Employee retention rate is a key metric for any business. You spend a lot of time and resources bringing in and training the right people. If your employees ultimately end up going to another organization at a high rate, then you’ve wasted that investment and need to begin the process again. By improving your employee retention rate, you’ll not only keep your employees around longer, but those employees will be happier and provide better work. Below are a few methods you can use to improve your employee retention rate.
Fix Your Onboarding Process
A great place to start is where your employees start – that is, your onboarding process. Many employees leave a company after only being there for a short time. This can happen when there isn’t a good onboarding process and your new employees feel overwhelmed early on. If your average new employee isn’t remaining with the company long, your onboarding process could be the culprit.
Review each stage of the onboarding process, looking for areas where you can improve or provide more clarity. It’s a good idea to get feedback from your current team and ask them how you can improve onboarding.
Show Your Employees Appreciation
Another simple thing you can start doing is showing your employees more appreciation. Everyone likes to feel that their work has value. Employees who think they are working hard only to go unnoticed are likelier to leave the company for another organization. There are many easy ways that you can start showing more appreciation, and they don’t have to cost a lot.
For example, a simple company-wide email congratulating someone on an accomplishment can go a long way. Or, if you have employees who have been with the company for a long time, you can look at some service award ideas for ways to show your appreciation for their loyalty. Work on recognizing your employees’ hard work, and you’ll likely start to see an improvement in your retention rate.
Ensure You Offer Competitive Compensation
Of course, a big factor for any employee is their compensation. No matter how great your company is, if someone can earn significantly more at another organization, they’ll likely leave. This is why it’s important to regularly investigate the typical salaries for people in your employees’ positions and ensure you’re offering a similar wage. Regular raises and bonuses will help to ensure that your salaries remain competitive and that your employees stick around.
Provide Perks Beyond Compensation
Employees think about more than just their financial compensation, though. If two companies offer a similar salary, someone is going to pick the job that’s more enjoyable. What makes a job enjoyable varies from person to person, but there are some things you can do to make your organization more attractive overall.
For example, you can start employee wellness programs to focus on your employees’ health. You could also offer flexible work arrangements, allowing your employees to work from home. Vacation days, sick days, unique perks, and company initiatives are all ways to have your organization stand out from the competition.
Change Up Your Atmosphere
The atmosphere also plays a big role in determining whether someone sticks with a company. If your employees dread coming into the office each day, they’re not likely to stay around for long. Work on encouraging a positive atmosphere throughout your office. Also, consider changing the interior design if you think it will positively impact your employees’ mood, such as more natural sunlight or brighter colors. Finally, look for some ways to add fun to the work week, such as weekly games or Casual Fridays.
Give Employees a Chance to Grow
The last thing to focus on is giving your employees room to grow. People commonly leave one company for another for a new challenge or a way to advance their careers. If you find that people are leaving your organization in order to take on larger roles elsewhere, there are a few things you can do. For one, try giving your team larger responsibilities. You can also offer development courses or training to help your employees gain new skills. Lastly, some larger organizations offer to pay for college courses so that their employees can better themselves at a reduced cost.
Start Focusing on Your Employees
Improving your employee retention rate is all about making your organization more attractive than the competition. There are many ways to go about that, whether it’s providing a more competitive salary, additional perks, a more enjoyable work environment, or even just showing your appreciation a little more. Hopefully, the above tips will help you get started, and before long, you’ll have a team of dedicated employees who will be around for the long term.
