5 Ways to Minimize High Employee Turnover Rate
The one negative thing that businesses experience at some point is employee turnover. It isn’t a pleasant experience for the company – not to mention expensive as well.
When an employee leaves, it costs significantly to the business. This is why it is important that companies keep the employee turnover rates low. Here’s how you can do that.
5 Tips to Reduce Employee Turnover;
- Determine the Cost of the Turnover to the Business
Start by understanding how big the problem is. Knowing the company’s turnover rate will give you an idea of what you have to fix.
Number crunching is critical here. When an employee leaves, what does it cost the company? You need to factor in recruiting, onboarding and training costs. It is also important to consider the overtime costs for temporary workers.
Once you have these numbers, bring relevant changes within the company to reduce the impact that turnover can have on the bottom line.
- Learn from Your Most Successful Employees
Who are your most successful employees? Take a look at the attributes they bring to the table.
Understand what makes them happy and productive. Analyze how their roles and work environment contributes to their productivity. Identify the key factors that drive your best employees towards success. Once you identify these, you can replicate those factors across the organization and motivate others to succeed. This can help in reducing employee turnover.
One way to achieve this is by taking employee engagement surveys. Take the feedback seriously and identify where you can make necessary changes. Implementing the right tools and practices will lower turnover rate, without losing money.
- Integrate Hiring into Business Forecasting
It is common for businesses to expand, forecast goals and prepare strategies to meet those goals. However, many companies do not consider the number of new hires they would require to fulfil the expansion goals.
For instance, if you are looking to acquire new clients by next year, you would need more people in your team. By integrating the hiring process into the business forecasting and redefining your recruitment strategies, you can hire the right people at the right time to handle the growth.
If you don’t have enough employees to handle the new clients, there can be negative repercussion such as unhappy clients.
- Hire the Right Person
Don’t rush when it comes to hiring. It does seem like a good idea to hire quickly, train and put them to work.
But, if the new hire isn’t the best fit for the team, you would end up losing money in the long run. If they aren’t the right fit, you would have to relieve them and begin the hiring process all over again.
Identify the skills you need in the new hires. Consider the behaviors of the current successful employees. Both these factors will guide you in finding the right hires.
Use online survey tools and background checks to ensure you hire the best talent.
- Give them Flexibility
One game changer that can assure high employee satisfaction is giving them the flexibility to work.
Give them flexible working hours. If your employees can choose their working hours and location, they can have a better work-life balance. Employees with flexible working hours will be more satisfied, engaged and productive at work.
You can use online tools to understand why employees are leaving or what is making them unhappy. A pulse survey can help you identify such factors and ensure that you can take immediate action. Once you know why the attrition is high, you can put effective measures in place and reduce the employee turnover rate.
Last modified: May 21, 2019