How to retain your best employees

 

How to retain your best employees

How to retain the people that companies want to keep is one of the most common problems they face today. For that it is important to understand the reasons for leaving their jobs and staying. According to that a successful retention management strategy can be created. The degree to which turnover is a concern must be determined in order to develop an effective plan.

First, the reasons for employee turnover must be diagnosed and should create retention plans accordingly. Based on many dependent factors, three literary streams are distinguished: on actual turnover first, ‘the voluntary cessation of membership of an organization by an employee of that organization’ (Morrell et al., 2001, p. 220); second, on turnover intention, ‘the conscious and deliberate willingness of an employee to leave an organization’ (Tett & Meyer, 1993, p. 262); and third, on labor retention, an ‘employee's desire to stay’ (Chiu et al., 2002, p. 407)


Reasons for Organizations lose their employees

• To change jobs 
• To return for studies 
• To move with their spouse when they are transferred out of town 
• Stop working after they reach a specific income level to retire 
• Leave their jobs suddenly out of rage Get fired or laid off

Even if you put a lot of effort into keeping every key employee on board, some of them would still depart. Which means some voluntary turnover can be prevented, while others cannot. For instance, the company could improve the situation if workers are quitting due to low job satisfaction by restructuring roles to give greater challenge or more possibilities for people to develop their talents. Unavoidable turnover results from factors that the company has little or no control over. For instance, the company may not be able to do much to retain workers who leave due to health issues or a desire to go back for studies. Also the company has no control on an employee's decision to start a family. However, it can decide to provide paid maternity leave, on-site childcare, and other perks to encourage working parents to remain with your company.

A person will remain with a company as long as the benefits it provides , such as good working environment, satisfactory pay, and career development) are equivalent to or greater than the commitments (time, effort) that are expected of them by the company. Low commitment and satisfaction can start the withdrawal process, which involves considering leaving, looking for a new employment, weighing your options, and planning to do so. If the company does not handle this process well, turnover may result. Any of these work-related withdrawal-suggestive actions, such as absenteeism, lateness, and poor performance might result in a leave without the individual first conducting a job search, weighing their options, or giving it much thought. These behaviors are known as turnover drivers. Organizations must monitor and change critical elements of the work environment that affect employees' desire to stay in order to prevent turnover.


Furthermore, three primary conclusions for how organizations can best retain these workers are discussed.

• Performance-based incentives can help high performers stay put (while potentially causing turnover among low performers).

• Top performers are more likely to experience turnover in positions or professions with high visibility or transparent performance metrics.

• The higher expenses associated with pay-for-performance schemes can more than make up for their reduced capacity to prevent damaging turnover.

Conclusion

As a summery , by analyzing the nature of turnover in your organization and the extent to which it is a problem , recognizing research findings on the drivers of employee turnover and the decision-making processes employed by employees, identifying the most significant and controllable drivers of turnover in your business and by designing , implementing , and evaluating retention improvement strategies, we can get the most out of the retention management plans.

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References

Griffeth, R.W., Hom, P.W., & Gaertner, S. 2000. A meta-analysis of antecedents and correlates of employee turnover: Update, moderator tests, and research implications for the next millennium. Journal of Management

Mitchell, T.R., Holtom, B.C., & Lee, T.W. 2001. How to keep your best employees: Developing an effective retention policy. Academy of Management Executive.