Good company culture is defined by its happy employees, who tend to enjoy work when their needs and values are consistent with those in the workplace. Often, the cream of the crop is naturally attracted to those who offer the most – how can your brand do so, while simultaneously optimizing resources?
The answer lies in effective retention policies. Not only do they attract fresh talent, but they also maintain the loyalty of existing employees.
It is no longer an attractive salary that pulls in job-hunters, but the perks and benefits it comes with. “Value Your Employees” should be your ultimate mantra, as retaining talent lies at the core of organizational equilibrium – a prerequisite of the survival of an organization.
While increments and promotions might be expensive, here are 7 realistic ways that do more and do it well.
1. Having a Flexible Work Schedule
Undoubtedly, flexibility tops this list. Today’s workforce values their independence and individualism and giving them the option to choose is a good place to start. Employees have a life outside their job too – and a compressed work schedule based on projected workforce needs benefits them more than one can imagine.
Without the hierarchy looming over their heads, employees enjoy going to the workplace. Research has highlighted links with higher job satisfaction, increased performance and commitment, and low absenteeism.
2. Health Insurance and Other Incentives
Comprehensive health plans, financial incentives, retirement savings plans, sabbaticals are a few tools of the trade. Such policies are not one-size-fits-all, and it is best to be thoughtful and personalize them for maximum benefit.
Childcare leaves, additional off-days, house rent allowances or work transport are also a few significant retention factors, again specific to individual circumstances. A study found that pension (and not wage tilts) had a positive correlation with long-term tenure.
3. Providing Essential Time Off
57% of employees feel less productive and disengaged due to work stress. Goes without saying, unsatisfactory leave is a deal-breaker, as deprivation leads to dissatisfaction and withdrawal cognitions.
On the other hand, ample breaks give workers time to grow and hone their skills. Turnover intentions are best dealt with by offering sufficient vacation, holidays and earned leaves.
Offering leaves alone is not enough. You also need to make it easy for employees to apply for vacation by giving them tools such as mobile app for leave.
Such things greatly strengthen their engagement during the time they spend working. It is best to mutually determine this requirement with the employee on organizational entry.
4. Recognition and Rewards
Every employee wants to be acknowledged for the hard work they do, and understandably so – simple initiatives such as “Employee of the Month” to bigger incentives such as paid business trips go a long way in securing the trust of top performers.
Additionally, it promotes healthy competition and keeps productivity at an all-time high. A peer-to-peer recognition program also works similarly by validating and appreciating where it is required.
You can look at working with some external agencies that can introduce not just new recognitions and rewards but can also help your employees in increasing their take home salary by implementing things such as flexible benefits plans.
5. Prompt Information and Training
Let’s face it: while employee turnover is a huge predicament (separation costs), training new employees is bigger (replacement and training costs). Having them acclimatized and integrated is an inconvenience-no employer wishes to face. Appropriate orientation programs put in place, coupled with the implementation of “work buddies” can do wonders.
All employees should be made aware of the core values and missions of the company so that they are on board with every activity. A growing body of evidence notes – “presenting applicants with a realistic job preview during the recruitment process has a positive effect on retention of those new hires.”
6. Celebration of Their Work
‘All work and no play makes Jack a dull boy’ is a saying never out of style, and the same applies to the office. If not annual excursions or group treks, even team lunches do the job and help co-workers bond. Such social wellness practices establish deep personal relationships, which, in turn, increase embeddedness within the organization.
This helps prevent comparison quitting, because people who are embedded in their jobs have less intent to leave and do not leave as readily as those who aren’t.
7. Toning Down
No, we are not talking of a strict dress codes (albeit something you should consider).
It is common knowledge that in India, most employees impulsively quit due to incompatibility with management and leadership. In this regard, open communication is key to ensuring a safe environment and promoting a healthy work ethic.
Frequent feedback helps weed out issues such as toxic management practices, departmental conflicts and so on, which can interfere with performance and job attitude.
Subsequently, supportive HR practices (participation in the fairness of incentives, decision making, and growth opportunities) contribute to the development of Point of Service plans, which positively affect organizational commitment.
Through strategic HR management, one can improve financial performance through reduced costs associated with high quit rates. Prioritizing these perks leads to easier recruitment and improved retention rates.
In conclusion, they promote better workplace conditions and cultivate a sense of belongingness. By recruiting and retaining the best talent, you gain a competitive advantage. Most importantly, it makes you stand out in the “war for talent” and flourish in today’s competitive hiring market