How to Reduce Employee Turnover Through Robust Retention Strategies?

 According to the recently issued 2019 Turnover Report: Facts and Patterns in Turnover, about 50 million people, or even more than one in every four workers, will quit their current positions in 2019 to work for another organization.

 

It's not a must that this is the case. The study's authors, which has been done by the Work Centre in California using information from much more than 250,000 departure interviews, argue that "and over three in five workers (80%) who departed might have been kept by the employer."

 

Many firms and managers are stepping up their staff retention efforts as a result of developments like these. As a result, many businesses want to avoid the substantial turnover expenses that come with employee churn. U.S. businesses are expected to pay $1.6 trillion in labour turnover this year, according to a new analysis. According to the report, that yearly cost will rise to $680 million by 2020.

 

Another factor that makes it difficult to hold on to top performers in the present tight labour market, which by historical standards is seeing exceptionally low levels of unemployment. This summer, the U.S. Department Of labour reported that the number of available jobs surpassed the number of those looking for work today ever.

 

SHRM Director and CEO John C. Johnson, Johnson stated in his opening speech at the 2018 National Conference & Exhibition of the Societal structure for SHRM that "we already have more qualified workers to execute them," which suggests that the labour crisis will worsen.

 

An expert in people administration at Retinas Talent Management calls this development "very risky" for companies striving to keep their best employees. "Consider the ramifications of that decision. Stavsky predicts that employees will have the upper hand.

 

Why do people quit their jobs? Employees cited professional growth (15%), work-life balance (18%), and management behaviour as the three most common reasons for quitting their employment in 2017 (Jiang and Baer, 2012). There is a common theme among the reasons why people leave their jobs, according to the experts, and that is a failure by the employer to satisfy their demands and expectations.

 

Managers who have this information at their disposal can improve their employee retention and efforts, retaining more staff.

 

Let's assume that a new worker is successfully onboarded and continue to work for the company. In order to optimize the odds of keeping an employee, business management and leadership should remain focused on their requirements and expectations.

 

Employees' demands and expectations shift during the course of their careers, according to Stavisky. There is a big difference between what they are now and what they should be two years from now, he says.

 

According to Jo Dannell, a turnover specialist and worldwide practise leader with Royal Global Movement, a multinational strategy consulting organization, workers from various generations may have distinct demands (Johnson, and Parker 2011). "Stability and financial security are generally the driving factors for older Gen X professionals," Daniel states. Gen Y is more engaged in organizational traits like CSR and international understanding, but they are also more concentrated on their rising career trajectory, in their viewpoint.

 

According to her, "We're still trying to get to know the Millennials, but they're contributing features such as purpose, communications and total experience." Each of these objectives must be balanced in order to create a sustainable culture."

 

As a result of its order to successfully live up to the expectations and needs of its employees, a business's culture is widely acknowledged as an important factor in retaining top talent. A company's culture, on the other hand, might be difficult to describe since it's so subjective. Cultural seems like one of those catch-all expressions, a vague term describing the sense and sense of working someplace," Stavisky explains.

 

References

 

Jiang, K., & Baer, J. C. (2012). How does human resource management influence organizational outcomes? A meta-analytic investigation of mediating mechanisms.

Academy of Management Journal, 55, 1264-1294. doi:10.5465/amj.2011.0088

 

Johnson, A., & Parker, S. K. (2011). Learning and development:

Promoting nurses’ performance and work attitudes. Journal of Advanced Nursing, 67, 609-

620. doi:10.1111/j.1365-2648.2010.05487.x