As an employer, it is difficult to see your best employees leave you. Employee turnover is costly, and limits productivity, which drastically effects your bottom line. By retaining your key employees, you save your company money, and keep your rock stars performing to their best ability. But why is it that your best employees quit? Understanding the reasons why can help you keep your employees at your company, and keep your profits up. With our expertise, we have helped many different clients better understand the causes of employee turnover. If you need help reducing turnover rates, please contact us for strategies to address this issue.
We have found there are three primary reasons key employees leave to find other employment:
1. They lack motivation for the work they do. Maybe they're not feeling challenged in their current role, or they believe their skills are under-utilized.
2. They don't feel recognized for the work they do. Results-driven employees often need to be recognized by management, as well as their peers. And, it's not always about monetary rewards. Both public and private recognition for a job well done goes a long way. Help the employee feel recognized by asking for their input on company decisions.
3. They don't feel sufficiently rewarded for the work they do. Rewarding a good employee with advancement opportunities, increased responsibility, a productivity-related bonus, or increased base compensation can all have positive effects and reduce turnover rates.
"According to the US Department of Labor and Statistics, turnover can cost an organization 33% of an employee’s total compensation including both salary and benefits. But the impact is not only financial it also affects employee morale. Therefore, it would be prudent for hiring managers to focus on reducing turnover rates but in order to do that they must first understand the reasons why employees quit.
There have been many studies and articles written on why good employees leave their current positions. As a veteran search consultant, I have heard an infinite number of reasons first hand. Over the years, I have identified and compiled a list of what I feel are the “Top Ten” reasons why good employees quit." Continue reading this article on the Direct Recruiters website.
We want to see all of your best employees stay at your business. If you have any questions about how to keep your productivity and profitability high by retaining your rock stars, we can help.