Employee Retention Through Development – A Challenge for Business Leaders
Thursday, October 23rd, 2008Retaining employees can be a challenge for business leaders. Positively impacting your retention rates can significantly improve productivity and bottom line results.
Why is it important to hold on to employees?
While unemployment in New Zealand is likely to rise over the next year, much of that unemployment rise will be in the unskilled labour force. Recruiting highly skilled workers and managers in most industries is still relatively challenging. Perhaps more relevant are the time and costs involved in the recruitment and induction process and the impact on business which is not captured adequately by accounting entries as it encompasses the impact on staff and clients when good people leave.
What makes an employee happy?
People generally join organisations but often they leave managers. In an article published by Hay Group, 70% of service employees’ reasons for exit were experience of their manager. This is not too surprising as we already know that managers and leaders account for a significant component of employees job satisfaction.
So what are some of the key compenents that give them that level of satisfaction?
Staff are more likely to be retained if they feel…
- Cared for, understood and valued by their manager or leader
- They have clarity about their development plan
- They are provided with the support to achieve their development goals
As a managers or leader are you doing what you can to retain those people you most value?