Employee Retention and Employee Turnover

Employee retention is defined as the ability of an organization in keeping its talent, thereby reducing employee turnover. It is a metric defined by the percentage of employees staying with their company over a given period of time. Employee retention is oftentimes a true indicator of business success.

Employee turnover goes hand in hand with employee retention. It is defined as the percentage of employees who leave the organization over a specific period of time. Companies with high retention rates often have lower turnover. 

Did you know that 1/3 of employees quit after six months?

Employee Turnover is Not Cheap

Research has it that replacing an employee who quits costs 21% of their annual pay. Replacing employees is not an easy feat. Productivity losses associated with it are actually more than what it might appear to be.

In today’s era, there is a huge competition for the best talent. More often, it is pay and a career path that determines whether employees decide to jump ship or not. 

With this as a major consideration, employers need to find effective ways to encourage employees to stay. While there may be more than a hundred reasons for rapid employee turnover, it is more important to discuss strategies that could help employees feel valued, supported, and even empowered.

Strategies to Make Them Stay

Employee retention is a crucial part of an organization’s success. Here are seven sure ways to help your company keep its best talent:

1. Hire the right people

Yes, it pays to make smart hiring decisions. While skillsets and experiences may be among the most important features most companies hire on, never discount personality and values.

Get to know your candidates well, and choose wisely. Make sure they are passionate about what the company is passionate about as well. 

The company’s purpose should also become their purpose. This way, you prevent burnout and turnover.

2. Make your onboarding process comprehensive

Your company’s onboarding should not be rushed. Always take into consideration that different people have different learning timelines. Thus, onboarding shouldn’t be too short or too long, either.

Make sure your onboarding process covers the following points:

• Encouragement tips on how to hardwire your employees to be successful in their position 
• Set the right expectations and clarify vague points
• Don’t forget to mention and illustrate company culture and norms
• Explain in detail all policies and procedures

3. Give competitive pay

Of course, pay determines a company’s ability to attract and retain talent. Make sure you are aware of the current salary trends in the job market and ensure that it translates to your company.

One of the main reasons for burnout is inadequate pay, which of course pushes the best talent to find other opportunities.

4. Discuss and outline opportunities for growth and development

A survey has it that 94% of employees stay with employers who are willing to invest in their career growth and learning. 

Let your employees participate in seminars, training, and upskilling workshops. Clarify opportunities for growth.

5. Listen to your employees

Your employee’s perceptions of their job, their environment, and their superiors are vital for the improvement of the overall employee experience. Giving them a space to share their insights will help them feel valued.

Try to get in touch with these perceptions from time to time using surveys and polls. It will prove very helpful to the organization in the long run and can be vital for the company to gain momentum using evidence-based action.

6. Offer flexibility

The COVID-19 pandemic has changed a lot of perceptions regarding meetings and events. What we thought before was undoable, became attainable.

For instance, a win-win situation can be achieved when face-to-face meetings are accomplished as virtual meetings, allowing flexibility in the employee’s time and place of work. Flexibility gives the employees a sense of autonomy in terms of their time and space. 

Micromanaging is now a thing of the past. Employees stay when they are given the freedom to decide how to go about their tasks within a specified time. And guess what, they perform better too!

7. Provide the right benefits – including a comprehensive health benefit

This is the highlight of all strategies - employees are more likely to stay if they like their health plan!

Furthermore, survey results revealed that 56% of adults with employer-sponsored benefits said that their decision to stay with an organization is dependent on whether or not they like their health coverage. A whopping 46% further revealed that the presence of health insurance is crucial in job selection.

So where can we get the ideal comprehensive health benefits package that we need to promote employee satisfaction?

Direct primary care (DPC) enrollment as a tool for employee retention

While DPC may be a novel concept for many employers, it is crucial that they become aware of the comprehensive benefits that come with DPC enrollment. 

Costs are the top dissatisfaction driver of employees in terms of health plans. In terms of satisfaction drivers, comprehensive health coverage comes in first then followed by affordability.

DPC gives the advantage of both comprehensive yet affordable health coverage. On top of that, DPC gives the unequaled advantage of preventive care, making it almost unnecessary to get health insurance for chronic diseases.

DPC reinforces listening and quality time with employees. Unrushed clinic visits as well as 24/7 teleconsultations are unparalleled avenues of medical care that remain underutilized. 

DPC enrollment is a sure edge over those who only utilize health insurance as the sole health benefits provider of employees and their dependents.

Learn more about the advantages of direct primary care and how it can help resolve the problem of employee retention and turnover. Book a call with us today!