Before the pandemic, employee retention was considered the second biggest challenge facing businesses, just behind the recruitment of talent. High employee turnover not only increases an organisation’s expenses, but also takes its toll on the business’s morale. Worse, the departing employee will often go to a competitor, turning your asset into theirs.
In 2016 LinkedIn conducted research into global recruiting trends, which revealed that 41% of respondents expected to remain in their current workplace for less than two years. 37% would stay for at least three years, while the remaining 22% were unsure how long they would stay in their current company. Their ‘Why and How people Change Jobs’ study revealed the three main reasons workers tend to change jobs: 1) to take the next step in their careers; 2) a desire for more challenging projects; and 3) increased compensation.
To successfully improve retention rates, it is important to understand what is driving employee flight (e.g. benefits, compensation, engagement, communication, opportunity, culture etc). Once these have been identified it is possible to implement initiatives that can improve employee retention rates. Here are our top five tips.