According to a recent report from SHRM, more than half of employees surveyed in the U.S. plan to search for a new job in 2021. Due to the pandemic and economic downturn, turnover rates have been at their lowest level since 2012, but as the world has started to open back up, turnover rates have increased, leading to what SHRM is calling a turnover ‘tsunami’.
WHAT WE HAVE SEEN:
When the pandemic hit, most employees stayed in their current positions due to income security and the uncertainty of the economic climate. According to a report from staffing firm Robert Half, 70% of professionals who transitioned to a remote work setup say they now work on the weekends, and 45% of employees say they now work more than 8 hours a day.
Working remotely has led to feelings of burnout, and transitioning jobs seems to be the answer.
The importance of employee retention:
Did you know employee turnover can cost you 200% – 300% of the cost of one salary alone?
That means employee retention is extremely important to the overall success of your business. Research shows retaining top talent is essential for maintaining institutional knowledge, high morale, satisfied customers, and even sales growth.
SO, HOW CAN YOUR BUSINESS AVOID THE 2021 TURNOVER ‘TSUNAMI’?
For starters, investing in employee retention strategies like improving the employee experience and paying employees competitively must be a priority for your organization. Here are a few tips for reducing turnover:
- Up your searching, retaining, and training efforts.
- Never assume your employees are happy – listen and learn from their feedback.
- Recognize your employees and give affirmative feedback.
- Encourage collaboration, especially if you’re still in a remote environment.
Curious about how much turnover is costing your company? Calculate your turnover with our customizable calculator here.
We would love to help you improve your retention rates and drive your business to further success! Reach out to us here.