In a new study by Future Workplace and Kronos, business leaders continue to express the importance of employee retention. With low unemployment rates and high marketplace activity, the hiring landscape is competitive, to say the least.
The study suggests that 87% of employers said that improving retention is a critical priority for their organization.
This places pressure on managers, human resource professionals and business leaders.
Who owns employee retention?
Perhaps employee engagement rates have stayed stagnant since 2000 because employee retention hasn’t always fit squarely underneath one job description.
Executives often turn to the HR department when turnover is high. The HR team finds blame with management who have day-to-day contact with employees. The responsibility can then circle back to executives who are blamed for not spending enough money on training or providing enough perks to keep employees happy.
Collectively, all three positions have the greatest impact on pleasing their workforce. So ending the cycle of finger pointing is important.
As employee retention continues to be an issue in 2018, what can business leaders do to raise retention rates and overall employee engagement?
Implementing new job titles to focus on employee retention
To remedy this issue of who owns employee retention, many large organizations are creating news role, entirely.
The titles “director of employee experience” and “retention specialist” began popping up in 2017 and the job availability continues to rise.
The job descriptions for these two positions vary, but the end results are similar. The positions play a critical part in developing leadership programs and professional development options to help usher employees to heightened levels of their career.
Apart from demanding more training for managers, these roles also create resources that focus on recognition and incentives for employees who reach certain milestones.
Not there yet?
Some organizations may not be at the point where they can justify a new position to ward off turnover. In that case, here are some actionable steps to maintain employee happiness and engagement.
Show employee recognition
Part of the job of a retention specialist is to provide outlets for ample employee recognition. Offering employees feedback doesn’t require a specialized role though.
And incentives and rewards make a huge difference in your employee’s experience.
Gordon Tredgold, founder and CEO of Leadership Principles, uses Gallup data to conclude recognition can be a make-it or break-it with your employee’s longevity at your company, “Two-thirds of employees, who said they hadn’t received any recognition in the last seven days, were twice as likely to say they would leave the company as the other workers when asked.”
According to Aon Hewitt and O.C. Tanner, 38% of millennials would like to see the recognition program at their current employer improved.
Learning to combine engagement and retention
Human Resources Today CEO, David Hassell, believes that, “The interplay of building organizational culture, fostering high employee engagement, and focusing on performance management (namely vision, strategy, objectives, alignment and execution) is, in essence, an ecosystem that must be focused on as a whole in order to ultimately achieve high employee performance.”
By understanding that culture plays a large part of a healthy workplace ecosystem, and taking steps to improve the culture, you can help diminish your turnover rates.
According to Gallup, companies with engaged workers show dramatically higher job retention rates and lower absenteeism, 17% higher productivity, and 21% greater profitability.
Show universal respect
It’s common to spend the same amount of time, if not more, in the office than at home. Having a job that pays the bills and feels secure isn’t enough for happiness. Employees want to feel the next rung of Maslow’s hierarchy -- love and respect in the workplace.
A 2016, SHRM report based on responses from 600 employees highlighted Respect as a huge priority in the workplace. 67% indicated that respectful treatment is important, and yet only 31% were very satisfied with how employees are treated at their workplace.
It’s striking to note that employees aren’t looking for individual respect alone. Employees expect workplace equality for respect and recognition, regardless of another employee’s rank. In other words, universal respect is increasingly important.
DailyPay as a comprehensive solution
Many companies come to DailyPay when they are looking for a benefit that is easy to integrate into their current business model, cost-effective -- and most importantly -- addresses employee concerns.
By giving your employees the control to access their earned but unpaid wages as often as they’d like, DailyPay provides both recognition for your employees as well as universal respect.
Employees can feel the instant gratification -- they put in the hours for you, and you are rewarding them by allowing them to access their wages instantly. DailyPay integrates with any payroll system that currently uses direct deposit which makes it easy to unroll, universally.
The results speak for themselves. 73% of DailyPay users say they are more motivated to come to work, or more engaged, which leads to companies experiencing a 41% reduction in turnover.