How to Increase Employee Retention Successfully
The first step to having a strong workforce is hiring competent and reliable employees, and the next step is to keep them. There are a decreased productivity and increased costs or spending with a high employee turnover. The key to your business’ success and long-term health is implementation effective employee retention strategies. Managers would agree that retention of best employees increases product sales, ensures customer positive experience, satisfied coworkers, effective operations and successful planning. The rate of employee retention of a company is important because losing your best employees results in lost manpower investment, lost knowledge and skills, and others may also be influenced to resign and transfer to your competitors.
It is important to offer a competitive benefits package to your employees like providing health insurance, retirement savings plan, and life insurance, along with other perks such as telecommuting and flextime to show that you can also accommodate their requests or their outside lives. At the very beginning, it is essential to already provide a specific framework of what are the expectations of the company from them because any change of expectations may, later on, turn off employees causing unhealthy stress. According to studies, most employees leave because of their supervisors and manager more than the job itself or the compensation benefits, so the quality of employee supervision is also critical in the retention of your employees. Employees who feel they are undervalued contribute to a company’s attrition, and these common complaints that center on the clarity of earning potential, expectations, lack performance feedback, failure show up on schedule meetings, and failure to create a developmental plan when an employee is performing or wants to succeed.
Another factor affecting employee retention is the freedom of the employee to speak freely within the organization. It is also a good idea providing meaningful employee appreciation gifts and freebies such as having pizza party after meetings, free Flavia coffee in your departments, free bagels on Fridays or out of town team buildings. Having a contest or incentive compensation plans shows that you want to reward deserving employees for a job well done, letting them feel valued and motivated. Support further studies for fostering employee development such as tuition reimbursement or learning a new job skill. Having an open communication between the management and the employees is essential by having regular meetings and open-door policy so that employees are encouraged to speak directly to their managers without any fear of repercussion, and holding regular meetings allow employees to speak their ideas and encourages them to ask questions. It is also vital to hire a human resources director to manage over a hundred employees benefits and concerns, thus streamlining your employee processes and structure.