7 measures that promote employee loyalty
1. flexible working hours
2. remote work
4. good working atmosphere
5. employee development
6. values and corporate culture
7. family friendliness
It has been clear for some time that the shortage of skilled workers is creating an employee market. In many areas, companies can no longer choose at will from a pool of promising talent, but must actively court them. Qualified specialists are in demand and usually know it. When good employees leave, the employer loses knowledge and is confronted with major expenses in the HR area due to lengthy recruitment processes. A high turnover also has a demotivating effect on the remaining team members and lowers productivity, because training has to take place again and again.
Good employee retention (also known as retention management) solves these problems. It takes the pressure off recruiting and creates motivated teams that work together to drive projects forward over a long period of time. This increases the likelihood that employees will recommend the company to others and that it can position itself as an attractive employer in the long term.
A salary increase is often the first means of choice when it comes to retaining staff. But it is by no means the only means, nor is it the most sustainable one. After all, a good salary can be offered by others as well, but it is the individual combination of incentives that makes a company unique. These seven measures ensure strong employee retention.
1. flexible working hours
The pandemic and the associated work in the home office have often automatically made working hours more flexible. But even before that, freedom to arrange working hours was an important factor in retaining employees. It ensures a better work-life balance and more room for individuality. Employees can, for example, start earlier or later depending on their preferences and take a longer lunch break for sports or errands. At the higher level, flexible part-time models and the option of sabbaticals also contribute to staff retention.
2. remote work
Employees have learned to value not only temporal flexibility, but also spatial flexibility. Those who still insist on permanent presence in the office after the pandemic may lose employees as a result. Remote work can take many different forms, depending on the company - from complete independence of location without an office to an office with the option of working from other locations on a daily basis. The important thing is that the concept fits in with the corporate culture and that the workforce agrees with it.
For many employees, a lack of appreciation in the job will become a reason to quit in the long run. They have the impression that their work is not seen and resign. Identification with the company continues to decline. Unfortunately, flexible working models in particular harbor the danger that this area will be neglected. Praise after a successful presentation or a brief acknowledgement for a successfully completed task are more likely to occur in everyday office life than in front of a laptop in the home office. The antidote: employee loyalty through appreciative feedback that is specifically scheduled by managers.
4. A good working atmosphere
If employees feel good about themselves, it often doesn't occur to them to look for another employer. A good working atmosphere with room for individuality, a positive culture of making mistakes and enough time for a little fun contributes greatly to retaining employees. Stable social relationships often develop between team members, making them feel tied to the company. It is therefore worthwhile to promote social exchange, for example through events or organized coffee breaks between remote colleagues.
5. Employee development
If you have a perspective for further development, you don't have to look for it elsewhere. Employers should therefore make it clear that they offer career opportunities and are willing to invest in further training. This can be regular internal offers or a fixed development budget per year. Depending on the size of the company, it may even be interesting to have your own programs, for example for promising young employees or as mentoring.
6. Values and corporate culture
For many younger employees in particular, it is important that they can identify with the company they work for. Values such as sustainability, transparency and diversity are becoming increasingly important. It is therefore promising to redefine or clarify the mission and the foundations of the corporate culture. A deeply rooted culture that is lived out in everyday life strengthens the sense of community and belonging.
7. Family friendliness
A family-friendly company is attractive both to young employees who want to have children later and to parents who do not know whether they would find similarly good conditions with another employer. If companies allow flexibility in terms of space and time, they can score points when it comes to being family-friendly. But there are other things they can offer in this area: Childcare subsidies, parent-child offices or perhaps even their own daycare center. Company social benefits are also a contribution to employee retention among parents, for example with additional insurance or a company pension plan that also provides for surviving dependents in the event of death.
Tailoring employee retention measures to individual needs
Of course, not every employer can offer flexible working hours. But that can perhaps be made up for with exciting team events that strengthen the sense of community. And not every team wants the option to work remotely. When it comes to retention management, it's important to tailor the measures to the company and the needs of the employees. Employee surveys and regular discussions in which managers determine where the wishes lie can help.
Source: Christina Holl (Xing)