With the economy strengthening, businesses need to review their talent management practices or risk losing workers. According to a Career Builder survey, “21 percent of full-time employees plan to change jobs in 2014, the largest amount in the post-recession era and up from 17 percent in 2013.”
Regardless of your notion about the economy’s growth, the numbers suggest a positive outlook and companies should be cautious.
Job Satisfaction Declined
Career Builder’s survey queried 3,008 full-time employees of varying industries and company sizes in the private sector, and found that a drop in job satisfaction may be a leading cause of the high turnover expectancy. The survey found that while 59 percent are satisfied with their current job, it represents a drop from 66 percent last year.
Up from last year, 18 percent claim that they are completely dissatisfied at work, citing concern over salary (66 percent) and not feeling valued (65 percent) as the top reasons.
While these numbers may not seem staggering, people are more likely to risk leaving a job when chances of finding other work are positive; with a healthier economy, that’s cause for concern. That extends to the pocketbook: The cost of losing an employee is one and a half times their burdened salary, and three times that for top performers.
The Goal
As managers, how can you deflate these numbers and retain your performers? How to redirect workers’ focus back to your company and away from the competition? Simple: Having a clear vision in place and defining how employees fit into the bigger picture is one of the most valuable solutions you can adopt.
In addition, offer regular feedback and recognition, develop ongoing training programs, reward bonuses or incentives whenever possible and make it a priority to create a good company culture.
According to the survey, several factors contribute to employees staying in their jobs. Among them are:
- liking co-workers (54 percent),
- having a good boss who cares (32 percent) and
- feeling valued and being recognized (29 percent).
The Solution
As we’ve discussed in previous articles, the need for talent management software is real. Utilize a tool that gives you the power to execute performance reviews that align your organization’s goals with those of your workforce. This helps in preventing the exit of employees who don’t feel appreciated.
Performance reviews allow you to show your employees you value them and are a great opportunity for compensation based on performance. By crossing the top reasons for employee dissatisfaction off the list, you are well on your way to keeping your employees.