values and not just personality. When an employee feels their values and the company’s are more in alignment, they enjoy the work they do and often feel like they are working for something bigger than themselves, providing employees with more personal fulfillment.
Want to learn more about hiring for culture? Check out our website!
2 | A Regular Picasso
Many organizations say they value creativity, but then don’t have the policies or initiatives in place to support that. A great example of a company encouraging creativity is Google’s 20% program, which allows employees the opportunity to work on side projects that interest them. If that’s not your cup of tea, here are some other ways you can encourage creativity in the workplace:
- Offer rewards – if you are going to encourage suggestions or creative ideas, recognize and incentivize employees who contribute in a tangible way.
- Provide an outlet – not every employee will want to contribute ideas in a public way, so make sure you have a way to accept private contributions and feedback too.
- Diversity is a must – creativity doesn’t come from a group of people that all think alike, so make sure your hires come from diverse backgrounds.
- Have fun – create a positive and fun working environment where creativity and spontaneity can occur (that will look different for every organization so find what works for you)
3 | Game of Growth
Ditch the Game of Thrones style workplace where it’s every man for him or herself. Instead, provide all of your employees opportunities for growth. This can be done by giving an employee the opportunity to do something different than they normally do, take training or classes, lead on a team project or go to a conference. You also want opportunities for employees to advance in the company. No one will stick around if they can’t move up the proverbial ladder.
4 | Feedback Loop
Employees genuinely want your feedback. Really! They want to hear from their managers where they are doing well and where they could improve. So have managers make it a habit to regularly check in with employees and provide that balanced feedback.
5 | Balancing Act
Burnout is a real issue. And when employees are suffering from burnout, they are less productive and it can have a real effect on their mental health. Encourage a healthy work-life balance at your workplace by providing flexibility and work-from-home options as well as establishing policies about regular work hours and working on weekends. You can even take action this week by identifying people in the company who are overworked and giving them a bit of time off.