5 Elements of a Comprehensive Employee Retention Strategy
Strong hiring trends are causing businesses to focus more on employee retention, according to the Society for Human Resource Management (SHRM). An employee retention strategy can also be integral to a company's talent management and human capital management strategies. When businesses begin to approach employee retention in a systematic way, it can be challenging to determine the best way to move forward. Here's a look at five elements you can implement to help build a comprehensive staff retention strategy at your company.
Better Recruiting From the Beginning
A winning retention strategy starts with your hiring process. While you should focus on hiring the most qualified individual for any position, companies with great retention records also prioritize a long-term fit during the interview process. What are the candidate's long-range career plans and is your company able to offer those opportunities? Is a candidate a good cultural fit with your business' objectives, priorities, and work style? Does the candidate have a stable track record, or does he or she tend to change jobs frequently? By looking for a strong fit from the beginning, companies may have more control over employee retention.
Training Your Managers to Foster Retention
Your managers may be one of the most important elements of your company's employee retention strategy. As the saying goes, workers don't leave companies; they leave managers. Helping your managers understand their role in employee retention can be an important step toward strengthening employee relationships. Ensure your managers understand why retention is a strategic priority. Focus on training managers in basic skills that foster productive relationships and a positive work environment. When leaders set a great tone, talent is more likely to stay.
Measure and Support Engagement
Employee engagement is another critical component of a long-term retention strategy. Employers can foster engagement in many ways, such as demonstrating that you value employees' work and ensuring that they understand and work toward the company's mission. Investing in team-building and strong relationships throughout the company may also be important for keeping your workforce connected and engaged.
Show Recognition in Multiple Ways
Recognizing the contributions of employees and showing that they're valued is possible in many ways: compensation, benefits, and bonuses may be the most traditional. Yet employee recognition programs that offer awards, VIP parking spaces, small gifts, and other public acknowledgements of a job well-done may also have a positive effect on employee retention.
Frame the Long-Term Career Trajectory
Employees are more likely to stay with companies where they know the possibility exists to grow their careers. Help candidates understand where each position can lead. Take the time to find out what employees' goals are and discuss different strategies for achieving them, from allowing them to take on more responsibility to helping defray the cost of their education.
Employee retention is an important part of a successful human capital management strategy. By focusing on elements such as growth opportunities, hiring the right staff, training your managers, and investing in employee engagement, companies can see employee retention rates rise even in today's tight labor market.