5 tips to supercharge employee retention

Retaining great employees is essential for the success and sustainability of any business. According to a survey by the Society for Human Resource Management, the average cost to replace an employee is about one-third of their annual salary. This means that retaining top talent not only benefits the company culture and productivity, but it can also save a significant amount of money in the long run.

Often times, companies mistake perks for culture. They assume that providing a refrigerator full of snacks or putting a ping-pong table in the break room is an adequate replacement for real, human support. While fun perks like those aren't bad ideas, it is important to acknowledge the deeper, more human aspects to building a culture that retains its best employees 

Here are a few tips:

Providing fair and competitive compensation and benefits is a key factor in employee retention. This includes not only salary, but also things like health insurance, retirement plans, and paid time off. Conducting regular salary reviews and market analysis can help ensure that your company is offering competitive pay and benefits.

A positive work culture can go a long way in retaining top talent. This includes things like providing a supportive and inclusive environment, recognizing and rewarding hard work, and promoting work-life balance. Encouraging open communication and providing opportunities for professional development can also contribute to a positive work culture.

Employees who feel like they are learning and growing within their roles are more likely to stay with a company. Providing opportunities for advancement and professional development, such as training programs or leadership development, can help employees see a clear career path within the company. Additionally, it’s important to regularly check in with employees and ask for their feedback on what they need and value in their roles. This can help identify areas for improvement and ensure that employees feel heard and supported.

Recognizing and showing appreciation for the hard work and contributions of employees can go a long way in retaining top talent. This can be through small gestures, such as a handwritten note or a gift card, or through more formal recognition programs like employee of the month.

5. Foster a sense of belonging and community

Feeling like a valued member of a team and having a sense of belonging within the company can be a strong motivator for employees. Encouraging team building activities and fostering a sense of community within the workplace can help employees feel connected and engaged.

According to a survey by the National Employment Retention and Advancement (NERA) Research Group, companies with high retention rates outperform their peers by up to 202%. Investing in employee retention can not only benefit the company culture and productivity, but it can also have a significant impact on the bottom line.

But many HR professionals in organizations are so bogged down my the administrative duties that accompany tasks like payroll, compliance, and benefits that they have very little time to focus on the systems and processes around employee retention.

Many of the companies that partner with Axios HR for administrative support for their HR department report a higher emphasis from their internal HR staff on high-value retention responsibilities, leading to reduced cost of turnover.

If you're interested to find out how Axios HR can free up your HR department to focus on retaining your company's best people, give us a call at 844.44.AXIOS.

References:

Society for Human Resource Management. (n.d.). The cost of losing an employee. Retrieved from https://www.shrm.org/resourcesandtools/tools-and-samples/hr-qa/pages/thecostoflosinganemployee.aspx

National Employment Retention and Advancement (NERA) Research Group. (n.d.). The impact of employee retention on a company’s bottom line. Retrieved from https://neraresearch.com/the-impact-of-employee-retention-on-a-companys-bottom-line/