Employee turn-over refers to the rate at which employees leave a company within a set period. If you find that employees are leaving your company at an alarming rate, there is likely an issue within your organization. It might have to do with your company culture, incentives, management, or something else entirely. This turn-over can be devastating.
At any business, some amount of employee turn-over is expected. Your organisation can be successful, and some employees will still leave. For greener pastures or other reasons. For example, moving to another country, or switching industries.
However, these situations can also arise because employees do not feel valued, or they feel a recent misalignment of values. If too many employees leave a company, then that company may have a severe employee turn-over problem.
Employees need to feel valued. Employers should not downplay workers’ accomplishments. Create and maintain an environment where workers can be productive and recognized for it. The right recognition and praise go a long way.
Every company needs to be offering the going rate for compensation and benefits in their industry. Some businesses can lure in talent thanks to additional perks, such as healthcare and dental, free meals, onsite gyms, or offering free childcare. Overall, companies should be making sure that they reward their employees with as many incentives as possible to ensure they feel rewarded and appreciated.
A compliment and a pat on the back can feel great to an employee, but some real incentives can make them feel better about themselves, their career, and their professional and financial future.
Many businesses don’t understand the importance of hiring enough people, so employees won’t be overworked and overwhelmed. While a company is scaling, it should actively hire to fill the new necessary roles.
Some, cut costs by avoiding hiring and simply ensuring that their employees work harder and longer, thereby damaging employee morale and the company. While there’s nothing wrong with introducing some new responsibilities to an employee, it should not lead to burnout.
There is a possibility that a company may hire people that don’t really fit there. It might be their personality, lack of interest, or passion for their role. There might also be personality differences or productivity issues that you did not foresee or that were not obvious previously. They may be toxic, adding to workplace negativity, or simply lacking the required work ethic. If there is no improvement with time, it may be time to let them go. While it might seem brutal, it will likely be a decision that you do not regret.
Even though we don’t want turn-over, we have to recognize that some individuals simply do not share the same values as the rest of the employees and need to be let go of when on time. It is best to make the decision quickly and efficiently.
A big mistake is hiring people who do not fit the company’s culture. We usually say we hire for skills and fire for attitude. Will these employees add value to your company with the right skill sets, values, and traits, or will there eventually be a time when it is clear that they are not as productive because they don’t “fit in” to the company?
Good fit equals higher productivity. Do not hire where there is no fit or it will end up in you firing or in turn-over.
The entire concept of “work” has changed since the pandemic. Many employees appreciate that they can be productive without commuting to the office.
If you have taken the time and effort to hire the best employees possible, it might be time to make some concessions and compromises. You might be able to suggest that employees come in one or two days a week, where face-to-face meetings may be more necessary.
Read also: The effect of remote work on employee productivity
If your employee wants more flexible hours, it could be time to let them work more on their terms which may even lead to increased productivity.
Companies may not need to give in to all demands, but it is essential to note that for some workers, flexibility is more important than remuneration. Offering some flexibility in some cases can reduce employee turn-over dramatically.
All industries are affected by turn-over at some point, whether based on market trends, commodity prices, or overall business trends that are affecting revenue or reputation. Countless factors can lead to someone deciding to go for other opportunities.
Companies may not be able to hedge against them all but the above are a few tips to stem the tide of turn-over.
Have a good weekend.
