Credible surveys have shown that 82% of employees working for large companies update their resume at least once every six months. Moreover, a whopping 59% are looking for a job “all the time.” There is also no denying that high employee turnover costs large businesses in time and productivity much more than their smaller counterparts, at least in the long run. Thus it is inevitable for large companies to develop and adopt effective staff retention strategies. Here are some win-win strategies which are so effective that they will practically guarantee staff retention.
Some Win-Win Staff Retention Strategies
Leadership Academies and Leadership Development Programs
Leadership Academies and internal Leadership Development Programs play a vital role in boosting staff retention rates. Will Sutton, Executive Vice-President of BB&T says his company has observed that the average retention rate for employees who come through the company’s Leadership Development Program is 45% higher than the average retention rate for new employees who do not come through the program. “We studied retention levels over a five year period and found that -- for graduates of the Leadership Development Program -- the rate was 76%,” says Will Sutton. He agrees that such programs are a big up-front investment in new employees, but he believes that such an investment is worth it when compared to the cost of high employee turnover. “Pay now,” Sutton says, “or pay later.”
Regular Mentoring Programs
Companies that regularly undertake mentoring programs usually experience low employee turnover rates and are generally successful in retention of employees. Mentoring programs not only provide personal and professional development opportunities to employees, but also increases their productivity and efficiency. Such programs enable mentees to gain self-confidence by achieving the goals set for them. On the other hand, these programs give mentors the opportunity to further polish their communication skills and leadership abilities.
Mentoring programs may seem like an unnecessary business expense and a somewhat unproductive investment in employees. But successful mentoring programs can mean the difference between success and failure of a company’s staff retention efforts.
Internal Recognition Programs
Internal Recognition programs are an important strategy when it comes to retention of employees. Paul Hebert, Managing Director of Incentive Design Consultancy I2I, believes that internal recognition is a great tactic for boosting employee engagement. “The best recognition programs aren’t really ‘programs’ at all,” says Herbert. “There’s no start or end date, only the act of saying to someone -- in front of other people -- ‘you did good.”
Almost all large businesses offer lucrative fringe benefits packages like life insurance, health insurance, retirement plan, new office furniture, use of company car and extra vacation time to their employees. Providing small perks to employees may seem insignificant when a company is already offering benefits packages like the ones mentioned above. But small perks like dry-cleaning pickup and delivery, In house yoga classes, Work from Home Day, Movie Days, “Bring your Dog to Work” Day, health club discounts, free seminars, Game Days, Pizza Fridays, Family Days, free bagels on Fridays, etc., can really help in boosting employee loyalty, which in turn aids retention of employees.
Employee Retention Services
An important strategy for retention of employees is to hire a competent employee retention service. Employee retention services develop employee retention plans that significantly reduce employee turnover rates. The employee retention plans developed by such services have been known to reduce employee turnover by as much as 67%. Such services help businesses recruit and retain high-performing employees.
Employee retention services follow a quantifiable and scientific approach to employee retention and apply systematic approaches to reduce employee turnover. The employee retention programs developed by such services pinpoint the various cracks and flaws in the employee-company relationship and help businesses fix and correct them. Correction of such flaws by a company greatly helps in retention of employees.
Regular Revision of Compensation Levels
Sometimes large businesses neglect regular revision of employee compensation levels and pay for it in the terms of high employee turnover. It is necessary that large businesses evaluate their employee compensation plans against prevailing market rates and make necessary adjustments. Such adjustments to compensation levels are an important strategy for retention of employees—especially those in key positions.
If correctly applied, the abovementioned strategies can greatly help large businesses in making employees stick around.