Employee turnover is a major issue that most companies have to deal with on a regular basis. Even some of the best companies out there, with incredible benefits and a top culture, still have to deal with employee turnover. It costs a pretty penny for companies to continually replace employees, which is why your company needs to know why employees are leaving and what can be changed in order to keep them at your company.
Common Reasons Why Employees are Leaving
In order to begin repairing your company’s turnover rate, you must identify the reasons why employees continue to leave for greener pastures. Some common reasons why employees leave companies regularly can include:
- Failing workplace culture
- Inadequate pay and benefits
- Poor candidate fit for jobs or tasks
- Lack of communication from management
These are just a few of the reasons why top employees leave companies. However, they can be prevented and the workplace can be improved to hang on to your best people.
How to Improve Employee Retention
Now that you know why your employees are leaving, you must find ways to increase employee retention at your company. One of the most telling reasons why employees leave is that your company has a poor culture. This must be fixed as soon as possible to avoid any future employee turnover.
Culture is important because it makes people feel welcome and safe when at the office. When new hires cannot get along with co-workers or management, it could be due to the culture. Employees want to be able to share ideas with management, openly express any issue they have with co-workers or management and feel part of the company’s success when goals are met. Improve your company culture first and see how quickly the turnover rate drops.
Offer Stronger Compensation
A second way to improve your company’s turnover rate is to offer stronger benefits and salary. The 2015 PayScale Compensation Best Practices Report showed that the number one reason employees leave is because they believe they are not being offered enough compensation. Offering poor benefits will only cause employees to look for work elsewhere or for them not to put as much effort in their daily duties. Do a little research into what other companies comparable to yours offer their employees for benefits and consider offering such a package to your employees.
Fix Communication Issues
Management at your company should be excellent communicators. When management knows how to properly communicate with employees; issues are solved quickly, questions are answered appropriately and employees feel they are being treated with respect. A lack of communication can cause indecisiveness for employees and even lead to them thinking they are not an important part of the organization.
Employee turnover is a fixable problem at almost every company. But, if you let the rate get out of control, it could be too late. Fix any and all issues immediately to reduce the number of employees who move on to bigger and better things.
