A high employee turnover rate is never a good thing for a business. In fact, experts estimate that it costs more than twice an employee’s salary to hire and train a replacement. When that is happening regularly, and for many different positions, you don’t need a financial expert to tell you that it is bad for business. But what can you do if your company turnover rate is too high? It is a good first step to identify the problem, but knowing how to tackle it is something else altogether. Here are some tips to help you out.
Work on Onboarding
Too many managers feel that, if they hire the top talent, they should need little guidance as they go about their daily jobs. And while that will eventually be the case, that should be after a comprehensive onboarding process to make sure that every new employee is happy and well integrated within the company. It doesn’t matter how old or experienced a new hire is, starting a new position at a new company is never easy, and it is always going to take some time to get used to how the company works—the ins and outs of their position, their new coworkers, the company’s culture, to name just a few examples.
A huge part of this is through proper training and mentorship. Luckily with the technology that is available to companies now, this is fairly easy to navigate. Many of the top companies are taking advantage of technology, using custom elearning to form an inclusive training system that can be used for all employees, both old and new.
Define Your Corporate Culture
Of course, it is difficult to introduce new hires to a company culture that is largely unclear; and a good company culture is one of the main factors in employee retention. This is something that starts at the very top. It is up to the company leadership to figure out exactly what kind of company they want to have, and then to instill that throughout the rest of the company. For example, a company that is led by a CEO who wants strict rules and micromanages every step of every process will no doubt cause an uncomfortable and high stress work environment. On the other hand, if leaders are both competent and have trust in their employees, this will instill a kind of confidences that will trickle down throughout the rest of the company.
Acknowledge and Reward Workers
A huge part of what keeps employees happy is when they feel that the work that they do is both important and recognized. Elaborate reward programs are not necessary, but at least something should be in place to make sure that good work is acknowledged. Whether it is a shout out on the company’s social channels, or a small token of appreciation from the company, this is the sort of thing that encourages employees to work hard, and feel positively towards both their jobs and their employers. A little bit of friendly competition can also be an effective practice.
Foster Communication
Managers also need to keep their fingers on the pulse of the company, and be open to conversations around them. If employees are unhappy about something, they should feel comfortable enough to talk with their supervisors about it. If there is not this kind of open communication, the employee may choose to simply move companies instead. This is another area where technology can be a huge help. Whether it is through an office network or regular satisfaction surveys, the right communication tools can be essential in figuring out when there are problems with job satisfaction within the company. This is indispensable—only when you know what’s wrong, then can you get to work to fix it.
