5 Effective Strategies to Improve Employee Retention in 2023
April 5, 2023
Recently, more than 24 million workers in the United States have chosen to resign, a phenomenon known as "The Great Resignation". It is even recorded as a new history.
According to the Entrepreneur Asia Pacific website, The Great Resignation is a phenomenon of mass resignation among a number of professional workers. While according to Forbes, the Great Resignation or Big Quit is an economic trend where employees voluntarily resign from their jobs en masse.
The phenomenon of mass resignation is suspected to be influenced by the pandemic. They feel they need more time to rethink their lives and jobs. In addition, with the increasing prevalence of remote work, many workers are reconsidering working for companies with Work from Office (WFO) policies.
Although some observers believe that this phenomenon will not occur in Indonesia, it still requires more attention in developing effective strategies to increase employee retention. According to a Glints survey of 1,693 respondents, workers are becoming more selective in choosing their target companies to work for, and working arrangements are one of the major determining factors. 43% of workers cited appreciating a flexible work schedule when considering a new position.
Therefore, now let's look at effective strategies to increase employee retention in 2023 that you can apply in your workplace.
Strategies to Increase Employee Retention in 2023
1. Appreciate Employee Contributions
Everyone is happy when they feel valued, and this applies to the workplace as well. In a survey by the Society for Human Resource Management, 68% of HR professionals said that recognition/appreciation is important for retention, but many organizations do not have a formal recognition program.
Therefore, from now on, companies should encourage managers to start recognizing the work of their team members.
2. Invest in Employee Career Development
According to LinkedIn, 94% of employees say they will stay longer at a company if they invest in their career development. In today's economic conditions, employees understand that they need to maintain their skills to remain competitive and continue to level up.
Organizations can leverage their employees' desire to develop by providing coaching programs and investing in additional education for their employees. Employee development programs such as group coaching and bootcamps from Mindtera can be an option for investing in employee career development.
3. Invest More in Employee Well-being
Individual wellbeing is a vulnerable issue for many employees, especially in the process of readjusting to post-COVID-19 life. In a recent Korn Ferry study, 89% of professionals feel they are experiencing burnout, and 81% say they are experiencing more severe burnout now than at the beginning of the pandemic.
The implications for companies that fail to address this issue can be significant, resulting in decreased performance and engagement, and become a problem in recruiting and retaining the best people.
4. Focus on Manager Quality
Have you ever heard the old saying, "people don't quit their job, they quit their boss"? Yeah, maybe that's true. A 2019 study found that 57% of employees quit because of poor relationships with their managers.
Fortunately, leadership skills can be trained. Companies should ensure performance reviews take into account management skills and offer training and coaching to managers at all levels, especially if they are first-time managers.
5. Improve Organizational Culture
Although organizational culture may seem subjective, its influence on retention cannot be denied. In fact, corporate culture is one of the main drivers of job satisfaction.
Strong corporate culture has key characteristics such as:
Having and implementing clearly articulated values
Valuing and listening to employee voices
Having a strong commitment to diversity, equality, and inclusion
Implementing supportive leadership.
The strategy for increasing employee retention can easily be done with Mindtera. Our solutions and services offer personalized and engaging activities to build a positive workplace experience. We help companies solve high employee turnover, low performance, and increase productivity.
In improving retention, you also need tools to continually monitor, measure, and predict employee growth. You can start by using turnover forecasting from Mindtera.
How does Turnover Forecasting from Mindtera Work?
Turnover forecasting from Mindtera uses the eNPS method - employee Net Promoter Score, or Employee NPS. eNPS is a tool to measure what employees feel about the company and measure the impact of employee initiatives and workplace culture. The eNPS survey asks one simple question in the form of a scale.
Thus, turnover prediction and analysis can help you find and monitor employee growth trends, identify problem areas, and take appropriate preventive measures to retain your best talent. So, employee engagement will increase, and employee turnover rates will decrease.