Employee turnover and staff retention are some of the biggest challenges employers are facing in today’s competitive market. The cost of losing top talent today creates a financial loss for employers and affects the overall productivity of an organization. The amount of time and resources it takes to replenish unwanted turnover can accumulate to double the salary of the actual vacancy. A high turnover can also deplete morale and encourage other employees to look for opportunities elsewhere. Developing an effective employee retention strategy keeps turnover low and overall optimizes a company’s efficiency. It makes sense that employees who are happy in their job stay with a company longer and are more successful than those who are not.
The pandemic certainly caused disruption and people are taking this time to make lifestyle changes and reevaluate their career paths. As a result, we are witnessing a resignation wave of employees who are leaving their jobs to find a better opportunity. Although some turnover is inevitable it is important for employers today to take strategic action to retain their employees. Creating an effective retention strategy is not a one size fits all solution, and every organization has different pain points. The key is to pinpoint where the fall-off is happening and implement ways to facilitate those pain points. So where do you start?
Control the controllable!
A Work Institute 2019 Retention Report categorized employees' top 10 reasons for leaving their job into two categories- less preventable and more preventable. In total 77% of the reasons employees decided to leave their jobs were preventable. Understanding the modern-day job seeker mindset is a great way to evaluate an effective retention strategy. The rath of covid has shifted many employees’ perception of what they want out of their job and what they prioritize when considering an employer. The new normal of working from home has also given unsatisfied employees a wider range of options to consider than ever before.
Here are the top 3 retention strategies to employ in 2022.
1. Career Development
Employees who feel stagnant in their role may become disillusioned and are more likely to seek opportunities with companies who promote within. Career growth is a buzzword in conversations with job seekers today and it has become a priority for many when considering long-term employment opportunities. Supporting professional development and offering continuous training uplifts complacent employees and boosts morale. Ineffective training can add up and is not always feasible. However, there are targeted ways to encourage development without breaking the bank such as hosting internal meetings where employees can collaborate and learn new skills from each other.
Unlike some career tracks, in most Collections roles, entry-level means, “no experience required”. Hiring managers are happy to train job seekers with no experience, specific credentials, or college education. It’s a great way to get your foot in the door and gain corporate office experience. And the best part? Because these companies have been doing this for a while, training is usually very supportive and comprehensive.
While, of course, previous customer service experience is always helpful, all you need to be successful is the will to be successful. Your trainer will take care of the rest! Collections jobs are a great option if you are looking to gain experience or are just getting started in your career.
2. Company Culture
Cultivating a culture that stands is vital to retaining top talent. People today are looking for fulfilling opportunities more than a paycheck. Recent studies show that almost half of employees would leave their jobs for an opportunity offering less pay but has a better culture.
People want to feel comfortable in a work environment and will not stick around if they are in a tense or stressful environment. Demonstrating kindness thoughtfulness can go a long way in today’s chaotic climate. Employees are more likely to stay for the long haul when they are with an organization where they feel respected and valued. Creating a collaborative and standout culture includes implementing recognition and encouraging creativity to strengthen employee relationships. Strong employee relationships boost customer service and overall motivation to achieve company goals.
Healthy employees are happy employees and covid has amplified employees’ ideas about what working conditions should be like. In today's world, working in an office is not as vital as it once was. Giving employees the option to work from home regularly and offering flexibility can have a huge impact on an employee's work/life balance. If remote work is not an option, consider encouraging employees to use PTO and disconnect to rest prevents burnout and reduces stress. People are not machines, and when pushed too hard for too long, they will succumb to illness, fatigue, and unnecessary mistakes. Prioritizing employee wellness will lead to a higher employee retention rate.
Today employees are more likely to stay with a company that is invested in their career development, promotes a collaborative culture, and prioritizes their well-being. These are strategies that you start implementing without breaking the bank and will minimize turnover.