Employee turnover is something that unfortunately all businesses experience. Individuals may suddenly leave, leaving your business at risk. Not only does this affect your business internally, but the reputation of your business will go down, making it harder to attract new employees. In order to keep your employee turnover rate low, it’s important to prioritize your employee’s needs to ensure they stick around.
Here are 5 tips to decrease your employee turnover rate.
Hire the Right People
It seems simple, right? Many companies who have experienced high turnover rates got there because they weren’t hiring the right employees. You should never be so desperate for help that you hire any and everyone to fill a position. If you have that mentality, it’ll only end up costing you. Take the time to conduct a hiring process that will ensure you are hiring long-lasting employees who are actually interested in the position, and not just in need of any job. When interviewing potential employees, try to get a feel for who they are and what environment they work best in.
“Sometimes the most qualified employees may not fit in with your companies’ culture and that’s ok. Look for someone with drive and ambition who wants success for themselves as well as the company” says Sacha Ferrandi, founder and principal of Source Capital Funding and Texas Hard Money.
Make the Work Environment Enjoyable
In order to keep your employees engaged and excited to come to work, try to make the work environment as enjoyable as possible. Work is work and sometimes being in an office all day can be draining. Not only do you want your employees to feel comfortable, but you also want them to be inspired by the environment they’re in. A more enjoyable work environment could include things like hosting contests to keep your employees motivated, having themed days where employees dress up or even having fun activities and games in the office for employees to unwind on their lunch breaks. Show your employees that you want them to work hard, but still want them to have fun doing so.
Offer Competitive Pay
There are many incentives companies can offer employees that will attract them and make them want to stay. In order to keep employees motivated and eager to work, offer raises for hard work. You want to prove to your employees that hard work gets noticed. Conduct performance reviews every six months to go over each employee’s individual progress. Promote an environment where growth is encouraged. The more support they have from you, the more they will want to advance their career in your company.
When it comes to pay, give employees what they deserve. If needed, look at your competitors and see what base salary they’re offering to their new employees. In order to recruit and retain top talent, you need to make sure the pay is competitive enough to keep employees from choosing a different place of employment.
Offer Great Perks and Benefits
It’s one thing to promote unique benefits and perks to attract new talent, but it’s another thing to uphold them. Many companies are offering their employees unique perks that promote a better work-life balance. Things like flexible work hours, work from home days, unlimited paid time off, and free lunch and snacks, are just some of the incentive’s employers are offering. These incentives go a long way in establishing a work environment that is going to retain long-lasting employment.
Make Sure No One is Overworked
Part of retaining employees is making sure they are avoiding work burnout at all costs. The stress that comes with work is inevitable and every individual responds differently. Your employees should never feel so drained from work that they consider quitting because they can’t handle the workload. If your employee’s workload is becoming too much for them to handle, that might be a sign that you need to hire more help. GM of CanvasPeople, Jason Yao reminds us, “Though it may cost you more to take on a new person, the bottom line is if your employees are overworked, they are going to end up leaving. If you need extra help, hire more people. Don’t continue piling work on top of your current employees”.
As a manager, it’s important to look out for signs of burnout through employee behavior. These behavior changes can include decreased work productivity, showing up late to work and changes in personality. Sometimes you may not see these signs, so make sure you’re checking in with your employees often. They may be afraid to speak up and tell you how they really feel. Have a clear line of open communication so you’re aware of any changes you need to make to help maintain a positive workplace.
Employees come and go, and there’s nothing you can do to control that. Sometimes people find jobs that suit them better or maybe they decide to make a career change. In order to reduce the risk of losing high-quality employees and ensure your turnover rate stays down, it’s up to you to provide your employees with a culture and environment they won’t want to leave.
Emily Banks is a Bay Area native who got tired of San Francisco’s cold beaches, so she moved to San Diego. She is currently the Editor for the HR section of 365 Business Tips. When she is not typing away on her keyboard, she can be found eating street tacos in the sunshine.