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March 28, 2020

High employee turnover causes serious problems; here’s how to solve them

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High employee turnover causes serious problems; here’s how to solve them.

Retaining top talent is a priority for every organization. As a business leader or entrepreneur, high turnover can have a significant effect on your company’s everyday operations and profitability.

Turnover can stem from many reasons, including poor leadership skills, weak corporate culture, inadequate hiring practices and lack of career advancement. If you want to retain a valued workforce, read on to learn about the impacts of high turnover on a company and how you can combat it with the proper business strategies.

When employees are constantly coming and going, remaining workers can get distracted from your company’s mission and may not work productively to meet important goals. This can affect team dynamics in the office and the effectiveness of work.

Production could be delayed or even come to a standstill, especially if key employees quit without notice. The quality of your products and services can suffer as a result, which can lead to customer satisfaction issues.

It can be costly when you have to replace employees frequently, especially those who have the most experience. Your company can take a serious hit from the costs of recruiting, interviewing, onboarding, and training possible replacements. On average, it costs about $17,000 to replace an employee who is making median wage in the U.S.

Leadership

One way to counteract turnover rates in your workplace is with better leadership. Providing managers with training for setting effective goals, giving feedback, and recognizing and rewarding employees can help retain valuable staff.

When leaders are personable, communicative and qualified to lead, they provide positive work environments, which can lead to a more motivated and productive workforce. Effective leadership also can help employees feel valued and that their job matters to the company.

For more information on how turnover can impact your business and how you can rectify it, take a look at the accompanying infographic.

— Pam Verhoff is President of Advanced RPO, a talent acquisition company in Chicago, IL. Verhoff has extensive experience in building RPO businesses and solutions, as well as developing growth strategy.

• Posted 3.28.20 at 04:33 am by Roy Osing
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