Employers are and should always be extremely concerned with employee retention. Poor employee retention is a serious red flag at any company and an extremely costly problem. But to know how to keep great employees, you need to understand why people stay at their jobs.
Pay
You pay employees to do a service for you and they work for you to support themselves in life. That is the bare reality of the employer-employee relationship, and puts pay at the center of why most people stay at their jobs. Employers need to pay their employees a competitive, livable wage if they want to attract and retain the best talent. However, good pay is hardly the only reason people stay at their jobs and if employees are neglected they will leave to go elsewhere.
Benefits
Benefits are another major reason why employees stay at their jobs. The most attractive benefit is usually health insurance but retirement plans, corporate discounts and other types of insurance sway minds as well. Get creative with the benefits your company offers and make sure they are actually what employees want. Remember that generous benefits can make up for lower salaries if you can’t afford to pay more outright.
Recognition
All employees like to feel valued—to know the company they work for appreciates the work they do. When an employee reaches a major milestone or accomplishes a big achievement, do something to recognize their efforts. For example, you can put on a nice event that includes your favorite Chinese restaurant catering or have various rewards for work anniversaries.
Career Growth
Another reason employees stay at their jobs is to grow professionally and move up the ranks in the company. Employers should provide advancement opportunities if they don’t want their employees changing jobs in order to get promotions. Also invest in your employees professionally by providing continuing education opportunities.
A Purpose
Most employees want their work to mean something. An employee who feels their work is meaningful is less likely to leave their job, even for what might be objectively considered a better opportunity. The best employers will discover the reasons why the work they do is important and find ways to impart that onto their employees.
The power of feeling valued is significant in the business world, and employers need to understand that. Be aware of these five reasons people stay at their jobs to improve employee retention at your own company.