Amid a surge in hiring, it’s clear that professionals have the advantage when job searching. In this job market where job seekers are highly coveted and employers are struggling to close the skills gap, today’s talent knows they have plenty of options if they are not happy in their current role. As a result, employees are quitting their jobs in record numbers. According to the BLS, the American Workforce has hit the highest quit rate the economy has seen in over ten years.
Armed with this knowledge, employers can no longer be complacent when it comes to retention. If the company culture is not in tune with employees’ needs, companies risk losing their top performers in masse. Not only is this not good for the company’s bottom line, but having a reputation as a revolving door can also hinder your ability to attract future talent.
From hiring practices to workplace communication, here are 5 ways to reduce turnover:
Step 1: Hire for potential
Focus on cultural fit and transferable skills, rather than experience, when hiring. Professionals who are passionate about your mission and serious about making the transition will work hard to learn the technical skills required of them for success in the role. However, you can’t teach them the inherent soft skills that would make them a long-term fit with the organization.
Step 2: Stay up-to-date on the latest industry + tech trends
With professional development top of mind, the most talented professionals always make the effort to keep their skills up-to-date with the latest industry trends. In this digital age, this also involves utilizing the latest technology, ranging from computer infrastructure to industry-specific tools. If a top performer feels that outdated practices or technology put their professional marketability at risk, they’ll start exploring opportunities that offer new growth potential.
Step 3: Implement succession planning
Succession planning is not only a great solution for companies that want to reduce turnover, it’s also a fantastic way to close the skills gaps across various industries. For example, continuous training, leadership development programs, and employee mentorship are three initiatives that can help recognize and nurture younger talent. Creating an environment that gives employees a clear path to leadership positions is also a great way to motivate them to work harder and stay with the organization for the long haul.
Step 4: Be flexible
In today’s world, technology enables many professionals to make less compromises when it comes to their health, wellness, and personal relationships. As a result, being as flexible as possible in scheduling, vacation time, and other aspects that play into an employee’s work-life balance can help raise employee satisfaction and reduce turnover.
Step 5: Acknowledge hard work
As you’re considering the changes you’ll make to reduce turnover, reflect on whether you think your employees know how much they are appreciated. If an employee doesn’t feel as if you acknowledge their contributions toward the company goals, they will be quick to find a company that does. Regular feedback, transparency, and a simple ‘thank you’ are a few smart tactics for recognizing hard work and acknowledging an employee’s impact on the organization.