3 Methods for Reducing Employee Turnover

For certain, you’ve noticed how quickly employees move between jobs these days. The numbers are eye-opening: around 65% of Gen Z employees leave their roles within the first year, and 21% of millennials follow suit. And if your company is not exploring ways of reducing employee turnover, then you might be missing out on building a thriving, loyal workforce.

Turnover rates aren’t just statistics—they’re warning signs that something needs to change. It’s 2025, and it’s time to explore innovative methods to reduce staff turnover and create workplaces that employees love.

Since you're reading this article, you've already taken the right first step. We're going to dive into some promising ways to bring down your employee turnover, nurturing a work environment that helps people grow and prosper — while still being as productive as ever.

Let's begin!

Why Do Employees Leave in the First Place?

Before we try to make amends, it's important to first fully understand the problem at hand. What exactly is driving folks to quit? Because Gen Zs and millennials, for instance, tend to hop between jobs often. So, if businesses could look at things from their perspective, it could help to understand the driving factors behind their decisions to hand in those resignation letters.

Let’s break it down.

1. Unmanageable Workload 

People leaving their jobs is actually a normal part of business life. But when turnover rates spike beyond 10% annually, it’s a sign of deeper problems. Millennials and Gen Zs, now comprising over half the workforce, are vocal about their reasons for leaving. If you’re looking to reduce employee turnover, it’s crucial to address the underlying causes, most particularly the workload.

A big workload is one of the main reasons workers quit their jobs. It makes sense—never-ending tasks and crazy deadlines can burn people out, stress them out, and even make them sick. Long-term stress has a link to all sorts of problems, from mental health issues to getting less done, and it doesn't just hurt workers—it has an impact on profits. So, if your company isn't dealing with workload problems, it's time to act to start reducing employee turnover.

2. Work Environment

The pandemic has changed how we work, and workers now want workplaces to keep up with the times. Many workers, especially younger ones, want mixed setups, chances to work from home, or different schedules that fit their lives better. Because of this, a good work environment that cares about people connecting, feeling included, and liking their jobs is key to reducing employee turnover.

But being flexible isn't just about where people work—it's also about how they feel while they work. When employees face a poor work culture, negative communication, or a lack of inclusion and psychological safety, they are more likely to disengage and leave. On the other hand, fostering strong relationships, creating comfortable work environments (both online and in person), and ensuring clear communication can significantly enhance retention and job satisfaction.

Take a good look at how your workplace operates, whether it's in-person or online. Do you make it easy for people to work together? Do your team members feel at ease and get the support they need in their jobs?

Assess your workplace dynamics—both physical and virtual. Are you encouraging collaboration? Are employees comfortable and supported in their roles? A supportive work environment can go a long way in reducing employee turnover and improving overall workplace satisfaction.

3. Salary 

Let’s not look the other way: under-compensation is a deal-breaker. Employees are increasingly aware of their market value and won’t hesitate to move if they find better pay elsewhere.

It's not just about the paycheck—it's about feeling appreciated. Think about taking on more work without extra pay or recognition. Annoying, isn't it? Regular pay reviews and showing gratitude are must-haves for reducing employee turnover and keeping staff from leaving.

So How Can We Keep Employees from Quitting?

Now that we've looked at why people quit let's check out some real ways to reduce employee turnover:

1. Welcoming Onboarding Program

First meetings count, and a friendly well-planned start sets the stage for long-term teamwork. Help new hires feel informed, backed, and excited about your company's environment from their first day.

Make sure your program adapts and fits each person. For example, if you let people work from home or have staff who often travel, introducing tools like VPN for travel can make sure they have safe access to the company’s stuff anywhere anytime.

If you want to heighten inclusivity at work, implementing mentorship programs, diverse team-building activities, and regular feedback sessions can help new hires feel valued.

Remember, onboarding is not just about paperwork—it’s about creating a connection that motivates employees to envision a long-term future with your company.

2. Modern Management Culture

Traditional management styles can feel outdated and restrictive, especially for younger generations. So why rely on these conventional practices when you can adopt more modern organizational models that streamline workflows, clarify roles, and foster transparency? By doing so, employees can focus on meaningful work instead of wasting time looking for information and battling inefficiencies.

A modernized management culture plays a key role in reducing employee turnover, as it empowers employees and gives them a clearer sense of purpose in their work.

Want to learn more about modern management models? Download our ebook 👇

3. Rewarding Efforts

It’s already 2025, and let’s be honest: pizza parties are not cutting it anymore. While competitive pay is important, it’s not the only factor that keeps employees engaged. Millennials and Gen Zs are looking for meaning and recognition in their work.

Celebrate milestones thoughtfully—don’t just throw together last-minute acknowledgments. If a team crushes a deadline or wraps up a major project, reward them with something tangible, like a paid vacation day or an extended weekend. 

These gestures are meant to show that you place greater importance to their efforts than what their paycheck is worth.

Ensure people have time to rest by backing their time-off requests and fostering a culture of mental wellness. An employee who feels appreciated and well-rested is far more likely to be loyal and productive.

In a Nutshell: Ways to Maintain Employee Retention

Systemic issues often cause high turnover rates at an organization. Solving these problems can greatly improve employee retention and support in your workplace.

Employees should not feel like they have to leave a workplace when society makes it very difficult to find jobs. If you care about creating a society where strong relationships between peers and positive growth by respecting each other becomes the norm, the story can change.

It’s not only about completing the tasks that come with the job; it is about building relationships and a feeling of belonging along the way. So, may your workplace become a hub where employees connect and grow together.

Want to discover additional strategies for reducing employee turnover and retaining your top talent? Check out our white paper 👇

Access the White Paper

In our white paper “How do you build employee loyalty and prevent quiet quitting?”, you’ll discover: the origins of the quiet quitting phenomenon, the main causes of disengagement at work, and the buttons to tweak to raise retention of top talent and stave off quiet quitting.