High employee turnover rate can cost many organisations twice as much as retaining the existing employee as organisations spend huge amounts of time and money in hiring, recruitment and training new employees.
There are various reasons for employees to leave a company. Employees tend to leave because of lack of trust and respect, for not being appreciated and lack of growth and development opportunities within an organisation. Employees now-a-days are typically always on the lookout for new platforms where there are learning and growth opportunities rather than staying at one company for years. In this era, building a loyalty towards organisation play a vital role in retaining the employee. Increased employee turnover has an adverse impact on other loyal employees in an organisation.
Here are the 5 ways to build loyalty among employees and reduce employee turnover rate –
- There’s no perfect employee. Hire the one who’s a culture fit.
Many organisations spend enormous efforts to hire a ‘Perfect’ candidate for the task. Recruiters often focus on qualification and achievements of the candidate. However, they ignore the morals of employee to understand if he/she can blend in with the culture of the company. To ensure that the right employees are working for you, the first step is to find the one who nurture and celebrate organisation’s traditions.
- Ensure work-life balance
Maintaining work-life balance ensures employee’s physical and mental well-being. Healthy work-life balance also helps in increasing productivity and efficiency. Providing employees with flexible timings helps them meet personal obligations and take up family responsibilities.
- Build a sense of ownership
A sense of ownership helps in accelerating the growth and development of an individual as well as the success of an organisation. Supporting entrepreneurial thinking, supporting employees’ freedom and responsibility builds a sense of ownership among employees. Employees who take up ownership of their tasks, provides a more accurate and efficient outcome and stay loyal towards an organisation.
- Encourage training and development for employees
‘There is only one thing worse than training employees and losing them, and that’s not training them and keeping them’ – Zig Ziglar. Employees often feel that there are no longer new growth opportunities at workplace. This leads to rise in burnout of employees. Employees are required to be trained and up-skilled on regular basis to satisfy their learning needs and keep them updated with current industry trends. Many Corporate Training programs are designed in a way that facilitates improved productivity, quality and wastage reduction.
- Maintain effective communication and transparency
Too often management keep their employees in the dark about major decisions relevant to employees. This leaves employees in confusion and lack of clarity. Employees feel important when decisions relevant to them are communicated and consulted with them.