Businesses that are unable to keep hold of their most talented employees reliably are often understaffed and employ a lower-quality workforce overall. HR professionals must therefore take into account the retention drivers if they are to keep their high-performing staff. The rewards a company provides its workers with will always be one of the significant drivers in keeping them around. The HR director should evaluate the company’s salary and benefits to see if they are market-rate. To be competitive, a company’s offer must be comparable to that of similar organizations, as well as to what employees consider fair in light of their skills, expertise, and productivity (Valentine et al., 2020). Leaving one job for another is typically justified by the promise of higher income or better benefits. Nonetheless, perks are not limited to monetary bonuses; they can also include other forms of appreciation, both tangible and intangible, for employees’ efforts and achievements.
One more driving factor that contributes to an employee’s willingness to stay is the quality of their relationships with both management and coworkers. A supervisor or manager can improve interaction and retention by being impartial and unbiased, facilitating work-family balance, providing constructive criticism that highlights employees’ contributions, and encouraging their professional growth (Valentine et al., 2020). Friendships formed at work are not reflected in official documents, but they are a strong indicator of a pleasant and healthy work environment. Therefore, organizations must improve employee retention and talent management by investing in a management training program that fosters positive relationships between managers and their staff.
From an ethical standpoint, an organization’s rules and practices play a major role in keeping employees around. Employee retention can be influenced by several factors, including the rationality of HR policies, the objectivity of disciplinary measures, and the methods used to distribute tasks and promotions (Valentine et al., 2020). Individuals may be more open to exploring work opportunities with competitors if they view the company’s policies as excessively limiting, unethical, or poorly implemented. It is necessary to keep in mind that the proactive handling of diversity concerns impacts people from all walks of life. Employers can improve retention by catering to the special requirements of their employees from underrepresented groups (Valentine et al., 2020). Ethnically diverse staff must be treated equally and included in policymaking efforts.
Exit interviews are a useful tool for gauging retention and identifying internal issues, which is why they are included among the retention measures. Employees who are leaving the company are often asked to elaborate on their decision in an exit interview. It is possible to learn more about the disruptions or unforeseen occurrences that may have prompted an employee’s departure by conducting exit interviews. To help managers and supervisors, HR needs to periodically consolidate and evaluate the data by subcategories such as reasons for quitting, department, and service duration. According to Pace and Kisamore (2017), by revealing the thought process and motivations behind employee departures, well-executed exit interviews can help businesses cut down on turnover and boost productivity. Effective EI, whether conducted through in-person interviews, online surveys, or a hybrid of these methods, can help management hone their active listening and gain insight into the organization’s successes and failures. If analyzed rigorously and acted upon, it helps identify previously unseen threats and opportunities and produce actionable competitive intelligence
References
Pace, V. L., & Kisamore, J. L. (2017). Strategic exit interviewing: encouraging voice, enhancing alignment, and examining process. Journal of Organizational Effectiveness: People and Performance, 4(1), 59–75. Web.
Valentine, S. R., Meglich, P., Mathis, R. L., & Jackson, J. H. (2020). Human resource management (16th ed.). Cengage Learning.