What Everyone Needs To Know About Employee Retention Rates – And How To Fix Them
In today’s working world, Millennials have gotten something of a bad rap. They are considered to lack job loyalty, and have even often been referred to as the “job hopping generation.” This statement is based in fact, however, as up to 60% of all Millennial employees have actually stated that they would be more than willing to take a new job elsewhere and leave their current one behind at the drop of a hat, should the new job provide them a better set of opportunities and even benefits.
However, Millennials should really not be blamed for this behavior. After all, it is something that has been going on for quite some time now. Even back in the June of 2015, more than two and a half million employees voluntarily decided to leave their jobs. From the year prior, the June of 2014, this marked an increase in such activity by as much as very nearly one quarter. And in the time that has passed us by since, this is a problem that has only continued to grow – and will likely only continue to increase in the future, should we not take any steps to solve it.
But what, exactly, is behind these poor employee retention rates? The answer is not an easy one, as there are likely many different contributing factors. For one thing, many people feel that the hiring process is a lacking one. A poor skills match is considered to be a leading cause in failed hires by more than one third of surveyed top executives. When an employee is hired but is not a good fit for the position that they are filling, it is most certainly all too likely that they will not stick it out at their job. Having unclear performance objectives is likely to only make this problem worse.
And that’s a problem in and of itself, as many people in all areas of the workforce very much feel that their boss or superior does not help to encourage them in any meaningful way. As a matter of fact, the data gathered is quite clear on this subject indeed. This data shows that only a scant 20% of all employees actually think that their superiors are doing a good job of motivating them to be the best that they can be. The rest are left feeling that such a thing is lacking, something that can all too easily breed apathy about the work that they do.
Fortunately, there are a number of fixes to this problem. For one thing, be smarter about hiring. Using the services of something like a career placement agency or outplacement consulting firm is something that can be hugely beneficial at the end of the day. A career placement agency can help to ensure that the candidates being interviewed are all a good fit for the role. Through working with a career placement agency, many a company can ensure that the process of hiring goes smoothly and successfully. The utilization of a career placement agency is something that will most certainly take a good deal of guess work out of the process.
A career placement agency can also make it easier to foster diversity within the workplace. Fortunately, as anyone working for any kind of career placement agency is likely already aware of, it is clear that diversity is becoming more commonplace in the working world. Already, quarter one of the year of 2017 found female CEOs making up a full 5% of the population of CEOs in this country for the first time ever. And the benefits of gender diversity can even increase overall work performance by as much as 15%, with ethnic diversity even more beneficial and increasing average overall work performance by a full 35%. Using a career placement agency can mean incorporating diversity and getting such benefits with more ease than ever before.
Of course, even small scale changes have been known to make a difference in the working world. An employee recognition program alone can increase overall employee happiness in more than 85% of all companies that implement it.