Employee movement in the workforce is normal and turnover is unavoidable. Having a plan to effectively manage your workforce and retain employees is important to preserve productivity, engagement, and your business’ ability to stay competitive.
Lay the foundation for a resilient and thriving workforce with these turnover solutions.
Turnover Is a Balance
Turnover can be healthy in cases of underperforming employees, disengagement, or a lack of motivation. However, if turnover becomes a regular occurrence, it can negatively impact your company’s reputation, employee morale, and the ability to meet business goals.
Find the True Cost of Turnover
It can cost up to 150% of an employee’s annual salary to replace them due to turnover. Account for the direct and indirect costs, time spent on recruiting, lost knowledge from exiting employees, and the impact on remaining employees.
Anticipate Turnover
According to Gallup, turnover rates vary by industry and company, but 10% is typically healthy. While turnover is normal, understanding turnover rates and motivations is an important aspect of proactive management. Foresight allows leaders to plan, allocate resources, and implement retention strategies.
Avoid Retention Roadblocks
The best defense against negative turnover is positive retention. Roadblocks which can drive turnover include ignoring employee feedback, overworking, insufficient training, and inflexible policies.
Prevent Turnover with Company Culture
Investing in company culture is a strategic move. While the upfront costs may seem significant, the long-term benefits outweigh the expenses. This investment can include fostering an environment of empowerment, creating opportunities for advancement, or recognizing employee achievements.
Employee Engagement Is Key
Engaged employees are more likely to stay with a company. Creating a culture and implementing programs that motivate employees to go above and beyond can improve engagement. Listening to disengaged employees to learn why they feel disconnected and how you may get them reengaged is also important.
Building Blocks for Turnover Solutions
Managing turnover is an important part of maintaining a productive workforce. Proactively addressing turnover, prioritizing employee engagement, and supporting a positive work environment are the foundation of loyal teams and positive outcomes for both employees and the company.
Discover more about managing your workforce from Workplace Stability: Building Blocks for Turnover Solutions at ExpressPros.com/TurnoverSolutions.
Common Questions About Turnover
How to calculate how much turnover costs?
Turnover can be costly with expenses amounting up to 150% of an employee’s annual salary. Find your company’s turnover rate and estimate the costs with the turnover calculator at ExpressPros.com/TurnoverSolutions.
The true cost of turnover includes direct and indirect costs, like advertising the position, time spent on recruiting and interviewing, training, overworked core staff, and interim loss of productivity.
What are the most common reasons for turnover?
Turnover happens for many reasons, including a lack of on the job training, overworking employees, mismatched job expectations, inflexible work policies, inadequate compensation, and unclear company strategy.
How to reduce turnover?
Investing in your team and strategically supporting employee engagement is key to reducing turnover. Strategies to invest in your team are to foster an environment of empowerment, provide opportunities for upskilling and career advancement, recognize employee achievements, and offer competitive compensation within your industry.
Teaming with Express Employment Professionals can reduce risks and lower your company’s turnover costs. Leveraging temporary staffing saves money on lost production and overtime and improves employee morale. Express assumes the liability for unemployment, workers’ compensation, and employee benefits, while administering payroll, so you can stay focused on managing your business.
About Express Employment Professionals
At Express Employment Professionals, we’re in the business of people. From job seekers to client companies, Express helps people thrive and businesses grow. Our international network of franchises offers localized staffing solutions to the communities they serve across the U.S., Canada, South Africa, Australia, and New Zealand, employing more than 11 million since its inception. For more information, visit ExpressPros.com/Employers or ExpressPros.ca/Employers.
