Engaged and loyal employees are the backbone of any company’s success. That’s why it’s important to keep that talent. But what price do you pay to keep that talent?
“It’s hard to put a price tag on replacing your top employees. But any company should consider the costs to hire a new one,” says Maria Allen of Radiant Digital.
Some companies share that the costs associated with hiring a new employee can range from $4,000 up to four times the annual salary of the position. These costs can vary depending on your type of company, your hiring process, where you are located, and employee role.
So how do you attract and keep the best talent?
To help businesses of all sizes attract and retain top talent, consider these 10 strategies:
1. Compensate competitively.
While compensation isn’t the sole factor in retention, employees who feel they are paid fairly are more likely to stay. According to a recent report, compensation is the main driver of employee turnover, with 55% of employees quitting to take jobs with higher compensation.
2. Offer comprehensive benefits package.
Beyond salary, understanding an employees’ needs, work-life balance, and other priorities can go a long way to help enhance retention. Provide comprehensive benefits beyond healthcare and include dental, vision, and other insurance benefits as well as mental health support, wellness benefits, and generous vacation and paid time off.
3. Promote your company brand.
Your company and a positive brand reputation can appeal to the higher quality talent you are seeking. Establish your presence on LinkedIn, Twitter, and Instagram to engage with candidates and highlight your company brand. Promote company awards--Candidates are more attracted to organizations who have been awarded top workforces or are known for being a leader in the specific industry.
4. Provide flexibility.
Today’s top talent values flexibility in where and how they work. Consider offering flexible working hours, summer work hours, hybrid, or remote options to attract a broader pool of talent.
5. Reinforce a positive corporate culture.
A positive company culture enhances employee engagement, retention, and performance, creating a workplace where individuals feel a sense of belonging. When employees feel a better sense of belonging, they are more productive and satisfied with their job. Building a positive company culture is a collaborative effort between leaders and employees. It requires consistent alignment of decisions with the company’s values and goals.
According to Maria Allen, “It’s essential to convey your company culture during the interview process. Sharing your mission and values allows candidates to assess their fit within your organization. A strong culture not only attracts talent but also ensures employee retention.”
5 Must-Haves For a Positive Company Culture
1. Strong and effective leadership.
Leaders set the tone for company culture. They should embody the values they wish to see, promote mentorship, and empower employees to take ownership of their work.
2. Clear purpose and values.
A strong culture is built on shared beliefs that guide interactions and decisions. These values create a supportive environment that resonates with employees.
3. Professional development opportunities.
Cultivating a culture of growth stimulates performance and satisfaction. By offering development opportunities, companies can build a dedicated talent pool that contributes to long-term success.
4. Open communication.
Engaged employees are connected and enthusiastic. Fostering open communication strengthens relationships and enhances overall engagement, driving organizational success.
5. Inclusivity and diversity.
A diverse and inclusive culture ensures representation and values all perspectives. This creates a supportive environment where everyone feels involved and appreciated.
6. Redefine onboarding.
An effective onboarding process helps integrate new hires into the team and enhance peer relationships. Pairing new employees with mentors can help them navigate the company culture and establish connections. Regular check-ins and feedback sessions can also ensure they feel supported and valued from day one, which will help you keep the good employees.
7. Promote professional growth.
Offering opportunities for growth is crucial for retaining top talent. A recent survey revealed that 25% of employees say they are more likely to quit within the next six months because their company doesn’t support their career development. Work with employees to identify their goals, provide internal training programs, and create mentorship programs that encourage skill development and career progression.
8. Celebrate employee contributions.
Employees who feel valued are more engaged and motivated. Gallup reports that celebrated employees are nearly four times more likely to feel connected to their company’s culture. Implementing an employee recognition program that celebrates achievements and contributions creates a culture of appreciation and boosts morale.
9. Create an employee referral program.
Loyal employees can be your best recruiters. Offer attractive rewards such as bonuses or extra vacation days for successful referrals. A well-structured referral program incentivizes them to recommend talented individuals from their personal and professional networks.
10. Prioritize diversity and inclusion.
Employees today appreciate companies who accept diversity, equity, and inclusion. Use unbiased recruitment practices and actively recruit experienced candidates from diverse backgrounds.
By implementing these strategies, your business will be better positioned to attract and retain high-caliber professionals who will be loyal and positive contributors to your continued success.
If your company needs help determining which strategies to implement to attract better talent, reach out here.
