By Simone Allan, director of Mondo Search and an EO Sydney member
Retaining talent is important. I have personally worked in the recruitment industry in Australia for close to 20 years and have found that staff retention may be difficult yet it plays a vital part in the long term success of any business.
Losing a new staff member is not only disruptive however it is also costly. The cost to replace a staff member can be approximately 50-100% of their annual salary. Take control by making retention a strategic issue and addressing the five W’s:
Employees that feel recognised and appreciated for their hard work are more likely to stay in a job and work harder. If an employee knows you will go the extra mile for them, they will go the extra mile for you.
Some workplace incentives include:
- A day off on an employee’s birthday
- Weekly work from home day
- Generous maternity, paternity and adoption leave
- Flexible work hours (focusing on output rather than face time)
- More part-time or job share positions
- Wellbeing programs such as gym memberships, free flu shots, grievance counselling and mental health leave
- A family friendly workplace
- Flexible annual leave (with buy-back schemes)
Workplace planning gives an employee a sense of security as well as a strong sense of direction and development. It also sets you apart from other companies, giving you the edge in hiring and retaining staff. Companies which offer career path planning encourage loyalty and commitment.
What you could do is diarise six monthly reviews. Industries that do this well include Hospitality, Tobacco, Armed Forces and Nursing They often face unique challenges to attracting employees—so they offer solid career plans.
Wallets of Dollars
Although this is not the most critical factor, there are some ways you can consider to provide financial rewards and benefits aside from a generous base salary. For example, sign on bonuses, performance bonuses, and novated leases, leave buybacks, super fund contributions and paid family health cover.
Finding great talent is one thing but keeping it is another. Remember to measure and track retention in all leadership roles over one, two, and five years. Quality metrics drive quality retention. Forming strong retention strategies that encompass the five W’s work and will set you apart and above companies that do not make it a major priority. Having successful retention rates will help your workplace to be more productive and fertilise growth. It will also ultimately save masses of time and money. In summary I suggest you do not neglect the Five W’s. They will help you to have retention that grabs attention! They really are imperative to your business success.