Employee Retention

Introduction

Employee retention could be improved by cultivating an environment that is conducive to each through a corporate culture, a policy for promoting a diverse workforce, proper employee practices, and giving workers a voice. Employee retention is the capability of a firm to retain its workers. Retentions of an employee can get symbolized through the use of simple statistics, for instance, 75% retention implies that the company kept 75% of its workers in a particular period. Nevertheless, several people tend to think that retention of the employee as the employer’s effort to try and retain workers in his or her or workforce (Sheridan, 1992). Using this sense, retentions seems to be a strategy instead of a result. In an environment of business, the employer’s objective is to reduce the turnover of the employee, thus reducing the cost of training and recruitment, organizational talent, and losing talents. By applying lessons that are learned from the main behavior concept of a firm, the employers can improve their rate of retentions and reduce turnover costs. However, this is not normally the case. The employers may look for positive turnover where their aim is to maintain the workers they feel to be performers.

Employers should make use of positive methods of reinforcement and at the same time sustaining expected factors of hygiene to improve the satisfaction of workers and reduce. How to retain workers has competitive advantage benefits, which include financial incentives like raising their salary, listening to them, involving them in decision-making, giving bonuses and many more. Reducing poor performance and high performers moving to new ranks- the leaders should communicate the mission for his business. Feeling linked to the goal of the firm is a way of keeping the workers emotionally and mentally attached to the firm. One should give financial rewards. The leader or the management should have an option of giving stock option or other financial rewards for the workers who reach the goals of performance and who stay for a certain period in the firm. Additionally, one should offer meaningful yearly raises.  Nothing improves the enthusiasm of a worker more than a pay rise.  If one can afford, they should offer more to those that are performing exemplary well. Additionally, if one does not want to get stuck with the huge increase, they should form a structure of bonus where the workers can get a yearly bonus if any of them reach a predetermined performance goal (Gberevbie, 2008).  And one should ensure that the workers are aware of what they are expected to do. It may tend to be obvious, but normally in small firms, workers have several responsibilities, hence, if they are not aware what their job entails and what the employers require them to do, they will not be able to perform to the expected standard and morale can start going down.

One should consider hiring a Human resource manager- if a company has a hundred workers, one should hire a human resource manager whose work will be to streamline and oversee the processes and the structure of the workers.  Having one person to be in charge of controlling workers benefits, reviews, and perks ensure that the workers get treat justly (Eisenberger,Stinglhamber, Vandenberghe, Sucharski & Rhoades,2002). Also, the human resource managers are usually more updated on employment trends and laws.  They can create different perks and programs that the owner of the company may not be aware existed. Online devices: calculator of return on engagement, this a device that figures the yearly savings of making the workers increase effort and remain attached to the company and the rest of the behaviors linked with motivation and commitment. Bad hire calculator- a device that determines the hiring cost of a worker who do not work out, considering advertising, training, and other related expenses from the world of human resource and a trade publication of human resource.  Cost per hire calculator- a device that considers the hiring cost of a job applicant considering relocation, recruiter, advertising and travel, from trade publication of human resource and the world of HR. Tips for retaining workers begin with the process of application.  The initial look of the firm by the applicant, followed by the initial impression of the worker at the time of orientation, plus the following awards, rate of performance, conditions of working environment and promotions, are factors that influence whether the worker will leave or stay (Eisenberger, Stinglhamber, Vandenberghe, Sucharski & Rhoades, 2002).

Show leadership accountability and commitment- a firm leader should offer a work environment whereby workers wish to establish careers instead of just having a job.  A vital part of growing the loyalty and satisfaction of workers starts at the top with the senior officials; who communicate that EEO is a vital part of the mission of the firm. Make sure the workers from different background and culture get treated justly, accepted and respected(Tapia & Kvasny, 2004). Offer equal and just opportunities that workers require so as to unleash their maximum potential. The manager should be held accountable in a case where a worker leaves because of lacking EEO compliance.  The firm should always review its recruitment practices and policies and gather and evaluate applicant flow information to make sure that they are appealing and justly factoring the widest and different possible pool of applicant. Slow, it is important for firms to recognize the significance of having managers and supervisors who have sufficient skills, attitude and knowledge to form a model EEO workplace. By that the personnel law modules and EEO should get included in the training session of manager and supervisor (Tangthong, Trimetsoontorn & Rojniruntikul, 2014).  A company should also form special emphasis programs and work together with groups of affinity.  By forming and using these programs and partnering with the affinity groups, firms can increase worker awareness of the significance of diversification and show the commitment of the firm to a model EEO workplace.

