Employee retention
What impact do you think that the current state of the economy has on employee retention?
Mark,
The majority of rankings are purpose, people and profit in that order. However, depending on how candid people are and the level they are at within their organization, the sequence may be profit, purpose and people. Sadly, the latter has driven a number of companies within the sector into trouble. Your rankings are most appropriate and reflect a level of integrity in the manner in which you address your mission and the passion your employees have for their jobs.
Dr. Robert Roehrich
Using three concepts as a guide, employees are focused on purpose. They are seeking employment situations that are leading change, energized about a cause or simply helping others. In fact, experience with my team is the willingness to leave a more stable situation to be part of a purpose. As a leader and employer, I have aligned purpose as the primary message in our culture followed by people and profit. How are others ranking purpose, people and profit within their culture?
Jo-Anna,
Based on information in the press, the economy has had a mixed impact on employee retention as you alluded for the reasons you mentioned. When faced with the possibility of looking for a different job in a down economy, the tendency is to "hunker down" and focus on the current job, like it or not. As you indicated this is both good and bad; however, in either situation, it requires a different degree of monitoring by the supervisor to ensure the productivity and quality of work doesn't deteriorate.
Thank you for your post.
Dr. Robert Roehrich
I find it to be both favorable and not favorable.
It seems to make employee to stay so they do not have to be concerned with looking for a new job along with they have been stepping up to improve their performance in the income earning direction.
It also makes them complaisant when they are not busy with clients.
There is however more of the favorable going on.
Alana,
That is so true. It is, however, the responsibility of the supervisor to create an environment where employees feel comfortable sharing these thoughts without fear of retaliation. The supervisor who values their employees and who creates a "safe" environment will be less likely to have a retention problem. I really had not thought of employee retention from the standpoint of age. I guess that could be a potential factor as well.
Dr. Patricia Kapper
I believe the economy has a lot to do with employee retention possibly for the wrong reasons; especially for the mature employees. The economy today has many of our mature employees fearful of their future. They are concerned with loss of security, so many times they will stay in a position that they are unhappy with. This in turn causes a sense of “stagnation†in their position. Many times they have been in their position for so long they become complacent and do not know how to effectively communicate their needs for fear of retaliation. I believe this happens more often where their direct supervisor is much younger and the mature employee does not believe the supervisor will understand their challenges both at work and their outside life. It becomes a vicious cycle for mature employees; how do you speak with your younger supervisor about your economical struggles and still feel respected in the workplace? In theory, we should all feel comfortable to communicate with our direct supervisor and/or direct up line for guidance and support, but I believe many times employees fear retaliation for their opinions.
linda,
Age is certainly a factor in employee retention but so much more enters into an employee's decision to leave an organization. I continue to be a strong believer in creating an organization that believes in the value of its employees. Holding that belief and communicating it goes a long way to reduce turnover. Many other factors, of course, need to be in place such as fair and competitive compensation.
Dr. Patricia Kapper
linda,
Sometimes loyalty to the students and/or the organization plays into the equation as well. Employee retention is a topic that deserves discussion at all levels of the organization but at the very least at the highest levels. Some turnover is healthy within the organization but excessive turnover begins to negatively impact students, faculty and staff.
Dr. Patricia Kapper
I believe it has a major factor in employee retention. Mostly with older generation employee's. Age is a factor with them and the fact retirement is not to far away. Younger generation's are more apt to take risks because of the age factor again.
I agree with Debra. People stay because of fear of not finding another job. Age has something to do with it as well. An older employee would stay on due to age. And a younger employee would be more apt to look for employment else where if not happy with present job.
Mark,
When I would visit our schools, I would tour the school with the leadership. I was looking at the typical things like what was happening in the classroom--were the students engaged; was the campus clean; etc. But most importantly, how did the manager interact with the faculty, staff, and students. Did he/she acknowledge or ignore them as we toured. If the faculty, staff, and students were ignored, that was a huge red flag. If you stay connected with the people, you will definitely retain your employees.
Dr. Patricia Kapper
I think the economy has limited impact on retention for best employees. Best employees are defined as those always looking for a challenge. Frankly, a challenging economy can create more opportunities for those who are the best problem solvers. Hence, I think the same rule applies in retaining your best employees in challenging times...stay connected.
Thoughts?
MB
Justin,
Sometimes it is those "little" things that we do, whether good or bad, that impact and employee's decision to stay or to leave. I have said many times that it is important to treat employees with dignity and respect. Research has shown that this is more important than money in determining employee satisfaction. I once did a document entitled "Twelve Steps to Effective Faculty Administration." The first step was "Treat Faculty with dignity and respect." We felt so strongly about the importance of these steps that we had each President sign a document committing to implementing every step. I commend you for taking steps to ensure your employees' job satisfaction.
Dr. Patricia Kapper
I feel like the current state of the economy is more likely to increase employee burnout because the opportunity for quality jobs has diminished. I have a staff consisting of 4 employees that only work on the weekend, so employee retention is very important because finding a new employee to work 26 hour weekends is very difficult. Recently I've instituted a weekend meeting to check in with the employees, as well as regular encouragement and appreciation for the work they do. I try to bring in breakfast one day out of the weekend to give them a good start as well. I want them to feel like its an enjoyable weekend activity to come to work instead of a grueling responsibility.
Chevonne,
Creating an evironment which communicates to the employee that they are valued by the supervisor, the department, and the company, will lessen the negativity that some employees may exhibit. I hope that many employees are staying because they want to and not because they have no choice. Employment should fill more than a financial need. Granted, as the economy continues to show improvement, more options may open up but that, of course, is not a guarantee for every employee. Employee satisfaction surveys can provide management with an indication of what needs to improve in order to retain employees who are satisfied with where they work, what they do, and with whom they work.
Dr. Patricia Kapper
People are staying because they have no choice. They have bills to pay. However if the economy situtation was better i feel that many people will leave a job that doesn't focus on employee but on filling a position with a body.
Stuart,
Very thoughtful answer, Stuart. You know as well as I that there are those who will sit back thinking that, given the economic conditions, employees will stay, no matter what. That may not be the case, however. Failing to retain employees has many spinoff consequences. For example, students feel the loss and may choose to leave as well. Other employees need to pick up the responsibilities of the former employee until a replacement can be found and that can impact employee morale. Failing to be the leader that you encouraged can also affect morale, resulting in less or poorer performance. The results of management's behavior will have a financial impact on the bottom line, positive or negative.
Dr. Patricia Kapper
Looking at the local economic crisis on a daily basis should bring everyone to one thought. Times are still hard, lets face it! Employee retention right now is highly valuable. Even though there is a bigger pool to hire from now, it doesn't always yeild the best fit for anyones company. Keep those who you have and be a LEADER to them, not just a boss. Leading your staff should yield higher retention than just bossing them around. Our country is in a very touchy economic crisis still. Seeing our communities like this should make us provide a better service to our staff. No matter how you look at it your staff are your customers too, so why not give them the best customer service you can. It's very costly to a company to rehire. Keeping employees happy about their jobs helps retain them. By doing that it keeps costs down.
Lauren,
Great observation, Lauren. This is where the Career Services Department steps up and does some career counseling. Students/graduates need to exercise some judgement in making these decisions. They need to consider the long-term effect of their decision. For those who have been out of work, it is difficult to continue their search once a job offer comes in but through guidance from CS and from faculty, they can be taught to consider all of the options to make the best decision for their future.
Dr. Patricia Kapper
