Ten Effective Ways to Reduce Staff Turnover – in Any Organization Key Takeaway:
Offering a competitive salary and benefits package helps in limiting staff turnover. An inclusive work environment plus strong employee relationships helps in keeping an optimistic aura. Recognizing employees with achievements and promoting them in decision-making efficiently helps keep staff turnover in control. A high staff turnover can be problematic for any organization.
Not only do companies have to spend time and money on recruiting and training new employees. They can also see their reputations damaged by a high turnover rate as it can signify to clients or customers, as well as prospective employees, that the company is not treating its staff as well as it could be.
Companies all over the world are experiencing high staff turnover rates. For instance, according to Built In, 50.6 million employees in the United States left their jobs in 2022, which is an average of 4.2 million people every month.
Furthermore, stats from 2021 show that one in three Americans who left their place of employment didn’t have another job lined up, which indicates those workers’ reasons for leaving had to do with unhappiness at their workplaces.
Canada is also seeing high levels of staff turnover. According to Canadian Business, citing the 2022 Randstad Survey, employers in Canada spent an average of $41,000 on rehiring and retraining workers to replace those who had quit.
The report on Canadian employers also informs us that 21% of white-collar workers and 36% of blue-collar workers changed their employers within the space of a year.
So, it should be starting to become clear that your organization, if based in the U.S., Canada, India, or anywhere else, needs to actively identify ways of reducing employee turnover. In turn, you can save money and retain happy workers and top talent.
Get started by checking out the following ten effective ways to reduce your staff turnover.
Offer Competitive Salaries Your employees work hard and deserve to be rewarded for their efforts.
One of the best ways to limit staff turnover is by offering competitive salaries. After all, why would someone stick around in a lower-paying role when they could earn more elsewhere?
So, if you can, offer good salaries to your staff. They will be happier and more productive, which will lead to higher efficiency and profits.
Provide Good Benefits Packages Benefits can make all the difference when keeping your employees happy and invested in their jobs.
That could include health insurance, retirement contributions, paid time off, or even gym memberships.
Search for a benefits package that works well for both the employees and your organization.
Create an Inclusive Work Environment Work can be tough enough without having to face discrimination or unfair treatment daily.
Therefore, creating an inclusive work environment is essential if you want to reduce staff turnover.
Develop Strong Employee Relationships If your employees feel valued at work, they are less likely to leave.
This sense of worth might come from regular one-on-ones with their manager or appreciation events held by the company annually.
Invest in Training and Development People like growing within their roles and learning new things.
Offering opportunities for professional development shows that you’re invested in your employees as individuals – not just as workers.
So, invest in development and training, and make sure you use the right assessment tools .
Interesting Fact: According to the Society of Human Resources it takes 6 to 9 months of an employee’s salary to replace them after consideration of hiring and training costs.
Promote a Work-Life Balance It’s difficult enough to balance our personal lives without dealing with long working hours.
Encouraging work-life balance can do wonders for staff retention. That could involve flexible working hours, encouraging employees to take vacations, and setting realistic deadlines.
Involve Employees in Decision Making When employees feel like their opinions are heard and taken into consideration when making decisions, they are more likely to stay with your company.
They will then feel like they’re part of the company’s growth and success.
Encourage Open Communication Employees should always feel comfortable voicing their concerns or ideas without fear of repercussions.
Open communication contributes to high job satisfaction levels which ultimately leads to less staff turnover.
Provide Room for Growth If your employees see that there are opportunities for promotion or advancement within the company, they will be less likely to look elsewhere for those opportunities.
So, provide your staff with room for growth.
Give Out Awards to Recognize Employees’ Achievements Another fantastic way to reduce staff turnover is by giving out awards to recognize your employees’ achievements.
That could be as simple as giving out a congratulatory certificate or something more elaborate, like a plaque or trophy for the ‘Employee of the Month’.
If you’re looking for inspiration on what kinds of recognition awards to give out, ablerecognition.com offers a variety of unique and personalized appreciation, including some stylish art glass rewards and crystal prizes.
Not only will these awards make your employees feel appreciated. They will also promote healthy competition amongst team members.
Don’t just award those at the top but recognize individual contributions that have positively impacted the team or business. Everyone likes to hear that they’re doing a good job – it’s human nature.
Just be sure that when handing out these prizes, it’s done inclusively and isn’t biased towards a certain group or individual unfairly. Your intention should always be about fostering motivation, increasing morale, and most importantly – reducing staff turnover.
Final Thoughts Above all else, remember: happy and engaged employees equals lower staff turnover.
So, implement some or all of the above recommendations in your workplace, and you’ll start seeing improvements not only in staff retention but also in overall business performance.