Carry out the opinion survey of the workers and 36 degree analysis. Opinion survey and 360 degree analysis can assist the firm to evaluate the pulse of their workers and make some changes before workers make a decision of leaving. Firms can use this device to hold managers and supervisors accountable for low ratings and give them awards for high ratings. There are competitive and places of work where unevenness is contempt and failure intolerable.  In addition, people who excel in these surroundings seem to be, players who have deep ambition.  And they are normally on the lookout for better options.  So how can employers who are high performers retain these decisive workers? The issue is normally on how firms approach retention reactively.  The issues of retention get ignored until the firm deduce a worker might bail, at which level it get addressed by giving the worker some inducement to stay, and then it get back to business normally. This kind of approach might function for a while but does not do anything to cultivate the loyalty of long term. An approach which is better is addressing retention proactively.

According to Gberevbie (2008), retention strategy should aim and address four main components, communication, competitive advantage, performance, and communication:

Performance- the advantage of having goals that are measurable for workers is obvious to several managers and owners of businesses, but this insight normally stops short of connecting performance metrics to retention of workers. Research confirms that individuals have an intense wish to feel that they are achieving and that their skills and talents are getting utilized in a manner that makes a difference to the business. When individuals feel that their actions are accomplishing this wish, they start to build up a sense of belonging and that feeling the business is also like their business. People are happy when in the process of succeeding in life. Vivid and goals that are achievable that evaluate a company, personal and team performance offer the feedback that workers require to confirm that they are adding vital contributions and fulfill desirable goals (Gberevbie, 2008).

According to Spenser (1986), Communication- this is another vital component in the strategy of communication, especially a process of communication that is aimed at informing, emphasizing and reaffirming to workers that their contributions at the workplace are having an impact. Due to dealing with workers directly on how they feel about the manner in which they are performing, organization and their working conditions, communicating with the staff will give one an insight that one needs so as to be aware of how the workers feel about working in the firm. The question is how always does the leader communicate with the employees?  And is it a two-way communication, does the company offer non-threatening way for them to offer their suggestions and comments? A sensitive and effective plan of communication provides one with an insight on what is moving workers morale and how the personnel feels about the organization.

Loyalty- this is another component in the strategy of workers retention. True loyalty is not a forced obligation but it an earned response to the commitments, respect and trust depicted to the people n the organization. When one shows loyalty to the workers, they show loyalty and commitment to the business. One should always keep in mind that individuals do not start their employment as being loyal, but they will become loyal to time as they get appreciated, respected and trusted by the managers and the owner of the business (Gberevbie, 2008).

The other element in the strategy of worker retention is a competitive advantage. At first, this may seem odd, but think about it: individuals wish to work for somebody who is a winner. What sets the firm apart the competition? How the owner is, and, as a result, the workers who are making a difference in the company, in the community, And for the clients? One should take the time to spot and inform both the workers and the clients about the company’s special competitive advantage. If the company’s product is the same as others in the market, the services that the company offers can be what differentiate the company from the rest (Gberevbie, 2008).

Conclusion

 Individuals wish to associate themselves with the winners, and that include the workers.  Together the four components can offer the company with a strategy retention which can produce amazing outcomes. The key thing is making sure the company combines the four components workers who are genuine and committed to serving clients over a long period.

References

Eisenberger, R., Stinglhamber, F., Vandenberghe, C., Sucharski, I., & Rhoades, L. (2002). Perceived supervisor support: Contributions to perceived organizational support and employee retention.Journal Of Applied Psychology, 87(3), 565-573. doi:10.1037//0021-9010.87.3.565

Gberevbie, D. (2008). Employee Retention Strategies And Organizational Performance. IFE Psychologia, 16(2). doi:10.4314/ifep.v16i2.23807

Sheridan, J. (1992). Organizational Culture And Employee Rententio. Academy Of Management Journal, 35(5), 1036-1056. Doi:10.2307/256539

Spencer, D. (1986). Employee Voice And Employee Retention. Academy Of Management Journal, 29(3), 488-502. doi:10.2307/256220

Tangthong, S., Trimetsoontorn, J., & Rojniruntikul, N. (2014). HRM Practices and Employee Retention in Thailand—A Literature Review. International Journal Of Trade, Economics And Finance, 5(2), 162-166. doi:10.7763/ijtef.2014.v5.362

Tapia, A. H., & Kvasny, L. (2004). Recruitment is never enough: retention of women and minorities in the IT workplace. In Proceedings of the 2004 SIGMIS conference on Computer personnel research: Careers, culture, and ethics in a networked environment (pp. 84-91). ACM.