Retain Good Employees — Even When 50% Are Job-Hunting

Are you concerned you won’t be able to retain good employees? You should be.

And not just your employees. As a finance pro, you likely know that turnover is an expensive problem. By some estimates, it can cost 50% to 200% of an employee’s salary to replace the worker, depending on the position.

That can add up financially and mentally: Turnover disrupts operations, causes extra stress for remaining employees and hurts morale.

What makes this more troubling is more than 50% of employees are looking for new opportunities, according to Gallup research.

Strategies to Retain Good Employees

Why are so many people looking for different opportunities?

Gallup’s representative study of more than 10,000 U.S. employees found these are the four most important factors when employees decide to look for a new job:

1. Work-life balance and personal wellbeing
2. Pay or benefits
3. Stability and job security, and
4. A job that allows me to do what I do best

To retain good employees, it’s important to double-down on these three key elements of employment:  engagement, loyalty and satisfaction.

“This set of priorities shows how employees define a better job today,” the Gallup researchers wrote. Organizations that align with these expectations will have a strong foundation for selling or reselling talented individuals on their workplace.”

5 Steps to Retain Good Employees

According to Amy Gallo, a contributing editor at the Harvard Business Review, a cohost of the Women at Work podcast, and the author of Getting Along: How to Work with Anyone (Even Difficult People) there are some things good managers can do to keep people on board.

Here’s her advice.

1. Infuse a Sense of Purpose

To keep people focused, managers should give them something to work toward. People want to believe their work matters in any situation.

This can be tough when the company’s success is no longer the goal, but you might select something that employees value personally — improving their performance, leaving a legacy or proving critics wrong.

2. Provide Reasonable Incentives

Companies want to find ways to reward good work to retain good employees. Make it clear what people will get if they do their best.

If you aren’t able to give more money or perks, make sure they know that learning a new skill will help them find their next job. Or perhaps the experience will help them grow professionally.

3. Show People They Matter

Don’t just offer the same things to everyone, however. People still want to be seen as individuals.

Tailor your message and the incentives to specific team members. Whenever possible, give them personal attention and care.

On the other hand, when news of a crisis hits, you want to meet with employees one-on-one. The key thing is for leaders to find out what matters most to workers and then do their best to meet those needs.

4. Stay Authentic

Being transparent is crucial in almost all circumstances. Finance leaders can’t try to protect people from the truth or ignore what’s happening.

And you never want to say anything you don’t mean. In tense situations, people are on high alert for lies and inauthentic messages.

5. Tend to Emotions

People who are looking for other opportunities are sometimes upset, afraid or angry. You don’t want to pretend those feelings don’t exist.

Instead, make room for them. Tell people that you’re available to talk whenever they want. Encourage people to get together without you so that they can say things they might not want to express in front of a boss.

Leaders aren’t counselors, though. If people need more specialized support to deal with their fears or anger, refer them to resources such as your mental well-being offerings or Employee Assistance Program (EAP).