“Employee turnover.” Two words that can strike fear in the hearts of most hiring managers and HR professionals.
Today there’s serious pressure for business managers to engage employees and hit peak productivity. In fact, 56% of CEOs have reported that “recruiting and retention” are primary concerns – this coming before the COVID-19 outbreak.
While employee turnover can be costly for a business, it can also be an indicator of growth as an organization. Some employees will meet the challenge that comes with corporate growth and continue to fit the culture – while others flame out.
The fact is, as a company grows, an employee who doesn’t believe in the business strategy, culture or mission will not be as successful as a more aligned employee. In this case, turnover can lead to a better organization.
Here are 5 examples of what you can learn – and how to potentially benefit – from employee turnover:
1. Hire the Right People
It may sound pretty obvious, but keeping employees starts with hiring the right people. HR professionals and hiring managers can ask candidates behavioral interview questions to find out how they react in certain situations. Interviews – even virtual ones – can be used to show potential new hires around your business so they understand your workplace culture.
2. Understand your Brand
If you find yourself consistently losing good employees, you’re probably not attracting the right people. Qualifications aside, anyone who isn’t a good cultural fit won’t stay long – would you really want them to? Work to change your hiring and onboarding processes to only identify candidates who truly fit in with your corporate brand culture. This could mean anything from recruiting in new and different places to instituting group interviews.
3. Review your Compensation Package
If you want the best – or keep the best – you have to offer the best. In terms of talent, you get what you pay for, so evaluate your compensation and benefits strategy on a yearly basis. When determining compensation for your employees, it’s good to do market research on wages, and research a competitive salary range based on similar jobs in your local area.
4. How Do You Compare in the Marketplace?
If you’re losing good people, where are they going? Finding out what motivated your employees to go to a new organization may be humbling but it’s also an incredible opportunity for growth. Was it money? Perks? The office environment? Learning from your competition and making adjustments can slow your turnover rate and help you hold on to your best employees.
5. Show the Career Path
Most employees want to increase their skills and knowledge and move up the career ladder. Turnover can be decreased by showing employees a projected career path that gives them a sense of direction and purpose. Whatever the path, let them know how they can advance.
A Final Word
The key to any successful business is recognizing challenges and learning from them. Employee turnover is one of these, and while frustrating, it can be a great opportunity for growth. Make sure you’re hiring the best and holding on to them!
Lanmark Staffing provides over 40 years of combined human resources, recruiting, temporary placement, sales and management, and temp-to-hire services. Visit our website and learn how our team of local, experienced professionals can help you find the best employee for the job.