For any business to thrive, it needs to attract and retain the right talent. Those that provide opportunities for employees tend to be more prosperous, on the whole, than those that don’t. Developing a culture that’s focused on people is, therefore a worthwhile thing to do.
But what does such a culture look like, and how can it be built? Let’s take a look at a few key considerations.
The Importance of Employee Retention in the UK
High employee turnover imposes a number of costs on businesses, not all of them obvious and quantifiable. When an employee leaves, the business is forced to spend time and money recruiting and training a replacement. In some cases, it might be impossible to find a replacement of the same quality. Where employees are constantly leaving, the cost of recruitment becomes higher, and the morale in the workplace can suffer.
In the UK, around three in ten employees leave their current jobs in search of new ones, every year. The turnover rate is highest in hospitality and food (you might think of waiters and bar staff filling a role during their studies).
Creating a Positive Work Culture
So, how can employees be encouraged to stick with their jobs? The most obvious change might be the development of a positive work environment. Where employees feel that they have an opportunity to progress, that they’re contributing to a shared set of goals, and that they’re valued, they’ll tend to stick around. Conversely, where they feel marginalised and ignored, they’re likelier to seek other employment.
By developing a positive work culture, where values are explicitly and repeatedly communicated, training opportunities are plentiful, and everyone’s concerns are aired and taken seriously, you can limit the damage caused by high staff turnover.
Investing in Employee Development
One aspect of a positive workplace culture is especially important. Where employees can’t see a path forward in their workplace, high staff turnover is inevitable. Worse still, the more ambitious (and often more valuable) employees will leave first. Implement a people-first platform for HR, payroll and finance processes. Make sure that opportunities for development and progression are regularly discussed, and staff performance is monitored and reviewed closely. Where senior positions open up, seek to recruit from within where possible. This will not only lessen the cost of recruitment and onboarding, but also signal to the workforce that progression within the company is possible.
Embracing Flexibility and Work-Life Balance
In the modern era, employees not only seek flexible working hours, they often demand them. If you can make yourself a flexible employer, then you’ll put yourself at a major advantage in the job market. You’ll not only be able to recruit the best available employees – you’ll also be able to retain them!