High employee turnover can be damaging to a business… As a result of losing talent, it will cost lots of money to replace staff. This is because resources will need to be invested into hiring, training and ensuring employees are brought up to speed. Not only can high employee turnover be expensive but it can also negatively affect business performance. Furthermore, it can cause a deterioration of work quality, damage a company’s image, and have consequences on team dynamics. Therefore, it’s important to tackle employee turnover head on.
Did you know that?
- Each member of staff that leaves costs an employer £30,614 to replace.
- It estimates that it takes an average of 28 weeks for a new member of staff to get up to speed at a cost in wages of £25,182.
- One in seven (15.5%) UK employees resigned from their job in 2016.
- One in ten (10%) UK new starters resigned before completing a year’s service.
- The overall cost to employers of replacing staff in the UK is £4.1bn a year.
How to tackle it?
Monitoring employee turnover is essential for all businesses. Because it will allow companies to respond to high turnover levels when it becomes damaging to the company. Ultimately, provide a plan on how to proceed with a minimal effect on the workplace.
Provide management training
Poor people management can be a major cause in employee turnover. Therefore, it is important to ensure your staff are equipped to deal with workplace issues. Management Training Days can help support managers in becoming competent, confident and compliant in dealing with stress and mental health issues in the workplace. Likewise, the programme can help managers to better understand the relationship between pressure and performance.
Offer competitive pay and benefits
Employees want to be well compensated and have a nice benefits package. Therefore, it’s important to place value on reviewing this on an annual basis to ensure it remains competitive within the industry. Putting into place a wellness strategy can help create a benefit package tailored to your organisation and to suit your employees needs.
Recognising and rewarding employees will make them feel valued and appreciated. Celebrate their successes, business wins and effort that they put into their work. Employee happiness can correlate to job satisfaction, less absenteeism, productivity, engagement and retention. Therefore, simple acts of kindness such as office treats or office massages can help demonstrate employee appreciation.
Make flexible working hours available
Enabling employees to balance their work life and home life will go a long way. Allowing flexible starting and ending times demonstrates that the personal lives of your workforce are just as important as their work. Flexible working hours can have a positive effect on retention as it provides employees with the time to better manage their personal lives alongside their job, thus reducing stress and increasing happiness.
Ensure opportunities for development and growth
Development and growth can have a significant impact on an employee’s decision to stay within a company. Offering training and development opportunities can help employees to feel nurtured and that growth is possible. Promoting from within and discussing all potential opportunities will create an honest workplace environment where progression and a career path is possible.