1. It’s Not Just About the Money
To start, recognize that money, by itself, will not do it. High performing employees are searching for something more than just a high salary. The typical employee compensation plan should include a total package of rewards, recognition and environment. Some of the elements are in place to satisfy that allow a firm to keep their employees such as benefits, flex-time and training. Other elements of compensation are for motivating such as bonuses, incentives, challenge and opportunity. A well-designed plan will have a mix of both types of compensation components.
2. Manager Training
Have you ever worked for a bad boss? One of the main reasons new employees quit is because of the relationship with their direct supervisor. The fact is many supervisors and managers are unaware how their actions and decisions affect employee turnover. A critical aspect of an effective retention strategy is manager training. Properly trained managers play a major role in an effective recruitment and retention strategy. Managers need the skills, tools, and knowledge to help them understand their employees’ retention needs and be able to implement a retention plan designed to increase employee engagement in the organization.
3. We All Love An Award
Non-cash recognition awards are very effective in reinforcing the company’s values while also connecting co-workers. They can be a low-cost, high-impact element of the compensation package. For example, employees who provide outstanding or innovative customer service receive become eligible for certain awards. Another way is for employees to be nominated by customers or their peers. Through having employees and management recognize good work, employees will continue to value their jobs.
4. Flexibility is Key
Today’s workforce is looking for flexibility on the job and balance within their life. Management needs to acknowledge this and evaluate ways to realistically provide this flexibility in work. Tradition has it that the employees work in an office with established work hours Monday through Friday. Can your company allow for variations, such as 4-day workweeks, working at home two days a week or job sharing? Flexible work hours are becoming a steadily rising tool to attract and retain good employees.
5. Creativity and Autonomy
Regardless of the job and its related duties, new talent has to be sold on the fact that there will be creative thinking involved. This allows them to feel connected and enjoy their work. Studies show that 50% of today’s workforce is not engaged at work. This means they are simply “showing up.” That also means that a good portion are actually dissatisfied. It’s up to the leaders to provide opportunities for creativity. If you can get that right, everyone wins.
A good principle to follow is that if you want amazing results, you need to be prepared to put resources towards an amazing culture. Great companies find the time and resources to make all of these components happen. Not investing in this will deter potential new hires and send your existing talent to your competitors. Carving out the time and budget for professional development within your business will pay dividends in the end.