How to Reduce Your Employee Turnover Rate

Employee turnover rate

Instead of constantly looking for new employees, why not work on your turnover rates?

There are some industries where a high turnover rate is accepted, or even expected, as a way of life. But for most industries, a high turnover rate could mean there is something other than one unhappy employee. Many businesses are trying to do all they can to decrease its turnover rate. If your business is experiencing this phenomenon, it could be time to look into some ways to inspire loyalty from your employees. Let’s take a look at some tips for reducing your employee turnover rate.

Hiring the Right People

While we have talked about hiring good employees before, it is always a trait you should be looking for when staffing any of your departments. The best way to ensure your employees won’t leave three months after being hired is the make sure you are hiring the best employees, to begin with. Make sure to clearly define the roles of the job and your company culture to the candidates before hiring them.

Fire People Who Don’t Fit

No one likes firing people but firing people who do not fit in with your expectations may be the best decision you make for your company. Letting go of someone who is not the right fit for your company will help save you time and money in the long run. Whether the person doesn’t fit in with your company culture or they just aren’t doing their job correctly, it is better to let them go than to try time and again to get them to fit in.

Keep Compensation and Benefits Current

One of the most common reasons for people leaving their current position is finding one that has better pay or better benefits. But who can blame them when they are working below industry standards at your company? To help retain your employees, make sure your compensation rates and benefits are current with industry standards. If you don’t want to raise everyone at once, consider offering raises with employee development or quarterly goals.

Offer Flexibility

Many of today’s employees crave a good work/life balance and this balance will directly impact your employee retention. A Boston College Center for Work and Family study found that 76 percent of managers and 80 percent of employees said that flexible work hours had a positive effect on their retention. Many employees will willingly leave a company they have been with for years for one that will offer flexible hours so they can spend more time with their families. So think about being flexible.

Prioritize Happiness

The word “happiness” may be a bit taboo when it comes to the business world, but this is the number one factor in lowering an employee turnover rate. Employee happiness is one of the best indicators of job satisfaction and absenteeism. Prioritizing employee happiness will let them engage in your company and could even lower turnover rates.

A high employee turnover rate not only costs your business thousands of dollars in lost productivity and time, it could also reflect badly on your business’s reputation. But following these tips will help your employees feel better about coming to work every day.

Reducing Employee Turnover Rates with AIR Pre-Hire

AIR Pre-Hire in Reisterstown, MD, conducts accurate and verified universal background screening, so you will have thorough background checks on your employees. Here at AIR Pre-Hire we don’t simply check the basic information, we dig deep to identify inconsistencies and make sure your potential employees (as well as existing employees) are acceptable for hire. This is the human element of our custom pre-screening service. You can count on us for timely, verified pre-screening and employee re-screening.

Learn more by visiting our website or calling us at 1-800-469-4473. Check us out on Facebook, Twitter, Google+, and Pinterest as well.

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