In the past few years, the issue of employee retention has been at the forefront of conversations regarding changes in the workplace. The Great Resignation still has a hold on the American work landscape, with nearly 20 percent of workers stating this past June that they have plans to quit their positions in 2022.
The absolute havoc wrought by this mass workplace exodus remains to be quantified entirely. Still, the writing is on the wall: employees have upped their expectations as far as what they want from their jobs, from leadership, compensation, and overall career satisfaction.
As leaders, we must ask ourselves: how can we best approach this unprecedented time in American business and not only retain employees but retain happy employees and find success with their venture?
Investing in your employees
When one is a business leader, especially in a startup, they can be pulled in a myriad of directions, especially when it comes to where to best invest in the business. Company wallets can be stretched thin as startups attempt to scale, but investing in employees is always a smart move that will likely pay the business back in spades.
Investing in employees shows them that we care about their success within our organizations. Instead of feeling like they are just another nameless face within our venture, they can feel like an integral part of the ultimate success of the business overall.
Studies show that employees are 94 percent more likely to stay with a company if they feel the company is invested in them and their career trajectory. The more resources a company provides for training, development, and culture, the more likely it will retain a large percentage of its employees long-term.
This employee investment comes as a great benefit to companies. Employees who feel appreciated and are given the tools necessary to succeed and grow within their workplace will give the value they gain back into the company. With everyone on board working towards the company’s success, the chances of business success greatly increase.
How to invest in employee retention
In days past, the occasional pizza day and ‘Casual Friday’ would be satisfactory morsels of investment to keep employees, if not entirely happy — at least content for the time being. Following the pandemic and heading into The Great Resignation of 2021 and 2022, however, millions of employees have changed how they view their workplaces.
People are aware that if their employer doesn’t seem interested in investing in them earnestly, another employer likely will. More flexibility in where people work (and how they work) has allowed employees to take risks by venturing out independently, much to the detriment of companies that have not prioritized their employee retention strategy.
Today’s employee expects open communication with leadership; they want leadership to be plugged into what matters to them most and then deliver. Professional development opportunities are also high on employees’ lists of wants. Workshops, continuing education, and opportunities for advancement are great ways to show employees that you want them to stay with your company for the long haul and that you care about their career development. Along with retaining employees, you will create a team of well-trained, creative employees who will provide excellent work.
Money also talks. With record inflation still maintaining a stranglehold on the country, companies that share their wealth with their employees and pay robust wages will have more favorable retention returns than those that allow pay and benefits to remain stagnant.
Employee satisfaction and retention an important consideration
In 2022, and looking forward to 2023 and beyond, prioritizing employee retention will be vital in building successful ventures. Even the smallest startups and all-remote companies can stand to win with employee retention initiatives that speak to what today’s employees seek in a workplace.
None of the strategies discussed can stand alone as a way to combat the Great Resignation, but when used together, they can serve as the foundation for a stellar workplace where employees are not scrambling to leave. The Great Resignation and the pandemic have opened up many employees’ eyes to their true potential and the value they provide for business owners. By recognizing this value and investing in your employees, you can continue a path towards successful scaling.
