Few things are as costly or disruptive as the unexpected departure of good employees. As reported by the Society for Human Resource Management, the cost of losing good talent is 50 to 60 percent of a person’s annual salary. Beyond the financial repercussions is the incalculable damage to morale, productivity and your employer brand.
Here are some common reasons top talent jumps ship – and what you can do to prevent it:
As noted by the Harvard Business Review, employees who fit well with their company have greater job satisfaction, show better performance and are more likely to remain with their employers.
- Evaluate culture throughout your hiring process. Assess candidates’ work ethic and style. For instance, hone in on whether they are more comfortable with a hierarchal or a flat structure.
In a recent survey of more than 2,100 hiring managers, 55 percent said they had hired career hoppers – candidates who joined their companies, cost them expensive onboarding and training, and then took their skills elsewhere.
- Ask plenty of questions and probe deeply till you’re satisfied with why a candidate has changed jobs in the past. Read between the lines. Be suspicious of responses that suggest an individual takes jobs just to hold a title and bide their time.
Insufficient Growth or Development Opportunities
Research by Forbes shows that more than 60 percent of employees do not feel their career goals are aligned with the plans their employers have for them. No matter how talented a person is, there is always room for more growth. Satisfy this need – or your best performers will leave you for someone who will.
Work/life balance is a priority. It always has been, but today’s talent is not afraid to say so. When it’s easier for employees to deal with pressures on the home front, they are likely to be more productive on the job – and less inclined to jump ship, even if a competitor offers them more money. Options include flextime, compressed work weeks, job sharing, telecommuting and permanent part-time arrangements.
Give people a voice by maintaining ongoing, two-way communication. Actively listen to all your employees – and implement their ideas if possible. Communication as a retention tool is one of the best tactics you can employ.
Lack of Challenge
The best employees are lifelong learners who become bored if they’re not continuously challenged. Engage the creativity of your best performers. They are wired to continuously improve, enhance and add value. They need to contribute. Don’t place them in boxes. Instead, let them run with their unique insights and ideas.
Some people come to work for a paycheck, but this is less and less the case, especially among today’s new generation of employees. If you fail to care about people at a human level, they will eventually leave you.
- The best leaders don’t take credit, they give it. Failure to recognize the contributions of others is not only disingenuous, it’s also as good as asking them to leave.
Failure to Unleash Passion
Hire for passion – and loyalty will naturally follow. Look below the surface and find out what it is that makes a job candidate tick. Determine whether they can bring their unique passion to the role and to your company.
A specialized search firm can be an invaluable asset as you hire and retain top talent. For additional tips, resources and guidance, partner with the team at Select Group, Inc. Call us today to learn more about our specialized search services.