I still remember how surprised my coworker and I were to discover that we were both leaving the company within days of each other — and without ever having talked about it!
Years later, I’ve met many friends who have been on both sides of employee turnover waves. I’ve learned they’re always challenging for teams, their leaders, and the company as a whole– and costly.
The high cost of employee turnover
Have you ever considered the actual cost of replacing a key employee? The time it takes to first find a replacement and then onboard your new hire can cost your company tens of thousands of dollars. The loss of productivity, finances and time are a massive hit to any company, but these effects are multiplied if you have a wave of turnovers. Can you afford this level of financial stress to your organization?
Knowledge is power, so understanding why these departures are happening is the first step in a process to reduce or eliminate them from occurring in the first place.
This article will examine 4 key reasons your top people leave and what you can do to prevent it.
1. Management Style & Managers
Not all employees respond to the same management style. For example, a manager who is very hand’s on (micromanaging), won’t work well with an employee who is used to having more autonomy. Everything from lack of leadership to behavioural issues can negatively impact the work environment. Having a good understanding of what your mangers are doing can help avoid an exodus of unhappy, yet otherwise productive employees.
2. Corporate Culture
It’s been noted how critical a good corporate culture is to employee retention. Younger demographics (like Millennials) often prioritize a corporate culture they can believe in and get excited about, over higher pay and robust benefits. Developing the right kind of culture starts with your corporate mission statement and permeates throughout the organization. Employees want this in their lives, so make sure you deliver from day one and give your employees a culture they can believe in.
3. Meaningful Work
Let’s face it – not every job at your company has the same value with respect to outputs, but everyone who works for you is part of the same organization. This means that everyone is contributing to the success of the company in some way, although some positions will have less visibility. You do not want those people in your company to feel like they are undervalued or less important. Recognizing the work that each person/department is doing and how it makes a difference to the organization can go a long way in making people feel appreciated. Offering opportunities to add value to the organization can also help to show employees they are respected, in addition to building retention. After all, why would an employee seek work elsewhere if they know you are willing to train them and show interest in their professional development.
4. Work Related Stress
You can’t be expected to solve all the problems your employees might be facing in their personal lives, but you can certainly mitigate and eliminate stressors in the workplace. Conflict with managers, heavy workloads, excess overtime, peer pressure, and even harassment can all add up to a very unhealthy, stressful work environment. Your goal should be to identify these issues and defuse or eliminate them, so that your employees feel supported as they strive to achieve a positive work-life balance.
These 4 key reasons are just a few reasons why your top employees might be seeking out greener pastures. Please check out our other articles for more information about employee retention and creating a positive workspace for your employees.
