The High Cost of Turnover

The High Cost of Turnover

There is no question about it, frequent turnover can kill a business’ productivity, and in turn the bottom line.  It is not only costly to train and interview people it can damage your reputation to other qualified candidates.

Turnover happens for many reasons but in most cases an opportunity arises somewhere else. This may include a job closer to their residence, increased compensation opportunity, or a job that better fits their skill set. Now we can’t stop all turnover but we can try to eliminate most of it.

Talk to your employees Ask for their opinion.  Do you have a suggestion box? If not, you should. This is the best way for  your employees to know that  their opinions matter. There are different variations of this but the end goal is the same,’ to  unity. They are part of a team, their opinions and ideas count and will be considered to better achieve the company mission. .

Review your employee’s compensation plan frequently. There are guides available though many online websites that help set the bar for pay but at the end of the day you are the only one that knows the value to your company. You must take into consideration; performance, time with the company, experience and replacement value when making evaluations. .

Some other ways you can help curb turnover are:

  • Having clearly defined objectives, they fully understand your companies mission
  • Hold yourself and your leadership team to a higher standard, lead by example
  • Engage your team, get to know them and what is important to them individually
  • Company outings, thank them and their families for their efforts
  •  Value them and encourage them to be part of something bigger than themselves
  • Help them grow in the position
  • Don’t be afraid to reevaluate business practices if your employees point out a flaw
  • And lastly let them have fun

Create an environment that encourages your employees to take pride in what they do and enjoy it! . When they are passionate about what they do they will, in turn perform better  for you and your business.

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