Retaining Workers: Modern Business Adaptation

Masha -

Many companies, industries and sectors around the world are struggling with employee retention and it has become necessary to re-evaluate the relationship between employers and their employees in an attempt to reverse the trend. Regardless of how the broader public views the importance of the issue, motivating incentives to work hard and improve are crucial in any position. There is a direct connection between employee satisfaction and their loyalty to the company and the corresponding effects:

  • Committed training methods that provide professional challenges and promote
  • Career advancement
  • Opportunities for advancement
  • Competitive wages
  • Social benefits
  • Supportive work environment

Other factors affecting employee satisfaction and retention

  • Corporate values and ethical practices

As environmental concerns play an increasingly larger role in many people's daily lives, all successful, ambitious companies should examine their products and services to determine whether their impact on the environment can be reduced or eliminated. Existing and potential employees are not immune to opinions and outside influences, and some will feel pressured to follow their principles when a company stands in direct opposition to them and shows no signs of acknowledging the problem.

  • Insurance policies

As part of the benefits package offered to each employee, insurance policies, particularly health and dental insurance, can greatly enhance employee loyalty and retention. Travel insurance is also essential if employees travel for work. Purchasing travel insurance for employees who are not traveling for work may even be feasible. It may seem strange for a company to offer its employees travel insurance for their annual vacation, but consider how much appreciation and loyalty can be achieved through such thoughtfulness.

  • Courtesy and respect

These elements should be non-negotiable in a modern company. It is crucial to employee retention that individuals feel like they are part of a larger whole and not just a pawn to be pushed aside by those in power when it suits them. It is all too easy to take lower level workers for granted, which is always a mistake. Loyalty is fostered by many aspects of work life, and none is more important than courtesy and respect. This respect applies not only to the behavior of managers and owners, but also to the behavior of colleagues, business partners and customers.

How valued and satisfied many employees feel depends on these interactions and attitudes. The days when an underlying culture of bullying was acceptable in any work environment should be a thing of the past. By monitoring and evaluating these and other details, leaders can make tangible improvements in the lives of their employees, increase employee retention, and create a company-wide ethos of "we're all in this together."

  • Compatibility of work and private life

As more companies and countries explore the impact of the 4-day week and increased remote work, it is no longer acceptable to insist that a 5-day, 40-hour week is the only way a company can can survive and thrive. With so much information online demonstrating the success of pilots and experiments, it is imperative that modern, forward-thinking companies recognize them and take action.

  • Industrial relations

Although difficult to detect and control from the outside, some practices and agreements can be put in place to facilitate friendly, mutually beneficial working relationships. Team-building exercises and outings can be helpful, but care should be taken not to interfere with employees' free time. Mandatory “fun” activities on weekends or evenings are more likely to lead to frustration and division than to a sense of cohesion and harmonious working relationships.

  • The effectiveness of internal power structures and hierarchies

Nothing frustrates employees on the lower rungs of the corporate ladder more than the feeling that management is counterproductive and a series of stumbling blocks instead of supporting the smooth and stress-free performance of their tasks. In lean, efficient companies, there are no superfluous layers of management to muddy the waters and make life more difficult than necessary.

The devil is in the details

The battle for the hearts and minds of disgruntled or leaving employees will not depend on details like these. Still, every little detail can help stem or even reverse the tide, if done out of a genuine desire to improve the lives of those affected. Sometimes just listening to the complaints and giving the individual time and attention is enough to smooth over problems and reach acceptable agreements. Here too, the responsibility lies with the company management and the owners, who are asked for their consent and consideration. When employees feel like they face an insurmountable obstacle to making their voices heard or creating positive change, they lose courage and interest in doing their jobs.

Startling employee retention statistics

Apollo Technical studies show that the following alarming statistics reflect worker behavior in many advanced countries:

  • About a third of new employees quit after six months.
  • 94% of employees surveyed said they would stay longer at companies that helped them learn and advance through training programs or mentoring opportunities.
  • On average, it costs a company 33% of an employee's annual salary when the employee leaves and is replaced.
  • The most common reasons employees give for leaving their jobs are that they feel undervalued, that their talents are not being used effectively, or that they are not being sufficiently challenged at work.
  • The onboarding process is critical to employee retention: 69% of employees stay at least three years at companies that have a solid, effective onboarding program.

This statistic may surprise many business owners and managers and highlights how important employees are to aspects of their job satisfaction that may previously have been overlooked.

Conclusion

Whether it's creating a culture of positivity, fairness and respect in the work environment or offering bonus travel insurance, one thing is clear across many modern industries. The balance of power has shifted somewhat, and industries that relied on the gentle compliance of workers who should be grateful for their work can no longer do so. As workers become more sophisticated and aware of their rights, any company that fails to acknowledge and address some of the issues highlighted here may face a rocky road ahead.

Prioritizing employee needs fosters loyalty and stability. With IceHrm, streamline processes to ensure a supportive work environment.