If you have high employee turnover, it’s in your best interest to reduce it. Lucky for you, you can use free and inexpensive methods to convince employees to stick around.
1. Hire the right people
Keeping employees starts with hiring the right employees. You likely hire employees who have strong skills that match your open position. But, how well do your employees fit in with your business’s culture?
2. Offer competitive pay and benefits
People want to be compensated well. They need to cover standard expenses like housing, utilities, and food. And most people want enough money for extras, too. If you don’t pay your employees well, they’ll find a business that will.
When determining compensation for your employees, it’s good to do market research on wages. Find out what your competitors pay their employees. Research a competitive salary range based on similar jobs in your local area. For example, if you want to hire an IT specialist in San Francisco, you should consider what other businesses in San Francisco pay their IT specialists.
3. Give praise
Your employees need encouragement and recognition. When employees do something right, show your appreciation. When they finish a large, difficult project or submit a project before the deadline, congratulate them. Show them that you see their hard work.
Now, don’t feel like you have to shower employees with praise for everything they do. You don’t have to praise employees for small, everyday tasks. But, when employees truly do something worth congratulations, give it. The goal here is to create an encouraging, positive work environment.
4. Show the career path
If employees stay stagnate in one job for too long, they might search for another job where they can advance. Most employees want to increase their skills and knowledge and move up the career ladder. Showing employees a projected career path gives them a sense of direction and purpose.
You should show your employees a clear career path. Where can they go from their current position? Maybe it’s an upward or lateral move. Or, maybe your employees can earn more responsibility in their current position. Whatever it is, let your employees know how they can advance.
5. Allow flexible work schedules
If it’s possible, allow flexible work schedules. Flexible work schedules let employees adjust their work time and location. Employees can create a work-life balance for themselves. Your workers can pursue things beyond work, go to appointments, and take care of their families.
Flexible work schedules might not be possible for all businesses. Your employees might need to be at your business at specific times. But there still might be ways you can offer flexibility, such as flexible lunch times.
There will always be employees who want to leave your business. They will find jobs they’re more interested in, change career paths, decide to become a stay-at-home parent, or maybe start their own business. Employee turnover can’t be completely eliminated. But, you can reduce it by providing a workplace where employees want to stay.