Companies are in a tough position when it comes to maintaining skilled labor. On one hand, managers are tasked with handling what the World Economic Forum calls the ‘Reskilling Revolution’, upskilling workers as roles and technology evolve. On the other, we are in an environment of staggeringly high turnover – as much as 50-75% higher than prior norms. This leaves leaders in a constant cycle of recruitment and training. Placing additional emphasis on talent retention will allow managers to focus on team building and driving performance. It’s not easy to keep good employees, but it’s essential to the success of your business. Fortunately, you can follow some core principles to help you retain top talent.
Why do employees leave?
The first step in retaining good talent is to identify what may be driving people to look elsewhere. “Conventionally, folks leave jobs for one of four reasons: better alternatives, planned life events, a negative experience, and general dissatisfaction. It is crucial that leadership keep a realistic pulse on the mood of their workforce to stay in front of this as much as possible.” Organizations should also examine employee wellness, role clarity, and job design.
The Importance Of Retaining Good Talent
Good talent is hard to find. When you have good employees, you want to do everything you can to keep them. Retaining good talent is essential for several reasons. First, it saves your company money. The cost of recruiting and training new employees is high. Second, good employees are productive employees. They help your company run smoothly and efficiently. Finally, good employees represent your company to the outside world. They’re the face of your business, and you want to ensure that your look is positive.
Keep Your Employees Engaged
Engaged employees are more likely to stick around than those who are disengaged. That’s because engaged employees feel like they’re a part of something larger, and they’re motivated to do their best work. To keep your employees engaged, ensure you’re regularly communicating with them about the broader business and recognizing individual contribution. Skimping on recognition programs is a common error among organizations. These types of efforts have been shown to reliably drive retention.
Invest in Your Employees’ Development
Investing in your employees’ development shows that you’re committed to their growth and want them to stay with the company long-term. You can invest in your employees’ development by offering tuition reimbursement, providing paid professional development opportunities, and offering access to online learning resources.
Another great way to invest in your employees’ development is to create mentorship and job-share programs. This allows employees to learn from more experienced colleagues and develop relationships with people across the company.
Improve your Review Process
Chances are good that your workers dread review season. Too many managers treat employee reviews as a time when subordinates have to justify the existence of their job. Transform these interactions into positive career conversations. Give employees the space and encouragement to be curious and creative. This allows you to move past the zero-sum dynamic where the dialogue either ends with a raise or a disappointed employee. The focus should be on progress, not promotion.
Offer a Comprehensive Benefits Package
A comprehensive benefits package is another critical way to retain top talent. In addition to offering health insurance and a retirement plan, consider subsidizing other benefits like child care, transportation, and gym memberships. You might also want to offer perks like flexible scheduling, paid time off, and telecommuting options. A comprehensive benefits package will show your employees that you value their well-being inside and outside of work.
Employees value most benefits that help them balance their work and personal lives. For example, a recent survey found that paid parental leave is one of the most important benefits for employees.
Encourage a Healthy Work-Life Balance
A positive work-life balance is essential for retaining top talent. When employees feel like they’re constantly working and never have time for their personal lives, they’re more likely to start looking for a new job. To encourage a positive work-life balance, offer flexible working arrangements and encourage employees to take advantage of their paid time off. You might also want to consider offering telecommuting options and sabbaticals.
Work-life balance goes beyond benefits: Companies need to create a culture that encourages work-life balance. If my manager is emailing me on a Saturday, she is signaling that she expects me to do the same. This has to be modeled from the top or it will never be more than words.
Create a Positive Work Environment
Creating a positive, inclusive, and diverse work environment where employees feel like they can do their best work is essential to retaining good talent. This means providing the necessary resources and support, setting clear expectations, and fostering a culture of collaboration and respect. When employees feel like they’re in a positive work environment, they’re more likely to be engaged and productive – and less likely to look for a new job.
Offer A Competitive Salary
One of the most important things you can do to retain top talent is to offer a competitive salary. Employees who feel they’re being paid fairly are likelier to stick around than those who don’t. To determine whether your wages are competitive, compare them to similar positions at other companies. You can also use online tools like salary calculators and surveys.
In addition to offering a competitive salary, you can retain top talent by providing employees with other forms of compensation, such as bonuses, stock options, and profit sharing. These forms of payment can help employees feel like they’re more than just a number and that their work is valuable to the company.
Conclusion
Following these core principles is essential to keep your top talent. By doing these things, you’ll be well on retaining your best employees for years to come.
