Reasons to Focus on Employee Engagement and Retention
Employees are people too – what a revelation, right? And anyone who believes that the average person can keep their personal lives entirely separate from their work lives, does not understand people very well – what affects the one, affects the other. We bring this up, because employee retention has become a relevant topic in a time where people expect more from their jobs than just a pay check, and employers expect more from their staff than just showing up.
Employee engagement and retention are closely linked – Happy, engaged employees are more productive, innovative, and more likely to stick around. If people become unhappy in their workplace (not necessarily just relating to their salaries), they start to seek out opportunities that will meet their non-financial needs – such as a positive working environment, recognition, opportunities for growth and further development, and transparent communication. Here are some of the reasons why companies should make it a priority to focus on employee engagement and retention:
Although Millennials value job security, they aren’t afraid to change jobs if their needs aren’t met. According to About Leaders, they tend to prefer working for organizations that prioritize values and ethics in the course of their business. By 2020 – next year! – millennials are set to make up thirty five percent of the global workforce; an impetus for businesses to place greater focus on the aspects that this generation values in an employer – reasonable, flexibility and a positive company culture.
Improved employee engagement leads to improved levels of productivity – in large part due to a positive business culture. Organizations that do not focus on improving their culture often face the consequences of poor performance and high turnover rates, which can be extremely disruptive – unmet deadlines paired with having to induct and train new employees.
There’s a major price to pay when an organization loses staff. In 2017, Employee Benefits News reported that staff turnover could cost companies up to 33% of a single employee’s annual salary due to the cost associated with hiring a replacement and bringing them up to speed. That’s not counting the cost of losing and having to replace a highly skilled employee if they do not wish to stay on, or the cost of lowered levels of productivity among staff working their notice.
Low morale and high staff turnover suggest a poor company culture. High turnover rates can have a detrimental effect on employee morale. And chances are that high turnover rates are rooted in some underlying problematic aspect of the organization, which will continue to compel staff to leave until the problem is addressed. If morale is low, it’s imperative that employers put in the effort to gain an understanding of the cause, and to find a solution that will boost it again in a sustainable manner.
Employee engagement is more than just a buzzword – it is a meaningful component of work life that can sink a business if not taken seriously, whether through unproductivity or the failure to retain skilled employees. One of the simplest ways in which your organization can address this problem is by integrating an engagement solution such as Ezzely, an employee engagement platform and app that allows you to meaningfully connect with staff, find out about their pain points, facilitate flexibility, and to start cultivating a positive company culture through feedback, recognition and improved access to learning opportunities. Visit www.ezzely.com to see how we help staff interact to enhance your business.