More and more large and small companies are recognizing the importance of employee retention and low turnover rates. They understand that employee satisfaction reflects on the health of their organization. Further, by keeping workers in the company over a long period, businesses can save on the cost of recruitment, hiring, orientation, and training.
According to the results of a survey released in 2014 by the Conference Board, more than 50% of employees are dissatisfied by their jobs and would welcome the opportunity for other options. These results are a clear indication that companies need to focus better on how to retain the talent they have in a labor market where salary rates are evolving constantly. Ultimately, the workforce is the one dynamic resource that contributes to the success or failure of a business. And, companies need to keep this very important factor in mind always.
As a smart business owner, you’re probably on the lookout for the best strategies to raise employee satisfaction and retain the skills that you have so painstakingly hired. Great talent and skills are the best tools you can use to remain competitive in your industry. Here are a few tips you can use.
Have a clear view of the job specifications so you can hire the optimum skills set for the position. Define job expectations in detail when you post jobs and invite candidates to apply. Next, screen all prospective hires carefully before you invite them to work with you. In this way, you can ensure that only those employees that are suitable for the job are hired. Accordingly, they will perform to the best of their capabilities, have higher productivity levels, and enjoy the job they do.
The result – you have higher employee satisfaction and they are likely to remain longer with your company. If you do hire talent that does not match the post, either assign different roles in your company or eliminate it right away.
Remain in touch with the latest trends in the labor market and keep a close watch on the salaries being offered. Make sure to offer your workers raises and incentives in accordance with the going rates. If your employees can get competitive salaries working with your company, they are less likely to look for higher paying jobs elsewhere as their skill and experience levels improve. As chief economist of ADP Research Institute, Ahu Yildirmaz reports, “We saw significant acceleration in IT wages, as employers tried to retain them by paying them more. In general, the higher the skill level, the bigger the increase.”
This factor is true for all other industries as well. In addition to fair salaries, you might also want to offer other perks and packages like bonuses, percentages from sales, health insurance, and retirement benefits among others to raise employee satisfaction.
Employees prefer working for companies that allow them flexible working hours so they can keep up with their personal responsibilities and commitments. To maintain employee satisfaction levels, allow your staff to work from home and put in fewer hours in the office premises when needed. However, like most company owners, you’re probably concerned about data breaches and leaks in the information your clients and business partners share with you.
To avoid such instances that can cost your organization significant losses, consider investing in and assigning the equipment they may need. And, if you’re concerned about the cost, you could purchase refurbished laptops, cellphones, tablets, and any other devices they may need. Have your IT team protect each device with the optimum security measures to prevent data breaches.
Workers perform better and will go the extra mile to produce the best of results when they know that their achievements are likely to get acknowledged and appreciated. Reward each accomplishment with tangible and cash rewards, raises, promotions, and other tokens. You’ll set precedents that other employees will want to match. In this way, you promote employee satisfaction and encourage the continued success of your company.
Include your employees in your vision for the company, its objectives, and your plan for future growth and expansion. Give them the opportunity to understand their role in it and how they can contribute. Let them know that they are respected and what their future prospects in the business are likely to be. Like for instance, higher positions, better salaries, and a wider scope of responsibilities as the organization grows. All of these strategies can add to employee satisfaction and act as an incentive to stay with the company.
Feelings of stagnation and lack of opportunities for furthering their careers can raise turnover rates. To ensure this does not happen, you could sponsor training and development courses for deserving employees so they can advance their skills. Once they prove their mettle, offer them higher positions within your own company and soon, you’ll have a workforce that is growing and evolving along with your company.
In today’s times, every smart business owner is aware of the value of the people that work with him. Once you find capable talent, you must do the best you can to keep it within your company for a long while. Using these strategies, you should be able to raise employee satisfaction and lower turnover rates.