Tips to Reduce Employee Turnover Rate
Employee turnover is one of the bad experiences every business experiences on an occasional basis. Employees come and go- they must leave and this affects the flow of your business. It takes a lot of time and money to train and replace talent and that is the reason businesses must do everything possible to minimize turnover rates. If you have a high turnover rate, you must ensure you can bring those rates down.
There are free and inexpensive methods you can use to convince your employees to stay and thus reduce turnover rates. Let’s have a look at these methods.
Hire the right people
Keeping employees starts by ensuring you hire the right people. You need to hire employees who are fit and have the right skills to ensure they can match your positions. Additionally, ensure the talent you bring to a team can fit well with your company culture. You need to hire employees who have the right behavior and culture to fit with the job at hand. Ensure you give your new hires a good orientation about workplace culture and how to conduct themselves.
Offer competitive packages
People are attracted and motivated by good compensation. They need to have a package that helps them meet basic needs such as utilities, housing and food. They will need to be compensated in such a way to have extras to meet their other obligations. If you are not ready to pay your employees well, they will find a business that pays them well. Research your market and settle on a good compensation package that takes care of the needs of your employees.
Your employees will be motivated by sincere encouragement and recognition. When employees do something good, ensure you recognize and give them praise. When they finish a difficult project even before a deadline, recognize the act and congratulate them for their hard work. You don’t have to shower your employees with praise every time they get to a milestone, but ensure you form a habit or recognizing extra ordinary performance and giving praise.
Set a career path
No employee wants to get stuck on the same position and pay scale year in year out. If they dont see any motivation for a clear career path, they will start searching for another job in advance. Ensure you have a plan in place to enable your employees increase their skills and knowledge, and climb a corporate ladder. When you show your employees a projected career path, it will help in giving them a sense of purpose and direction.
Work life balance
You should allow your employees to have a flexible work schedule. Flexible working schedule means they can adjust their work time and location. They need to have a work life balance that gives them peace of mind at work, and time to care for their families. They need to pursue other things beyond work, including having a social life.
There will be employees who will always want to leave your business. If that is the case, ensure you have an exit strategy in place and plan adequately on how to bring replacements.