Having people leave is expensive. Not only does the loss put extra pressure on others to get the work done, but you have also lost the time and expense of training. You also lose the experience that comes along with that time and training. Hiring a new person and training that person can be time-consuming and put even more pressure on other workers to take up the slack while the new person learns the job.
When a person leaves, there could be a loss of morale. There is also the possibility of the snowball effect. One person leaves, and others, who tire of the additional stress, follow suit.
Companies that focus on retention realize that there is a significant benefit to having happy employees. As people grow in their jobs, they get better with experience. They may even develop more efficient processes in a way that is only possible when someone knows a system so well. They can see all of the details and where they can make improvements.
Opportunities to promote from within
When management focuses on retention, there are more opportunities to promote from within when the time comes. As new positions open up at higher levels, those employees who have grown with the company and have provided a significant benefit to the company can take on more responsibilities. At that point, when the time comes to fill the open position, the mindset is much different. Instead of morale being low due to someone quitting, a promotion will have a positive effect on the entire team. Promoting from within allows the person to train their replacement. There can also be more of a transition, so others on the team do not feel the stress. Even if the other have to put in additional time to take up some of the slack for the new person, it is not as stressful since the mood of the team is still very positive.
Keep everyone engaged
As you work on your retention practices, you will see that people have a better outlook for their future. Upward mobility is a possibility. People will know that the management teams in the company are interested in the morale and wellbeing of the people in the company. There is an axiom that people do not quit a job, they quit a boss. If employees feel they are being treated fairly and there are opportunities down the road, your retention rate will improve. As your company grows, you can work with The Essex Companies to fill your new positions to make sure you are getting the right person for the job.
Higher retention rates also allow management to look at the people they are hiring seriously. With companies with a high turnover rate, they might see people as bodies filling a spot for a short time. They view employees as expendable and spend less time looking for qualified candidates. If management knows that on average, people will tend to remain with the company for years to come, they will be more serious about the people they bring on. Companies will want motivated people so they can continue to grow and provide additional opportunities for those that do great work.
Take hiring seriously
Even when you hire a person due to a promotion or growth, hiring can be a time-consuming and challenging process. At The Essex Companies, we interview new candidates daily, and we get to see who has the skillset and the strengths for which you are looking. By allowing us to find candidates, you save time, and you know that you are getting the most qualified people who are out there.
Retention creates a positive environment people can get excited about
When we know that the company’s culture is one that promotes growth, we get excited about the opportunities we are offering to people. Things like retention, growth, internal promotions and high morale create an environment primed for success. At The Essex Companies, we can help you achieve those goals.