A lot of factors contribute to employee retention, and it is a top concern for many organizations. Many employing entities would rather spend a lot of finances on employee retention than getting new hires for the job because it involves training and hiring costs. Employee retention is more of strategies put in place rather than the outcomes. Let us brush over some of the tips to improve employee retention.
1. Prioritize your Onboarding
Most of the time, onboarding usually goes beyond the first few weeks. According to a recent human resource study, more significant employees are likely to stay in an organization for three years after experiencing a well-organized onboarding program. Onboarding is critical for employee induction into the organization. The company needs to maximize resources on onboarding as it involves employees learning about its mission and culture. It is better to spend many resources on onboarding programs rather than hiring new employees to the organization.
2. Compensate Appropriately
Employers need to pay their employees sufficiently. Most employees know their value when it comes to salary and enumeration. It is best to pay wages according to market value to avoid high turnover rates due to wages. However much a company cannot achieve a 100 % on employee retention, this is one of the significant areas to take concern. Most employees would leave their current jobs to another company because of a slight salary increase. It is an influential motivating factor.
3. Diversify your Work Options
Organizations should be flexible to accommodate employees. Sometimes employees may need to work beyond traditional hours to take care of other responsibilities. Therefore, a company should be flexible enough to allow employees to work remotely. Most employees would instead work from home rather than have a salary raise. In addition, working remotely saves the company a lot of costs such as office rent, utilities, provision of food, and other welfare amenities that would have been used when employees are physically at workplaces.
4. Hire for Cultural Fit
Most of the time, during the hiring process, an employee may seem well packaged. The individual seems well educated, has a wealth of experience, and is versed in the particular industry. However, it is essential to evaluate whether an individual will fit it in the organization in terms of culture. Sometimes it is best to talk to potential employees about your business operations, culture, and structure. When an employee is not interested in the workings of an organization then, it will have adverse effects on performance. According to a recent report, cultural fit is a critical assessment tool in employee retention.
5. Hire Referred Employees
When hiring for your company, it is best to seek referrals from the existing employees as they act as prescreen. The employees are already familiar with the company operations and more often will recommend someone who fits perfectly for the job. They would not like to have a referral who would tarnish their image. Additionally, it would be less costly in terms of money and time when going through the recruiting stage. So, the situation presents itself as a win-win situation for both employees and employers.
From the above discussions mentioned are some of the tips to help improve employee retention. However, turnover is inevitable as no single company can boast of having 100 % employee retention. However, the tips are great, coupled with an employee-centric approach and evaluative plan, which can help a company move closer to higher employee retention.