Hiring and training new employees is expensive. Experts have determined that it can cost anywhere between six to nine months of an employee’s salary to replace them. The high cost of employee turnover can cripple an organization’s path to success and can negatively affect the culture of the workplace. How can your organization retain your current effective leaders?
One of the biggest misconceptions employers have about their employees is their level of engagement. Globally, only 13% of employees are considered engaged at work – a red flag for employers who want to retain their top talent. Many leaders acknowledge that there is a lack of engagement within their organization but do little to improve the situation.
Employers who want to ensure that leaders in their company stay must be proactive about employee engagement. To engage employees, corporate leaders must empower them to discover their full potential. Set them up to succeed and allow them to have the authority they need to do their jobs. Provide employees with the opportunity to challenge themselves and then give them feedback on their efforts.
Employees want to be trained. Establishing a coaching program benefits the employee as well as the company. Through mentoring, onboarding processes can be more effective. Statistics show that employees who are immersed in a strategic on-boarding program within the first 45 days on the job are more likely to stay on their job for more than three years.
Consider mentoring, it allows companies to bridge the generational gap between millennials and boomers (or any other generation), and can increase productivity by 56%. In addition, it helps employees (both the mentors and the mentee) become more engaged with their job.
Training opportunities are essential in keeping top leaders in an organization. Surveys show that employees who don’t receive adequate training leave their jobs within their first year of employment.
Offering training in technical and soft skills can improve employee satisfaction with their jobs, as well as improved abilities for the employee. As a result, 88% of employees feel motivated to do their best. By involving employees in the identification of the skills and knowledge they’ll need in the future, you can align their training with your organizational goals.
Salary (it has to be said)
Many corporate leaders list salary as an employee’s primary motivation. Employees, however, list appreciation for their work as the thing they value the most. Salary may not be the most important factor in an employee’s reason to remain in their job, but it is a key element in keeping valued employees.
If you want to ensure that quality leaders remain in your company, ensure that they are being paid a competitive wage. Perks, bonuses, and other incentives are important as well, and can be included in a salary package. The baseline salary, however, can be seen as an indicator to the employee of the value you place on their position.
Retaining leaders within an organization requires planning and effort. The investment, however, pays off. Increased employee engagement, the retention of leaders and increased profits are all directly affected by organizations that actively work to motivate and engage employees.
Michele Bailey is president and CEO of Blazing Agency and My Big Idea™. These two lines of business work congruently to support her clients’ success.