5 Strategies to Prevent The Great Resignation from happening in your organization
TLDR:
1) Address the situation.
2) Get Curious and think about how your organization can improve.
3) Create a diverse and empowered team to handle the resignation challenge.
4) Revisit your budget.
5) Leadership training on employee recognition and empathy.
Employee attrition has always been a concern, but we can handle losing a few employees a year. Having new employees can help expand your organization. However, losing 10, 30, or even 60% of employees in a few months can be devastating. Just think of all the resources your company would need to expend to replace 20% of the current workforce.
“15.000 of replacement costs Per Employee - 2017 Retention Report,”
According to the Work Institute’s 2017 Retention Report, losing an employee who makes 45,000 a year will cost 15,000 to replace them. That number doesn’t consider the loss of knowledge, productivity, or other adverse effects on employees. Also, this report is four years old, so it’s more than 15K right now.
Here are 5 strategies on how to prevent the Great Resignation from happening in your organization.
Address the situation. Accept it can happen to your organization, and if steps are not taken, it will happen. Get curious and be open with your employees and bravely address the situation. Your employees already know about this challenge, don’t hope that they won’t find out.
Assess. Find out where your organization’s culture can improve. Start with an anonymous employees’ assessment concentrating on symptoms of burnout, company culture, and personal challenges.
Teamwork. Create a strategic, diverse team to discuss company culture concerns, challenges, what’s working, and potential solutions. Make SURE they have the time and authority to complete their mission of creating a company culture and workplace that employees enjoy.
Revisit your Budget. People rarely leave a job due to their salary, especially if it is comparable to the market. HOWEVER, do not neglect this challenge. Inflation is real, and you will need to make a swift market adjustment to all of your employee’ salaries.
BONUS: Leadership Training. Train your leadership on empathic leadership and how to recognize and reward employees. There is great power in sincerely and effectively recognizing and rewarding your employees. We are not talking about a starbucks gift card or a pizza party. Think more Ted Lasso less Silicon Valley.
Do not wait to start these strategies until your employee turnover increases, do it now. Not only will you prevent The Great resignation from happening in your organization, but you will increase employee engagement and productivity.