6 Proven Ways to Increase Employee Retention

When it comes down to it, no business is looking to hire an employee for the short-term. Businesses want to hire employees that are going to be long-term solutions for their needs. It costs money to look for an employee, train an employee, and keep them around.

All of that time and effort will be wasted if the employee simply turns around and leaves, and that puts the business in a bigger hole. Not only do they have to look for a replacement, but they’re going to have to shell out extra money to do so.

That’s why it’s important for any business, from start-ups to veterans in the industry, to have as high of an employee retention rate as possible.

What are some of the methods and ways businesses can go about ensuring that they keep their employees around? Below, we discuss six effective methods.

1- Flexibility

It would be great if everything ran like a well-oiled machine but things in life rarely do. That’s why you need to show flexibility in the workplace.

If your employee is taking a sales call outside of normal hours, it’s OK to let them come in an extra hour or two late the following work day. It’s not going to be the end of the world if that happens.

Many businesses are letting their employees choose between flexible work hours, in an “if the job is done, that’s the most important thing” type of approach. See if this is an option for your business and research how you might be able to implement it.

2- Offer Incentives

Even the busiest of bees like to know that their work and due diligence is being appreciated. Take time to think about what incentives you could be offering to your employees. It doesn’t have to be a huge bonus every month, but you can hand out small gifts for hard work.

You can also offer company wide incentives like retreats. Pick a place, load everyone up on the bus, and head out for a day or a weekend of adventure and fun.

3- Pay Well

This one should be obvious, right? When it comes down to it, people simply like earning money and knowing they’re being paid well for the job that they do.

In a job market where unemployment is hovering close to zero, employees are often looking for the next opportunity as a way to receive a salary bump. Do your best to keep salaries as high as possible to ensure your employees aren’t looking to jump overboard.

4- Make Advancement Clear

The question “where do you see yourself in 10 years” is never a fun one at interviews, but most people would hope they would be in a different job in a decade’s time. When hiring employees, be direct about advancement opportunities and what they can do to reach those points.

Reward those employees for their hard work by offering education and promotions. No one wants to feel like they’re stuck in a rut after working at a company for multiple years.

5- Encourage Feedback

Even though as the boss, your word is usually your decision, it’s important for employees to know that they too can have a word or option of giving feedback. Make sure your door is always open and you’re willing to talk to employees about their doubts or questions.

More than anything, you’re giving people the chance to be heard and the opportunity to feel like they’re being listened to. It’s not that complicated, as any individual wants to feel like they have a voice and an opinion.

6- Hire the Right People

While sometimes outside life circumstances can take a person away from a certain job, it’s important to make sure you’re hiring the right people. Do your due diligence on their profile and be sure to ask them plenty of questions about their future with the company.

Make sure they’re not only going to be a great employee and asset, but that they fit into the company culture and mission well. Hiring like-minded people who share your vision is a way to ensure that employees are sticking around for the long haul. Look at the entire recruiting process as the long-term solution, instead of an immediate fix.