When it comes to keeping your employee turnover rate as low as possible, financial compensation isn’t the only variable to consider.
Studies continue to show us that employee satisfaction is based on a wide variety of factors ranging from the workplace environment to advancement opportunities. Even if your company offers competitive wages, you must still go out of your way to keep high-quality employees from leaving. Here is a quick look at five tips that you and your management team can use to reduce your employee turnover rate without spending an exorbitant amount on salaries and bonuses.
1. Acknowledge and reward them
Being able to offer your employees a good salary is an absolute must if you want to attract talented individuals, but high wages won’t necessarily foster loyalty. All employees want to feel as if team leaders and managers appreciate them. That is just one of the reasons why it is so important to recognize and reward their effort whenever possible.
There are dozens of great ways to reward employees, and not all of them are monetary. For example, you can try unique rewards such as giving them a day off or offering them a coupon to a local spa. Some of the other rewards you might want to consider include affordable insurance through the company, gym memberships, or additional vacation days.
Sometimes only a simple pat on the back or an email will make them feel like they are a valuable part of the team. In many cases, the gesture is just as important as the reward itself. Just use a little imagination and let your employees know their contribution is noticed and valued.
2. Provide adequate training opportunities
Most employees will immediately start looking for new jobs as soon as there is no more room to grow within a company. Everyone wants to feel as if their career is going to continue to advance no matter what their current position is. Even if they can’t move into a management position for some time, they can still grow and become more efficient at their job.
One way to do this is to offer your employees additional training opportunities, and the great news is that you don’t have to blow your budget. For example, online training is more affordable than ever, and there are great programs for practically every industry. With a little bit of research, you should easily be able to find massive open online courses (MOOCs), webinars, educational apps, and other training programs. Promoting personal development is going to create stronger employees who are engaged with the company.
3. Make company goals clear
When employees like they are disconnected from the rest of their company, it can result in resentment and discontent. Avoid such a situation at all costs. From the moment a new staff member is hired, your company’s goals and MO must be made clear. They should always feel as if they are working toward a larger goal and their position is integral to the company’s success.
It is also vital that you and your management team are as transparent as possible. Your employees need to have tools that they can use to give feedback and ask questions. Once that feedback is given, the leaders must then respond in an appropriate way. Creating a dialogue between employees and managers is one of the most effective ways to promote loyalty.
4. Create a friendly environment
Most of your staff won’t become best friends with one another, but that doesn’t mean your workplace needs to be cold and sterile. Every member of your management team needs to build relationships with those who are under them. Small gestures such as addressing an employee by name or congratulating them on their birthday can be incredibly powerful. That being said, your staff also needs to be professional. Delving too deep into an employee’s personal life can be an HR nightmare, so make sure to find the right balance.
Many different tactics can be used to create a friendly environment and boost morale. Team building events and activities should be thought of as an investment in your employees. Weekend getaways, summer parties, and daily games will all bring your staff together and increase productivity.
5. Give them a reasonable workload
Last but not least, do not overload your workers. Keeping them busy without suffocating them is a difficult task for many leaders. Managers are always looking for new ways to improve efficiency, but throwing more work at their employees isn’t always the best way to do that. Setting unrealistic timelines and goals will eventually have the opposite effect. Your employees might even begin to feel as if they are being punished for emphasizing quality over quantity.
Countless studies have shown us that stressful workplaces and unreasonable workloads destroy efficiency. An employee needs to be given a workload that is appropriate for their position and pay. A stress-free environment is going to increase the quality and quantity of work that is produced by your employees.
While it might not always seem like it, putting employees first is one of the best ways to strengthen a company. Workers who are valued and appreciated tend to be the most loyal, and that always reduces employee turnover rate. From team building exercises to regular rewards for good work, you should constantly be looking for new ways to empower your team and set them on the path to success.