Employee Retention applies to the various policies and methods that let the employees stay in an organization for a longer period. Every Organisation invests a lot of time and money on a new employee to make corporate ready and bring him at an equal level with the existing employees.
Any company is completely at a loss when any employee leaves their job after they get completely trained. So Employee Retention plays a vital role in taking the company to the next level.
One of the greatest challenges facing the employers today finding and retaining good employees. Below are some valuable Employee Retention Strategies that will help you preserve good employees.
1) Offer Compensation that is attractive and competitive:
Fair compensation alone does not ensure employee loyalty. Salaries offered must be according to the industry standards and not below- market salaries. You can use Industry surveys and other data tools to stay up to date on the wage trends.
Collect the data from the exit interviews to document the reasons why they left so that you can use this data to increase the salaries of existing employees and do the needful.
Use Employee Satisfaction surveys to find out what benefits and compensation other than money will keep them motivated.
2) Benefits should be qualitative:
Benefits offered to the employees must be of high value when compared to your competitors.
A)You can offer Group Medical Insurance to the employees and give them regular medical checkups whenever needed.
B) Corporate Credit Cards and Discount Coupons
C) Cellular phone and Laptop
D) Interest-free loans to pursue higher education.
E) Performance-based quarterly incentives
F) Flexible time and Flexible salary benefits.
3) Train your Front Line Managers:
According to research, most people said that they left the company because of their bosses and not the companies. Make sure that the managers are not driving top performers away from the companies.
A) Improve your manager’s leadership, communication, and interpersonal skills through coaching, training, and feedback. Rate these skills in their evaluations and tie compensation to performance.
B) Create a safe environment and process for employees to meet their managers whenever they have concerns.
C) In Whirlpool Appliances, they have great leadership development programs. Managers who are selected as mentors go through a rigorous selection process. After the selection process, these managers are monitored closely to ensure that managers who consistently produce results remain in the program.
4) Roles and Responsibilities must be Crystal Clear:
A) Always make sure that your employees do know what tasks they are supposed to perform every day, every month and every year. They must also know what type of decisions they are allowed to make on their own and whom they are supposed to report.
B) Provide clear vision, consistent communication and encourage teamwork. Share the company vision/mission clearly and regularly. Communicate and listen to your employee concerns on a regular basis. Satisfied and happy employees tend to achieve amazing things.
5) Advancement and Progression Opportunities:
For improving employee loyalty towards the organization, it is important to implement a career ladder make employees aware what they are supposed to achieve for climbing the career ladder.
You can also go for instant performance rewards whenever needed so always think out of the box to come up with new ideas.
A) Assess the employee performance against the performance agreement and provide the employees to express their views and seek clarification on their performance.
B) Identify the potential of employee and develop them for future roles.
6) Offer Retention Bonus:
Employees are typically compensated with an annual pay rise every year for retaining them. Along with these awards, you can include seniority based rewards and build a high degree of recognition value to every reward you offer. You can link as many rewards as possible to performance.
Intel technologies have cash bonus plans and performance bonus plans for employees to keep them motivated.
7) Employee engagement practices:
The ability of the employee to speak freely within the company is another key factor in the employee retention. When employees come up with new ideas, you will not know which approach works out unless you implement. So always encourage new ideas from Employees.
8) Teamwork and cross functional Teams:
The success of any company depends on teamwork, but it takes a lot of time and effort to build effective teams that deliver the result.
A) Make sure that every understands department’s purpose and goals.
B) Always encourage discussion, participation and sharing of ideas.
C) Rotate leadership capacities depending on your employees abilities.
D) Involve employees in the decision-making process.
E) Inspire your team members to show appreciation to their co-workers.
9) Fun and recreation:
Celebrate success and recognize the milestones reached by arranging birthday parties, employee picnics, and creative contests.
Most Companies usually organize cultural programs once in a quarter where employees are given an opportunity to show their talents in singing, acting, dancing and sports programs such as cricket, football.
10) Transparency in Communication:
Employees are loyal to the company as long as they believe that management is keeping them informed about the important issues related to their jobs.
A) Communication is the first step towards keeping people think that you care about them so always keep your workers in the loop about what is happening in the company.
B) Every employee should be aware of the company issues.
11) Encourage Higher Learning:
Create new opportunities for your high performers to learn and grow. Encourage every employee to learn one new concept every week. In that way, you can create a workforce that is excited, motivated and committed.
A) Coach your employees and encourage them to try things in their way.
B) Allow few mistakes to happen during the learning process and encourage them to learn from the errors.
C) Employees feel grateful for constructive feedbacks because it shows that you are paying attention to their progress.
12) Develop effective Induction Program:
Implement an Induction and orientation program that at least three weeks long. During this period, new employees get used to the environment and new job duties. After this period, the real tasks are allocated, and the system is assigned to start the work.
A) Infosys has 23 days of Induction Program
B) Sona Group has One Month Induction Program
13) Never Threaten the employees Job Or Income:
Even if you know that a layoff is about to take place or an employee is not performing well never threaten the employees. It will make them nervous, and their performance will be down, and they become de-motivated.
A) Maintain a workplace that retains and promotes talent. Also, prove that your company encourages the development of Non-performers to perform better. This strategy will make them feel secure.
14) Workplace Environment:
No employee likes to work with old computers and other equipment that became old. Provide employees with highest quality supplies that keep them comfortable. Eg: Cheap computers, leaky pens, and slow internet connection may seem like a small thing, but they add to the overall stress levels.
15) Value your employees:
As an employer, you recognize the outstanding achievements of your employees promptly and publicly. In this way, you are adding value to your employees contributions and keeping them motivated to achieve bigger goals. Take time to meet new employees to learn about their talents, abilities, and skills.
These are some of the Employee Retention strategies that can be used to reduce attrition and keep employees happy. Any organization will grow only if their employees are valued and their performances are recognized.