Here’s a sobering statistic: the voluntary turnover rate was 11.6%. in the US last year. That may not sound like a lot, but it’s startling when you really think about it - on average, almost 12 out of 100 employees quit their jobs. This costs companies millions per year, not to mention the additional costs of onboarding and training new hires to replace the ones that left. But what’s causing employees to jump ship? Here are some of the culprits.
I’m planted at my desk, I want to grow!
Good employees want to excel in their job, and they want the tools to do that. Succession training, off-site workshops, and continuing education are ways to give employees the means to advance their career. If you don’t provide these opportunities, someone will. In fact, 40% of employees who receive poor job training leave their positions within the first year. Investing in your employees helps attract and retain the type of motivated people who will drive your company forward.
Mission statement? We have a mission statement?
Today’s workers want to feel like they are part of something big. If your organization doesn’t paint the big picture for employees, you will most likely lose some of your top talent. According to Fast Company, the best employees “…want to create shared value, make positive social and environmental changes, and increase opportunities for disadvantaged populations.” By helping your employees see that their jobs directly relate to the company’s mission statement, you will ensure they stay engaged and motivated. Gallup sums it up perfectly: “The best workplaces give their employees a sense of purpose, help them feel they belong, and enable them to make a difference.”
Hi, and you are?
82% of employees who resigned said it was due to a lack of recognition. Surprisingly, monetary rewards were near the botton of the list in terms of job recognition. Praise for hard work in front of their peers is one of the most effective forms of recognition. Handwritten thank you notes, vacation days, and even concert tickets https://www.americanexpress.com/us/small-business/openforum/articles/51-ways-to-reward-employees-without-money-1/ are excellent ways to demonstrate that you notice and appreciate an employee’s efforts.
Reducing employee turnover is vital because the total cost of losing just one employee can be 1.5 to 2 times their annual pay. Understanding root causes is just the first step. The next step is working to build a company culture that attracts and retains the best talent.