As temp agencies and companies throughout the country can attest to, staffing your business is proving more difficult than ever before. In fact, poor job retention is becoming a growing problem, with more than forty five percent of those employed in Human Resources departments considering the often abysmal job retention rates their number one concern. Only concern for employee engagement comes anywhere close, and the two can be considered to be directly linked.
The data that has been gathered on this subject more than justifies this fear, as more than twenty percent of all people who have bene recently hired will leave the position they were hired into in under less than two months after starting the job. On average, many will leave after only a mere forty five days. And not only do low rates of employee retention upset the dynamic and stability of a company, but the financial cost is also great.
In fact, eleven billion dollars is collectively lost throughout the country, as companies all over are losing money on it. The cost of employee turnover can even exceed one hundred percent, costing as much has one hundred and fifty percent of the typical employee’s salary at any given company (the company in question). And even when it does not cost quite this much, employee turnover usually does not cost less than thirty percent of the typical employee salary.
So what’s behind these poor rates of employee retention? For one thing, many employees simply do not feel that they are being adequately supported in their place of work. In fact, less than thirty percent say that they feel that their superiors support them adequately, with the vast majority of employees – up to eighty percent of them, to be more precise – feeling the exact opposite. This is likely to lead to employees searching for other jobs, where they feel that they might find a better system of support and encouragement.
Fortunately, this is a problem that can typically be rectified with relative ease, all things considered. Employee recognition programs are a great way to boost employee morale and have proven to be, on a whole, very successful. In fact, more than eighty five percent of all companies that have instituted such programs have noted an increase in overall employee happiness and satisfaction at their current place of work, something that can not only increase their productivity but their overall quality of work as well, a beneficial thing all around.
Hiring temp agencies to supply employees while permanent employees are searched for can also be very effective. These temp agencies and temp services can provide a stop gap of sorts, and this stop gap can allow hiring professionals to find the high quality long term employees that they need. Temp agencies can also provide contract employees with the potential for hiring them on as a permanent part of the company. This use of temp agencies allows companies to give employees a trial run of sorts without investing too much into them – and on top of this, temp agencies are likely to take staffing your company and staffing your team quite seriously, and will send you high quality employees to begin with, employees who are likely to thrive in the long term.
A lack of diversity can also decrease the success of a typical workplace, particularly when it comes to overall rates of employee retention. In fact, companies that are gender diverse will typically outperform companies that are not by as much as fifteen percent. And ethnic and racial diversity has an even more profound of an effect, with such companies that have ethnic diversity outperforming other more homogenous companies by a truly astounding thirty five percent.
All in all, there are many ways in which poor rates of employee retention can be rectified, even if it is true that these solutions might take some time to fully implement successfully here in the United States and in a number of places beyond it as well. At the end of the day, however, these measures are more likely than not to be worth it and worth the time taken to invest in it.