4 cost-effective tips to reduce employee turnover
Finding the right candidate, at the right time and for the right salary can be, well, painful to say the least. From time, disruption and the cost of training someone up, typically, it’s said to take around six months to fully embed a new employee into their role.
And then there’s the cost of recruitment too. According to research the average cost-per-hire for UK businesses is £3000. With so much time and money going into building the best team possible, the last thing you want is employees leaving you.
An employee’s decision to stay or leave can be influenced by a number of factors. Here are some cost-effective ways to control the ones you can influence from our HR Business Partner, Jenny Ware.
- 1. Make sure you’ve got great managers
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Research conducted by us has shown that 70% of employees leave due to bad line managers – not bad businesses, which just goes to show how much of a difference your leadership team can have.
So, what does being a great manager actually mean? It’s simple really:-
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- Taking an interest •
- Supporting employees •
- Being fair and consistent •
- Giving opportunities to grow and develop.
- 2. Deliver on your promises
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If you’ve packaged the job a certain way during the recruitment process, make sure you stick to what you sold it as. Think about it from the employee’s perspective. If you were sold a phone and told that it could take photos, and after you bought it you realised it couldn’t, you wouldn’t be happy with it, would you? There’s no reason selling and accepting job offers should be seen any different.
If you miss-sell, understandably, the employee’s likely to go somewhere that can deliver on what they advertised. - 3. Value your employees
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More often than not, hard-work, motivation, commitment and longstanding service stems from employees who feel valued in their job. There’s no arguing that many people are motivated by money, but it’s not as simple as just stepping up salaries every now and then.
Don’t underestimate how far a ‘thank you’ can go. Giving recognition, appreciation and praise for employees’ efforts is a monumental part of ensuring they go home feeling valued.
Another cost-effective way to add a sense of self-worth could be to involve employees in business decisions that’ll affect them. This’ll help to assure them their opinions and ideas are listened to, and incorporated into decision-making processes. - 4. Invest in the vision
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Engrave your business’ values and long-term plans into employees, to help them get a better understanding of what you’re about, where you want to be and how they can help you get there – this’ll help get them excited about their role in the journey and create a greater sense of involvement.
To make sure your messages are truly absorbed, try to introduce them in different ways, like discussions, team meetings, posters, videos and one-to-ones.
Over to you
So, they’re our top four cost-effective tips. Remember, it doesn’t stop there. From team building activities or monthly bake sales, there are a whole load of other ways you can help to make your employees feel valued – just use your imagination!
If you’re in need of help with any HR-related matters, we’ve a team of friendly experts on hand to do just that. Just get in touch or give us a call on 0345 844 1111 to start seeing the benefits of having us on board today.
*According to a study by Oxford Economics
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