Employee Retention Strategies

Losing a great employee is something that all businesses dread. Not only will replacing them be an expensive process, but if they’ve revolutionised their role and the way your company does things, they’ll leave a significant hole behind. There’s also the worry that their resignation will give the rest of your team itchy feet and wandering eyes.

So how do you reduce employee turnover? You can’t wait until the exit interview to find out what went wrong. You need to put retention strategies in place early on to motivate your staff, ensure they feel appreciated and supported, and make them really care about the job they do and the company they work for.

Employees want to be part of something great, so we’re sharing our best staff retention strategies to make them want to stick around.

Salary and benefits

Money is the most obvious method of keeping employees in your business, with a survey conducted by the Institute of Directors revealing that 51% of UK workers quit their job because of their salary. Due to the competitive nature of many industries, it’s always likely that a business similar to yours is offering a better salary for the same job.

That’s why it's important to keep an eye on industry trends and what your competitors are doing, and to raise employee salaries accordingly if you want to give them an incentive to stay. Alternatively, you could offer your people better benefits, such as more paid leave, a bonus or a gift such as vouchers to show that you’ve recognised their hard work.

However, it’s also a good idea to explore other retention strategies before diving straight in with monetary incentives, as this method can be financially draining on your business.

Hire the right people

To be as effective as possible, your staff retention strategies should start right at the beginning of the employee life cycle, at the recruitment process. Finding the right fit for a position takes time and effort, but it's the most valuable way of ensuring business success.

It’s essential to be honest with potential candidates about the role they’re applying for - if it’s a job that will be stressful at times or that may require long hours, tell them that. A candidate walking away at the interview stage will save you a lot more money than them walking away six months in when they can’t handle it anymore.

When you’ve chosen your new hire, make sure they receive a comprehensive onboarding and training programme to prepare them fully for success in their role, so they don’t feel left to deal with it themselves. Assigning them a buddy to guide them through the first few weeks is also a good idea to make them feel welcome and part of the team.

Talk to your team

You’ll never know how happy your employees are if you don’t bother to ask. An open door policy is necessary to let staff know that you’re always willing to hear their feedback and do what you can to make their situation easier. Make an effort to chat with each employee regularly and find out how they’re doing, as not everyone will feel confident enough to approach someone with their problems.

Sending out anonymous surveys is also a good idea for those who are worried about complaining in person. The work doesn’t stop after you’ve had feedback, though - be sure to really listen and understand the problem, and work with staff to find a solution that suits everyone.

This may mean flexible schedules for those with young families, or training programmes for employees who are struggling with a particular project or process. Being willing to change things to keep your people happy will go a long way to making them want to stay.

Allow them to progress

According to the Work Institute's Employee Retention Report, career development is the number 1 reason why people leave their jobs, with lack of growth and development a close second. If your staff aren’t given any opportunities to evolve and improve, their role will quickly feel stagnant and they’ll start looking elsewhere for the chance to progress.

Encourage your employees to look out for seminars or online courses that will strengthen their skills, and pay for any expenses (within reason). Within your own business, build learning opportunities into the working day, and create a culture of staff autonomy where people can suggest new ways of doing things but can ask for help if they need it.

Make sure each employee knows their progression structure, and give them achievable steps to work towards on their upward journey. This commitment to helping staff pursue their long term goals will act as powerful motivation to continue their career within your company.

Heat’s hot tips for building a business your employees are proud of

1. Lead by example. Managers and business owners need to be focused, encouraging and willing to admit when they’re wrong. They need to set clear policies and follow them to build trust in their employees and inspire confidence.
2. Help your local community. Showing an awareness of the wider impact your business has and a willingness to make the world a better place is a big draw for candidates. Donate to charities and encourage employee volunteering to ensure your influence is a positive one.
3. Be vocal about what counts. Staying quiet on important issues may be the safe bet, but in 2020 and beyond it might not earn you respect from potential employees. Whether it’s environmental issues or gender equality, your business has a voice - so use it.
4. Create a great team culture. Companies where staff feel like allies, not competitors, will go the furthest. Encourage people to work together to solve problems, and organise team building activities and out-of-office events to strengthen relationships.
5. Promote wellbeing. Making mental and physical health a priority within your organisation is essential to employee happiness. Ensure they feel supported and looked after by implementing training, encouraging a good work/life balance and starting conversations.

If you are struggling with retaining your top talent, or you need to find candidates to replace staff who have left, then please get in touch with our team.