5 Employee Retention Strategies that Work

Employees are vital to every business, representing one of your company’s most valuable assets.

Keeping them happy, healthy, and motivated allows them to always be engaged with their work. When employees are taken care of, they provide the best services to customers. This leads to bigger opportunities, a wider reach, and an increase in sales and profits.  

As much as you care for your customers, it’s important to care for your employees too. Loyal and hardworking people are difficult to replace. 

However, it's no secret that employee retention is one of the top problems businesses face nowadays. In a statistic provided by Legal Jobs in 2021, good employee retention was shown to maximize company yields by up to four times. 

If you are having trouble with employee retention, then you've come to the right spot.

As the leading digital marketing agency in Miami, we will assist you in fixing and preventing a high employee turnover rate.

Let's begin!

What Is Employee Retention?

Employee retention refers to the capacity of a company to retain its personnel. Investing in employee retention will decrease employee turnover in your business. 

What Is Employee Turnover?

Employee turnover refers to employees who quit a company or an organization to be replaced by a new one. 

Why Is Employee Turnover a Problem?

You might be thinking that if an employee leaves an organization, you could always hire a new one. 

However, this can put you at a disadvantage. A 2019 Gallup Report stated that a 100-person firm paying an average salary of $50,000 per year might incur annual turnover and replacement expenses of between $660,000 and $2.6 million.

Posting a job opening on your social media pages every other month may give other potential employees the idea that something is wrong with the organization.  

Additionally, turnover often disrupts an organization’s work. It can cause delays in outputs and projects, since you need to train newly hired employees.  Someone at your organization also has to ensure a smooth turnover of responsibilities. 

Employees have different reasons for leaving a company, and you cannot force them to stay. But some companies have much more turnover than others.

Not sure why most of your employees aren't staying longer like you'd expect them to be? Read this: 6 Reasons Your Employees Are Unhappy.

Top 5 Effective Employee Retention Strategies

1. Mentoring

Mastering something by yourself can prove difficult. While it's true that people learn through experiences, it's not harmful to provide them with the guidance that they need. In the workplace. This is where mentoring comes in. 

Mentoring is not just delivering instructions and letting your staff figure things out independently. It provides an opportunity for individuals to learn from one another and assists them in becoming competent at their jobs. 

Here are the qualities to look for in a good mentor:

• Knowledgeable
• Approachable
• Good Listener
• Provides Constructive Feedback
• Trustworthy

Remember that fostering mentorship in your company will build a culture of trust and learning among employees. 

2. Employee Incentives/ Performance Incentives

When your employees excel in their work, it's important to recognize that. Even a pat on the back can be useful, but it's best to provide them with incentives as a form of reward. This helps increase their motivation and commitment.

Other than that, incentives also improve employee productivity and boost their morale. Different companies provide monetary incentives, but they could also be non-monetary. 

Here are some non-monetary incentives you can give your employees:

• Gift certificates (spa treatment, haircut, nail care)
• Movie/concert tickets
• Gadgets (laptop, cellphone, tablet)
• Free vacation trips
• Holiday raffle prizes
• Paid time off
• Team lunches

When employees feel happy and appreciated, they’ll put in better work. This helps your organization thrive.

3. Meaningful Participation

Participation is not limited to letting your employees do the tasks assigned to them. 

When they have been at the company for a long time, their job might seem routine. This lessens their motivation and interest because they get bored with ordinary tasks. 

Data from Gallup in 2021 shows that as of June 2021, 15% of US employees were actively disengaged, which is a little more than the 14% figure from 2020. These actively disengaged employees declare bad experiences at work and are usually not well-managed.

Here are three pro-tips to encourage participation:

• Assign them to organize company outreach activities or programs  
• Provide suggestion boxes
• Give them time to air out concerns during meetings in a diplomatic manner.

Meaningful participation will make employees feel heard and included. 

4. Respecting Boundaries

Even before the pandemic, working more hours, leaving the office last, and bringing work home seemed like badges of honor. 

Remember that while these habits appear admirable, they can lead to burnout. It’s healthy for your employees to have a life outside their work. 

Even in this new normal, when companies allow them to work from home, it's not an excuse to bombard them with additional tasks.  

Start implementing boundaries at work with these five tactics:

• Encourage them to take a day off, especially during sick days. 
• Do not send them work-related messages during weekends unless they are urgent and essential. 
• Do not schedule meetings outside office hours.
• Allocate workloads efficiently.
• Do not encourage working overtime, especially if it is unpaid.

Taking care of your employees by setting boundaries at work could:

• Build healthier employer-employee relationships
• Foster respect
• Increase productivity and commitment

5. Workplace Flexibility

Workplace flexibility can be used to meet the needs of both employers and employees.

While it’s considered standard for an employee to work 8 hours a day, from 9 to 5, that isn’t always the best for everyone. A 2020 report from Comparecamp stated that 89% of companies report better retention rates because of their flexible work options.

Flexible work initiatives are also great for helping your employees stay focused in a post-pandemic environment.

We Can Help You Improve Your Branding

People come and go. But in business, you try to attract and keep the best people you can. Take care of your employees, and they will take care of your business. Ignoring warning signs of employee turnover can prove fatal to your business: employer branding matters.

Digital Resource is an award-winning digital marketing agency in Miami with the experience and resources to create a successful employer image.

‍Contact us today if you need assistance marketing your company to your future employees.