Staff departure can be an expensive proposition. Not only does it entail an often lengthy recruitment process and costly training programme, losing key employees can also have a substantially detrimental effect on the bottom lines of a business. Despite this, many companies in all manner of industries, suffer from high staff turnovers.
Understanding why employees leave their position is the first step in ensuring it happens with less frequency in your own place of business. Here are the top five reasons for staff departure, which should allow you to work on improving employee retention and reducing the harmful effects that a high turnover can have on your operations.
1. Limited career opportunities
According to a study of 19,000 employees carried out by the Saratoga Institute, the number one reason why an employee will leave their role is the lack of advancement opportunities available to them. With 16% of respondents citing stagnation as their primary concern, it’s clear that you must work hard to foster an environment in which the best performers in your company are able to progress and fulfil their potential.
2. Horrible bosses
It’s such a relatable problem that they made a Hollywood move out of the idea – but it’s also one that’s entirely avoidable. While bosses don’t need to (and perhaps shouldn’t) be friends with their employees, it’s imperative that the dynamic between the two is amenable and supportive. This can be achieved through the use of one-to-one meetings, constructive feedback and good people management.
Unsurprisingly, monetary compensation is fairly high on the list of reasons why staff members leave, and there may well be times when an employee has their head turned by a bigger fish capable of paying higher wages. However, salary isn’t the only way to keep your employees happy. A robust rewards scheme, wherein good work is recognised through bonuses, benefits and other forms of compensation, can be equally effective in keeping your workforce onside.
4. Job satisfaction
Aside from the size of their pay cheque, the enjoyment of the job itself is also key to employee retention. One of the most commonly cited reasons for dissatisfaction with a role is that it doesn’t engage or challenge the employee, or that they find the work boring. Be aware of the overachievers in your office and work hard to make sure they are stimulated while not being overworked. It’s a fine line to tread, but a happy employee who enjoys their work is one far more likely to stick around.
5. Workplace culture
For many people, those they work with are actually more important than the job itself. A toxic workplace is unlikely to attract loyalty, while one in which everyone gets along well and is committed towards the same objective will not only produce better results, but show greater longevity as well. There are a variety of ways in which to enhance your workplace culture, including team building activities, a dedicated HR strategy and in-house promotions, competitions and incentives.