Employee retention is undoubtedly one of the most important metrics for businesses to monitor. While professional retained HR services will help you keep your top talent, understanding what employees want will strengthen your position.
Retaining your best employees will bring a plethora of benefits including increased productivity and improved client interaction. Moreover, staff turnover can cost the equivalent to one-third of their worker’s annual salary. When combined with the fact that low staff turnover rates result in easier management, this aspect of business needs to be a priority.
5 key attributes that encourage employees to stay
Research shows that employees stay in a job for an average of five years. However, it is possible to improve loyalty within your company by focusing on the right factors. Here are five key ingredients in the recipe for success.
1. Work culture
Employees spend an average of 40 hours each week at work. Naturally, then, the company culture will have a huge influence on their lives. Cultivating a positive work culture, which covers the customs and behaviours of all employees, will give them an incentive to stay. Better still, happy workers are 13% more productive. A positive work-life balance, clear communication, a lack of animosity, equality, diversity, and fairness are all key features.
Ultimately, you want to create an inclusive working environment that encourages a sense of belonging and pride in the business. Conversely, if you allow the work culture to become toxic, employees will leave.
2. Continuous learning opportunities
Most employees have ambitions to climb the career ladder. As an employer, showing them that there is a chance to do that within the company will reduce the rate of staff turnover. This is because employees will feel that their future success lies with the business. Offering internal promotions will incentivise and motivate workers. Providing continuous learning opportunities is the best way to keep them moving in the right direction.
Staff training, seminars, mentorship schemes and other learning opportunities also keep employees engaged with their work. As a business, it ensures that their skills stay relevant too, thus allowing you to stay ahead of the competition.
3. Employee recognition
Showing acknowledgement of a person’s contribution to the company may seem like a small matter, but it has a big impact. Aside from making them feel appreciated, it builds their confidence and reinforces good behaviours. It is shown that 91% of HR professionals believe it has a positive impact on employee retention. While it can start with a simple “well done”, a dedicated programme will yield the best results.
Retained HR services can include building recognition and reward programmes that actively show appreciation. This builds a happier working environment and incentivises employees to keep working hard. Crucially, it gives them another reason to stay with the firm.
4. Effective leadership
The harsh reality is that the best employees will not stay at a company if they have no trust in the company’s leadership. Nobody wants to stay on a sinking vessel if there is an opportunity to jump ship. The leadership of top management, as well as direct supervisors, will subsequently play a huge role in staff turnover rates. When it’s lacking, the best workers are certain to seek alternative employment.
Effective leadership is about more than delegation. It must include transparency, influence, accountability, decisiveness, and resilience while also supporting innovative ideas. In short, when leadership allows employees to thrive, it will show in your employee retention rates.
5. Competitive compensation
Finally, employees deserve competitive compensation. If they are not paid fairly, they will naturally look for a better option. All of the other aspects are vital, but they count for nothing if the financial aspects aren’t right. As well as the base salary, this could include further compensation ranging from pension plans to work perks or sales commissions. It all adds to the overall package that can encourage the best employees to stay.
In today’s world, employees can easily research what they could be getting paid by other employers by looking at online job boards. So, if you are guilty of undervaluing them, they will either reduce their performance levels or apply for other jobs.
Going The Extra Mile
After working hard to assemble a great team, not going the extra mile to keep your employees at the company would be nothing short of a disaster. Focus on the steps above while also actively listening to their concerns, and retention will no longer be a problem.
Want to learn more about retained HR services and how they can support your team? Get in touch today.
