Believe it or not, there are some companies out there who believe that having high staff turnover isn’t an issue. They think that having staff rolling in and out of their company regularly makes the company ‘dynamic,’ and means that they’re always dealing with new ideas. Don’t be tempted into that way of thinking. We agree completely that it’s important for a company to be dynamic, but that dynamism comes from a way of thinking and behaving, not from processing humans as if they were cattle and shouting ‘next’ every time someone quits.
High turnover is bad for more reasons than we have space to go into here. It unsettled your remaining staff, who are constantly meeting and then saying goodbye to new people and having to pick up the slack of those who are gone in the meantime. It unsettles your customers, who never get the same point of contact twice. It also impacts your performance. Think of your business as if it were an online slots game, and all your staff were symbols on the reels. As is true of any online slots game, some of those symbols are worth more than others. Your best return comes when the higher-value symbols all line up perfectly. When that happens in the context of a game like 9 masks of Fire online slot, we call that a jackpot. You’ll never hit that jackpot if your best symbols are always out of position, and you’ll spend endless amounts of money chasing it by trying to spin and respin the symbols until the right ones appear. This is how online slots websites generally make more money than the people who play games on them, and it’s also how people lose money.
We can’t prevent people from looking for pastures new elsewhere, and nor can we change the fact that sometimes people genuinely should be let go. There are a few things we can do to bring a high turnover rate down, though, and if it’s a problem you’re experiencing at the moment, all of these options are worth your consideration.
Identify The Common Cause, and Fire Them
Firing people to bring down staff turnover might seem counter-intuitive, but bear with us here. We’re not talking about firing your entry-level employees, or even some of the more established members of your team. We’re talking about firing managers, and specifically managers whose names come up again and again in grievances, complaints, and exit interviews. You know who these people are. Every company knows who these people are, and yet, for reasons that have never made sense to us, companies are reluctant to dismiss them. Buck the trend, cut the cord and let them go. One bad manager can cost you multiple good employees, and there’s no reason to put up with the situation.
Get Rid Of Performance Reviews
Managers hate giving performance reviews to staff. Staff hate their performance reviews because they feel like a needlessly long forensic investigation into every aspect of their work, during which they’re frequently asked to justify themselves. They’re stressful, demoralizing, and unnecessary. Why do we persist with this situation where once a year, or once every six months, employees are asked to put aside an hour or more to explain why they’re good at their job? Why don’t you know that about them already? Multiple studies have shown that appraisals and performance reviews are largely pointless. Ditch them. Have monthly or bi-weekly catch-ups instead in a less formal setting, and deal with issues as they arise rather than doing it in six months’ time.
Offer Flexible Hours
This recent prolonged period of people working from home ought to have taught businesses a lot about who does and doesn’t need to be in the office, and when those people do (or don’t) need to be in the office. What almost every company has found is that most jobs can be done remotely, and there are no circumstances in which it would be strategically necessary to have everyone in the same place at the same time unless there was a large-scale meeting or an announcement to make. The days of the world working 9-5 are over. Sometimes you’ll need people to start earlier. Other times you’ll want people to work later. Give your employees a say in the matter. If they want to do all their working hours between Monday and Thursday, let them. If they prefer evenings to mornings, let them work evenings. So long as you always have the right cover in place when you need it, encourage flexibility.
Check Your Incentive Structure
We get that you don’t have limitless amounts of cash to throw at employee incentive schemes, and we also get that you’re paying them a salary already. What you might need to get, though, is that your rivals are probably offering their employees something that you’re not. If you have high staff turnover, where are your departing employees going? Are a disproportionate number of them all headed to the same firm? If so, what’s the difference between your package and your rival company’s package? Gather as much information as you can, and even if you can’t match the proposal exactly, narrow the gap as much as you can. Incentive schemes need to be reviewed regularly. Too many companies thrash them out during the company’s formation and then leave them unchanged for years.
Recruit From Within
It’s remarkable that so many companies feel that recruiting from within the business is an alien concept. Whenever you have a management-level post opening up, you’re admitting to structural failure if your first thought is to contact your recruitment department and go looking for external candidates. Forward-thinking companies do very little – if any – external recruitment. Instead, they train up the employees they already have and promote them to the next level when they’re ready. You shouldn’t have holes in your managerial team because you should have multiple employees who are ready and able to step up to the managerial level. If you don’t, serious questions have to be asked of your training department – unless, of course, you don’t have a training department, in which case you can already guess what our next suggestion would be!
These are five steps that should apply to any business of any size and any nature, and they’re not difficult to pick up and work with. Even if you don’t believe us, what have you got to lose by giving them a try if your turnover rate is already high? You might surprise yourself, and if you do, you’ll have a happier and healthier workplace because of that surprise.