How to Retain Your Best Employees

Having an exceptional staff is crucial for any successful business, but retaining top talent long-term takes strategy and commitment! High employee turnover can be highly detrimental, constantly forcing companies to train new hires, lowering overall productivity, and making it hard to maintain company culture and values.  

For all these reasons, retaining your best people and existing employees should be a key priority. This brief article will look in-depth at common reasons skilled workers leave jobs, the substantial impact turnover has on businesses, and, most importantly, actionable techniques to keep fantastic employees engaged, challenged, and happy in their roles! Read on or contact our team at Horizon to learn more!

Employee Turnover Can Be a Major Burden for Companies

Losing talented contributors is frustrating, disruptive, and very costly for employers. From recruiting and interviewing to hiring and onboarding new employees, the expenses associated with replacing workers add up alarmingly fast! And that's not even considering the plunge in productivity as new hires get fully up to speed in their roles. Critical positions often take over six months before a replacement employee can work at the same high level as their predecessor.  

In addition to the quantifiable hard costs, turnover also negatively impacts intangible elements like company culture and team dynamics. Relationships and workflows need stability and continuity; morale may steeply decline if remaining employees feel overworked and stressed covering responsibilities for vacant positions. Reducing turnover needs to be a strategic focus for any growing business. 

Why Does Turnover Happen?

Taking a thoughtful and strategic approach to boosting employee satisfaction and retention begins with thoroughly examining the root causes behind why valued team members choose to leave an organization. Businesses must invest time in understanding the main drivers and pain points that push their top talent out the door.

By conducting stay interviews, gathering exit interview insights, monitoring engagement surveys, and generally keeping a pulse on workers' satisfaction, leadership can clarify the most prevalent reasons that their best employees voluntarily quit. Though reasons will vary across different companies, industries, and individuals, research shows consistent themes in what generally leads high-performing staff to seek new jobs. Some prevalent reasons great employees end up quitting include the following.  

Poor Employee Benefits or Low Pay

Compensation plays a massive role in job satisfaction and retention. Employees want to feel consistently valued for their contributions, and fair pay aligned to industry averages demonstrates that! Substantial benefits like ample paid time off, retirement savings plans, and comprehensive health insurance can also significantly boost loyalty.  

Uninspiring Work Environments

The overall culture and atmosphere of your workplace also heavily impact retention. Do current employees feel energized by and enthusiastic about their work and colleagues? Or is the vibe dull, toxic, or even hostile? Fostering camaraderie, collaboration, and passion for the company mission tends to boost employee engagement and fulfillment. Employees who feel disengaged quickly begin seeking better environments from new employers.   

Lack of Development Opportunities or Promotions

Ambitious, career-minded employees crave chances to expand their skills and take on greater responsibilities. They may leave static roles that lack advancement potential or feel like dead-ends. Insufficient career development programs and unclear promotion pathways also contribute to turnover; many workers want their capabilities nurtured and career trajectories transparent. 

Employee Retention Should Be a Top Priority for Every Business

Given the extensive financial costs, lost productivity, and disrupted operations associated with turnover, investing heavily in retaining employees should be a top priority for every business. The tangible costs alone of the overall onboarding process can significantly cut into a company's bottom line.  

Experienced employees who remain in their roles for many years often become linked to crucial accounts, act as invaluable mentors, and provide institutional knowledge that benefits the entire company. When these employees leave, their insights and expertise go with them! Productivity and service levels can suffer as new hires need help with a steep learning curve to get up to speed and build internal relationships. 

How Can Companies Retain Their Best Team Members?

Now that we have covered the multifaceted costs of turnover and the immense value of retaining top talent for the long haul, let's explore some proactive, evidence-based employee retention strategies companies can implement to keep their best team members happy, motivated, and engaged in their roles. 

Offer Good, Competitive Pay and Benefit Packages

Fair, equitable compensation is a foundational pillar for employee retention. Regularly conduct market research across your industry to ensure your salaries, bonuses, retirement contributions, extra paid time off, and other monetary benefits align with current benchmarks. Additionally, consider selectively boosting elements your employees would most appreciate! 

Recognize Your Employees' Hard Work

Beyond competitive pay, also carve out time to actively recognize your employees' efforts and accomplishments. Publicly praise specific achievements in team meetings or company newsletters. Give "Employee of the Month" shout-outs or write handwritten thank-you notes when team members go above-and-beyond expectations. Personal recognition motivates staff and reminds them their work is valued within your company. 

Provide Opportunities for Advancement

Investing in robust professional development demonstrates that your business cares about employees' long-term career trajectories. Offer relevant training workshops and courses to help staff strengthen existing capabilities. Bring in knowledgeable speakers to share industry insights and trends! It also helps to offer clear promotion pathways with defined skill requirements to motivate workers to hone their abilities continuously.

Give Flexibility with Schedules

Today's employees highly prioritize work-life balance and flexibility. Offer options like remote work, flex scheduling, reduced hours, or job sharing that help people harmonize professional and personal responsibilities! Implementing policies that empower employees to manage their time helps to boost morale, retention, and focus when working. Flexibility also expands your available talent pool when recruiting! 

Foster a Positive Workplace Environment

Does your office culture make employees excited about collaborating with coworkers? Do people find the atmosphere energizing or, conversely, high-stress? Company culture critically impacts retention and employee experience; try to proactively foster an inclusive environment where every team member feels welcomed, heard, and part of the mission!  

Prioritize Communication with Your Employees

Listen closely to your people by conducting regular check-ins or anonymous surveys to solicit constructive feedback. Do any issues or barriers exist that leadership can address?  

Consistent communication demonstrates all employees' opinions are valued. Acting upon feedback cultivates greater trust and goodwill. 

Horizon is a Top-Rated Partner for HR and Payroll Solutions

As you assess current practices around compensation, professional development, culture, schedules, and communication, you should know that you don't have to tackle improving retention alone! Horizon is proud to provide full-service payroll, HR, compliance, and benefits solutions tailored to helping businesses like yours engage and retain top talent. Contact us today for a free consultation! 

Retain Employees with Professional Payroll and Benefits Management

On-time payroll processing with accurate calculations builds tremendous employee trust and satisfaction. Horizon can handle everything from distributing wages and deductions to filing taxes, keeping your business fully compliant in the process! We also seamlessly administer robust benefits packages – including health insurance, retirement plans, paid time off, and more.  

We Ensure Your Payroll and HR Practices are Accurate, Timely, and Compliant

Beyond reliable transactional payroll and benefits, our dedicated HR experts become strategic partners invested in your success. We help craft competitive, industry-benchmarked compensation plans designed to attract and retain top talent! Horizon's solutions enable your business to focus on fostering an engaging, supportive work environment. 

Contact Us Today for More Information

Don't let turnover derail your business's growth and cohesion! Horizon provides comprehensive payroll, HR, compliance, and benefits solutions to keep your best employees happily engaged in their roles long-term! Reach out today to learn more about our tailored business services.