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Worried About Employee Turnover? Make Sure You're Taking These 7 Steps

High turnover in the workplace is bad for company finances and employee morale. Here's how to keep your most valued team members.

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Kris Hoppe
Apr 22, 20165 minutes
Worried about employee turnover? Here's how to improve employee retention.

The day is inevitable: at some point or another, your employees will leave. Everyone knows that jobs rarely last a lifetime, but it’s still important to retain the talent that will really make your company shine.

Companies spend $4,000 on average to fill an open position, and that doesn’t even begin to speak to the amount of lost productivity and impact an empty role has on a small team.

So how can you keep the people who make a difference in your company? Compensation is only one small factor — in fact, most of it has to do with employee motivation and happiness.

Spend Time Finding the Right People

It may sound counterintuitive if you’re worried about keeping the people you already have, but hiring people who fit the company mission prevents high turnover in the future. Identify your company values and hire people who fit both those values and have the skillset needed.

Be clear about what the role entails and be honest about the amount of time and work it will entail. According to Inc., people quitting their jobs has hit a six year high. Pick the right people first and onboard them correctly, and you’ll have an employee who stays with you longer.

Invest in Career Development

The ability to grow within a job is important, and it shows that the company cares about their employees and wants them to advance. By investing in career development, you’re also helping your employees to become more capable and perform better in their day to day. Basically, it’s a win-win.

Whether your company decides to offer off-site training, vouchers for classes, or online resources, anything that fosters the growth of an employee will be a positive asset to your team.

Related article: 13 Ways to Encourage Employee Development (and Strengthen Your Team)

Solicit Feedback Both Ways

It’s crucial to both give and receive feedback regularly. By checking in often, you’ll have the ability to offer solutions when employee morale is lower. Ubiquity is famous for its smiley face buttons when people leave the office, which gauges how people feel at the end of the day. However, you don’t have to get high tech to find out how your employees are feeling.

Although anonymous surveys may feel harsh on the employer end, it’s important to give your employees anonymity so you can see how the workplace environment is really feeling. At Justworks, we have an annual anonymous employee survey and aggregate all the data to find what’s working and what needs to be improved upon.

Additionally, it’s important to give employees feedback regularly, and not just on an annual basis. By giving regular feedback and training your managers to do so, not only will employees feel recognized for their strong attributes in the short term, but they’ll also be able to improve upon weak spots earlier in the game.

Show Appreciation

If you think that a paycheck is appreciation enough, think again. More than ever, millennials look for appreciation in the workplace. But appreciation doesn’t mean having to buy everyone gift certificates or sending them on a private retreat to the Bahamas (not that your employees would be complaining).

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It can be as simple as giving summer fridays, starting a free or low-cost employee appreciation program, offering seltzer water in the office, or sending a thank you note for a job well done. It’s the little things that add up, and employees who don’t feel appreciated are often the first to walk out the door.

Related article: Master Employee Appreciation With These 35 Inexpensive Ideas

Offer Competitive Salary and Benefits

According to a Glassdoor survey, 79% of respondents stated they prefer additional benefits and perks over a higher salary. But having a little bit of both doesn’t hurt. Employees want to know you’re compensating them what they’re worth. Do some research and check out the market value for people in their region and field, and offer accordingly. If people know they have that unlimited vacation package and dental benefits, it certainly sweetens the pot as well.

Have a Flexible Schedule

It only makes sense that employees should have the ability to drop kids off at school or go to a doctor’s appointment when needed. Offering that kind of flexibility keeps employees healthier. It also signifies that you trust your employees to get their work done, and trust is a solid foundation to any positive working relationship. The more valued and trusted your employees feel, the more likely they are to stick around if the going temporarily gets rough.

Add Fun to the Office

Yes, you’re paying your employees to work, but they also need to cut loose every once in a while. Both vacation time and better sleep improve productivity, and there are an infinite number of ways to add more fun into the workplace. Whether it’s having themed potlucks and game nights, or planning a staff retreat, employees who are in better moods do better work. Double win.

The most important point to keep in mind is that your employees want to feel valued in the workplace. Take care in hiring the right people for your team, then work to keep open lines of communication so you can continually improve your organization. Although some turnover is inevitable, the benefits of keeping your best staff will really make your company shine.