Ask Andi: How do we decrease employee turnover? We’re a service company. Many employees work two jobs and are part of two-income families. They stretch for more family time. We have a fair amount of turnover. People jump jobs for a small pay increase. What can I do to decrease turnover and help my employees?
Thoughts of the Day: Reduce employee turnover to save time and money. Build a community of resources to support the people who work for you. Put benefits in place. Make it easier for employees to take care of their families in times of need. Encourage education to help people step up the income and opportunity ladder. Recognize that you’re working with the highest unemployment class. And you have a greater chance to cull through for the best in class. Look for opportunities to increase productivity and share the rewards.
Reduce turnover and support current employees
Average cost/employee of absenteeism = $3,600 per year. Find out what support services your employees need. Perhaps child care, elder care, food pantry, legal advice, for example. Do a survey. Team up with non-profit resources to provide those services. Make a donation, pay a fee, and help the not-for-profit apply for a grant. Everybody wins.
Furthermore, look into child care: programs for pre-school and after school. Parents who can rest easy knowing their children are cared for are more productive. And have higher attendance rates. Negotiate a discounted rate with an existing organization. Provide space and get an even lower rate. Hire high school students to babysit, if that’s what it takes.
Moreover, many low-wage earners need days off to care for others. Check if employees are maxing out sick and personal days. If so, increase the number of days available. Consider allowing flexible hours. Work longer hours for fewer days. Give freedom to switch schedules with co-workers.
In addition, leam up with a health care practitioner, clinic, or dental service. Make routine care more accessible. Get a physician, physician assistant, or dentist to regularly meet with people. Put an emphasis on routine care.
Likewise, run the numbers. A first option is routine wellness visits that employees and family members tap into to stay healthy. Second option: lose a good worker because of a serious illness that wasn’t treated early enough. The third option is usually much less expensive and certainly less disruptive.
Reduce turnover and cut costs
Above all, everyone benefits when the workforce becomes more educated. Individuals hone their skills. The company has employees who are better prepared to move up. Future employees are attracted by the company’s commitment to individual improvement. Employees who leave speak about how the company helped them build a future.
Certainly, approach a local college or technical school and propose a course. Or ask how to enroll your employees in existing programs. Most states have money to pay for training programs. Try to get education credits (CLEs) for anything your employees are doing. Present certificates of completion for internal training. Record success in individual personnel files.
While overall unemployment has dropped from 12% to 8%. And for some groups to 6% or lower. Low-wage unskilled workers are still struggling with the highest levels of unemployment. Set up continuous advertising and screening. Attract and hire candidates who will be able to do the job you need. And who will value the benefits you’re building.
In conclusion, employees get focused, educated, and committed to your company. Apply that energy to improve productivity. Improvements in productivity should result in increased profits. In short, share a portion of the increased profits with the people who helped make it happen. Set up quarterly bonus pools. Establish and fund a 401k plan. Invest more in employee benefit programs.
