It’s expensive to lose an employee, even at entry-level, and the higher up the food chain you go, the more that number increases.
According to the Center for American Progress, it costs a company around one-fifth to 2x of a worker’s annual salary to replace them. This includes marketing the open position, interviewing, lost productivity as the new hire gains the momentum of the more experienced worker, and training costs, among other factors. When an employee leaves a company voluntarily, it also disrupts workflow which can result in employee error and low morale.
If your company’s turnover rate is out of control, it’s vital you find ways to slow the mass-exodus. The first question to ask yourself is why.
Why Are My Employees Leaving?
Employees change companies for a number of reasons, and management is a biggie, according to Forbes. Managers who are difficult to get along with, who don’t command respect, or who are simply unlikable will send employees running regardless of how great other job benefits are.
Chaos is another factor in why good people leave decent jobs. If your company is always in the midst of upheaval, crisis, and change, it can create an environment too stressful to keep people hanging on.
Lack of upper-management support and pitting employees against one another to produce better results are two other factors that could be hurting your turnover rate. A little competition is healthy. Too much just sends people packing.
How Do I Stop Attrition?
A little accommodation goes a long way toward stemming the flow of quality workers from bleeding out your doors. As long as your hiring practices are in order and you’re certain you’re putting the right people in the right positions, keeping them there shouldn’t be that difficult. Entrepreneur.com has identified four perks that mean the most when it comes to keeping workers happy:
Opportunity to grow, learn, and advance to higher positions
Fair treatment at all job levels
A work environment that’s conducive to team-building
If you can provide your employees with promises like these, and wrap them up in competitive pay and benefits, you’ll create a positive work environment that employees will be reluctant to leave.