A high employee turnover rate can have a series of negative impacts on your overall business. A high turnover rate has been found to negatively impact a business’ bottom line, leading to reduced efficiency rates and lower staff morale. The series of factors that result from high staff turnover means that employee retention rates should be a top priority for all business owners, regardless of the industry they are operating in.
- Provide Positive Feedback
In the constant, everyday demands of business, it can be all too easy for managers to offer more negative than positive feedback. When a task is completed successfully, it does not require follow-up, whereas when a task is completed incorrectly, it needs a fast response. Studies have found that the ideal ratio, between positive and negative feedback, should be 5.6 pieces of positive feedback to every one piece of negative feedback. Offering too much negative feedback without appropriately balancing this ratio with positive feedback will lower employee morale and, in the long term, lead to higher staff turnover.
- Track Employee Engagement
As inpulse.com explains, employee engagement is a hugely important metric that can have a big impact on retention rates. The reason that employee engagement can have such a big effect on retention rates is that it impacts both the relationship that staff has with their work and with their employing organization.
Employee engagement can be a very difficult metric to identify without the use of specific engagement software. You should make sure to find the right employee engagement software for your business to ensure you are better able to effectively manage employee engagement.
- Encourage Collaboration
As more businesses are looking to continue with a remote working model full-time, it is even more important for businesses to actively encourage collaboration. Studies have found that having high levels of collaboration within your organization can have a wide range of benefits, from reducing staff turnover to increasing innovation within your organization. You should create a system to actively encourage collaboration, so employees better understand the importance of this value for your organization.
- Offer Growth Opportunities
One of the most common reasons why a member of staff leaves a job in a company they are happy with is usually due to the lack of growth opportunities. Offering staff training and development opportunities are essential for ensuring you are able to attract and foster the top talent within your organization. Providing staff with regular training, education and development shows them how their employer values not only what they can provide today but their professional future too. With so many online resources at your disposal, there is no reason why you should not start offering more training and development solutions today.
- Value the Importance of a Work-Life Balance
A good employer knows that their top employees are individuals who are happy and healthy. Having a high rate of internal stress, which results from a poor work-life balance, might improve your productivity rates short term, but it can be detrimental long term, leading to increased levels of staff turnover. Keeping a healthy work-life balance as a priority for your business is beneficial both to worker wellbeing and future employee retention rates.