Employee turnover rates are going through the roof, and this has companies in every industry facing a staggering talent shortage. If your company is already experiencing this increasingly common staffing problem, you’re not alone. In 2015, 38 percent of employers had difficulty filling open positions — the highest this rate has been since 2007.
This isn’t simply about a lack of qualified candidates entering the workforce; rather, it’s a result of increased employee dissatisfaction and high turnover rates. Fortunately, there are steps you can take to address these root causes and increase your employee retention.
Understand the Causes
A lack of engagement is one of the leading causes of unhappiness in the workplace, driving talented employees to leave their place of work and pursue new challenges. A recent Gallup report found that over two thirds of employees are disengaged with their companies. Not only does this dramatically impact their performance, but it increases the likelihood that they will actively or passively search for a new job.Many employees are motivated to this decision by conflict with their managers, either through a lack of common culture or incompatible work styles. In conjunction with disengagement, these problems can spread throughout a company and affect a significant number of your employees.
Many employees are motivated to this decision by conflict with their managers, either through a lack of common culture or incompatible work styles. In conjunction with disengagement, these problems can spread throughout a company and affect a significant number of your employees.
Fixing the Talent Shortage
Many employers address the shortage by working to recruit more talented candidates in the hiring process. However, without addressing internal problems, employers will continue to experience the same struggles with employee turnover.
Begin by evaluating your staff’s engagement with your company, their co-workers, and the work they do. You can improve their level of engagement by creating bonding opportunities both in and out of the workplace. Plan company outings, schedule brainstorming sessions, and offer volunteering opportunities for your staff. This will not only encourage a sense of belonging in your employees, but will also serve as valuable team-building exercises that will only enhance their engagement.
In addition, you should strive to build a welcome, inclusive workplace to increase your employees’ comfort during the workday. This may involve re-designing your office space or holding leadership training to ensure that managers are fully supporting your staff. You can also create training opportunities for your staff to allow them to develop their skill and gain value from your company.
The talent shortage is a serious problem faced by employers around the world, but this risk can be corrected by increasing engagement and managerial skills. Disengagement is one of the greatest risks to your organization, so take strides to correct this problem before it results in higher employee turnover.