3 Factors That Can Impact Employee Retention
Goals can’t be met without talented people working together. You might notice that if your retention rate has begun to dip, your capacity for meeting goals drops off as well. Retaining employees is therefore, a top priority.
The job market is competitive, which makes retaining employees even more difficult. However, there are some factors that will help keep your employees happy. Don’t discount the happiness aspect, because that is what will impact an employee’s decision to stay or look for employment elsewhere. According to a study by LinkedIn that looked into 32 million profiles, there are three factors that impact retention rates:
1. Beating Boredom
The problem with someone doing an extremely good job is that you will have a tendency to keep them at that position because no one else can do it as well. Yet, it’s exactly this practice that can lead to burnout, which is why you need to shift the roles they play. Even lateral movements, according to the LinkedIn study, can keep employees from getting bored with their job.
2. The Power of Empowerment
Giving someone the freedom to make decisions is essentially handing them power. Employees relish empowerment. It makes them feel like they’re an essential part of the team. Employees who are not empowered often feel undervalued and nothing more than a small part of a mindless machine.
The positive side effect of empowering your employees is that they are more likely to stay with you. Workers who are not empowered by their employers will look for opportunities elsewhere.
3. Quality Managers
One of the most often cited reasons a person gives for leaving their position is that they have challenges with their immediate manager. Specifically, managers that fail to convey an open and effective management style will cause your retention rate to drop.
To ensure that your employees are happy with their managers, survey them often and find out where adjustments need to be made. Communication skills are most likely the most effective tool your managers can have; they should be empathetic, good listeners and open to making sure their employees have what they need to get the job done right.
Using the Predictive Index method for hiring, promoting and building teams is an asset in retaining employees. With the behavioral and cognitive assessments used in the Predictive Index method, you gain more insights into job candidates and you can more effectively promote people who have solid leadership potential.
At PI Consulting Group, we can help you retain employees as well as promote and hire the people who fit strongly within your unique company culture. We are reminded on a daily basis that employers struggle with various aspects related to talent, and we have the tools to help you overcome those challenges, so contact us and let’s talk about our methods.