When it comes to employee retention, salary alone won’t stop them leaving. Discover 5 retention strategies to keep your employees happy and satisfied at work.
They say that money makes the world go round, but when it comes to employee retention, a great salary alone won’t stop employees leaving. The recent Global HR Trends Study conducted by Mercer finds that salary is actually among the least-considered factors when it comes to accepting and staying in a role. That’s not to say that providing a competitive annual salary isn’t important – it definitely is - but there’s so much more you could and should be doing to reduce employee turnover.
So, even for companies with the ability to offer salaries over and above their competitors, it’s time to get creative and diversify what you offer to employees, in order to keep them engaged, loyal and satisfied in your business. Here are five employee retention strategies to help do just that.
Offer flexible working hours
The vast majority of employees highly value the ability to work flexible hours. Global surveys have found that, especially for younger workers, increased flexibility in working hours was a larger incentive for a job role than many other factors. However, many companies remain reluctant when it comes to introducing flexible working hours, and preferring their employees to be in the office from 9 to 5. Dolly Parton wasn’t a fan, and she’s not alone; Deloitte reports that a “lack of work flexibility” is the most likely reason a millennial will leave their job. We recommend collaborating with your employees to design and trial a work schedule that meets both your needs. Expect to see an impact on absenteeism rates, employee morale, and productivity if you offer greater flexibility in working hours.
Reduce the working week
In countries such as Berlin and New Zealand, a reduced working week has proven beneficial to employees in terms of productivity and stress reduction. Employers need to understand that time spent in the office does not necessarily equal productivity – the hidden cost of presenteeism (working while unwell), for example, can really impact a business, with some research suggesting that it could be costing the U.S. more than $150 billion a year. Evidence shows that with a four-day week, work quality remains the same, while work engagement improves, and stress decreases.
Encourage employees to work from home
A two-year Stanford study found that allowing staff to work from home brought significant rewards both for employees and business owners. Many employees found that they had fewer distractions and stress, resulting in a 13% productivity increase. Employee attrition was halved, and they took shorter breaks and fewer sick days. With the considerable expense of office space, technology becoming increasingly affordable, and software such as video conferencing more reliable than ever before, policies which do not allow employees to work from home at least some of the time become harder to justify - and you risk your employees looking elsewhere.
Implement reward and recognition
When your employees give you outstanding results, take the time to thank them and recognise their contribution. Some companies provide reward and recognition in the form of quarterly or annual bonuses, or years of service awards. Non-cash reward and recognition schemes, such as eCards to say thank you and well done, shout-outs, and additional days of leave, can also be hugely popular and provide a meaningful way to recognise your employees for their hard work. Be creative, and identify forms of reward and recognition that fit with your company culture and employer brand, are fair, inclusive and meaningful.
Introduce employee wellbeing initiatives
Many people are leading an increasingly sedentary lifestyle, with long office hours, and downtime spent absorbing the latest box set - making high cholesterol and blood pressure very real concerns. Keeping your employees healthy should be a priority, so take the time to implement wellness initiatives in your business. Many employers offer wellbeing benefits such as free fruit, discounted or employer-paid gym memberships, meditation and massages, and social sports teams. Promoting wellbeing in the workplace can help to prevent stress, improve morale, reduce sick days and improve overall employee engagement. What’s more, it shows you care about your employees and are invested in their wellness – wouldn’t you be more likely to want to stay in a company like that?
Adecco can help put the right people on your team and give you the support and resources you need to keep them there. To learn more, contact us today.
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