5 Ways to Slash Employee Turnover
Many US corporations appear mystified as to why they have such a high turnover rate. The average employee turnover rate in the US is gradually increasing. In 2014, it was 40.3%. In 2018, it was 44.3%. This data suggests that employees are failing to thrive at work. A large percentage of employees in US corporations dislike their jobs. They don’t feel their jobs help them build their personal dreams and they don’t share their organization’s vision.
Everyone loses because of this high turnover. Workers must find new jobs and start over. Employers must retrain new employees and lose revenue as new hires learn about the business. And the economy itself suffers.
Ironically, creating a win-win situation is straightforward. Here are a few proven ways to improve employee retention.
1.Hire the Best People
Selecting the right person for the job is probably the most effective way to keep employees. It’s not enough to hire someone because they have good qualifications or appear to fit your corporate culture. They must also have an interest in the work itself, not just the paycheck.
2. Reduce Tedious, Repetitive Work
One reason people quit their jobs is that they can’t handle boredom. When possible, free your employees from tedious work that you can outsource. For instance, outsourcing managed print services will give you an opportunity to direct your employee’s knowledge, talent, and skills toward something that interests and engages them.
Employees who enjoy their work will do it well. They will also get better at it over time. This proactive attitude will improve your company’s bottom line.
3. Offer an Attractive Benefits Package
While a competitive salary is a good place to start, benefits make a huge difference. One reason people stay in jobs is that it gives them more than just a paycheck. Benefits such as flexible hours, disability insurance, life insurance, and a 401(k) match will reduce employee turnover.
4. Provide Education and Training Programs
Many companies simply give employees just enough computer-based and on-the-job training to do their jobs competently. However, people are eager to do a good job and love to improve their skills. Therefore, mentoring, presentations, and hands-on training workshops create a sense of belonging.
However, not all training has to be work-related. Google, for example, offers its employees the chance to hear famous writers talk about their latest books. Other companies hire business experts and motivational speakers to improve their employees’ general knowledge.
5. Recognize Employee Performance
Often employees leave because they don’t feel valued. They feel that their employer does not recognize their performance on the job. This lack of appreciation results in settling for above-average service. Bitterness leads to underperformance. Eventually, they feel so discouraged by the scarcity of rewards that they quit.
Why Employees Leave
The reasons for turnover depend on the type of work. Call centers, for example, have a high employee turnover rate because most employees realize that they have no hope for career growth. Besides being repetitive and tedious, it is also stressful because customers often take out their frustrations about a company on the call center employee who is representing that company. On top of this stress, supervisors pressure employees to meet key performance indicators, often chiding them for not following guidelines on talking points during the call or not making enough calls to meet their daily quota.
A business that has a high employee turnover is one that is always struggling to earn enough revenue to cover all its business expenses. Despite how simple it is to encourage employees to stay and how simple it is to attract high-quality employees, a large percentage of US companies prefer to put the blame on their employees rather than take responsibility for creating a business where people love to work.