Employee retention

Employee retention is the capacity for an organization to keep its talented employees working in, rather than seeing them churn.

It is possible to calculate the employee retention rate to evaluate an organization's potential to favor employee retention with the following formula : (total employee - employees that left) / total employees X 100.

Employee retention can be impacted when employees do not feel fulfilled and motivated in an organization. Competitors' corporate communication, a lack of satisfaction, and poor enterprise culture can lead to a turnover if employees think they would be more bloomed in another organization. That is why managers have to understand their employees and propose them opportunities to grow to keep them.

Indeed, employee retention is a strategic asset for organizations for many reasons. Here are some of the most effective employee retention strategies:

• Good employee retention reduces costs because investments needed to train employees and make them more productive are lost if they leave the organization. Plus, hiring process is expansive and time-consuming.
• It makes the company healthier because when nobody leaves, nobody is disturbed by potential changes.
• It allows sustaining productivity because professionals who work for long periods in an organization, deeply understand its vision and represent a significant value. They acquire important skills.
• When an employee leaves the organization, they often churn for competitors because they want to work in the same sector and represent a significant value for them.

Organizations lead strategies to maintain good employee retention. It often begins with a specific onboarding process to initiate new employees to the organization's culture and orient them toward adequate training.

Then, managers must respect some subtle principles to maintain a working environment that supports current staff in remaining with the company. It increases employee happiness and productivity, and reduces employee turnover.

Here are some of the most used:

• Propose challenging work to acquire new skills and grow through their working experience in the organization. It increases employee engagement.
• Propose compensation and benefits like health insurance and discounts and bonuses and pay raises to give them one more reason to stay.
• Train them in cross-disciplinary skills to maintain the stimulation with various tasks and allow them to develop professionally.
• Define a succession plan to make them know where they are in the organization and where they might aim.

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