5 Top Reasons for High Attrition Rates

Vikrant Shetty

April 28, 2023

10:59 am

Finding the right employees for your company takes time and effort, especially when hiring for a small or medium-sized business. A small organization could be adversely affected by hiring the wrong individual. There are expenses associated with advertising, the time required to review resumes and conduct interviews, and the time needed for onboarding and training. Therefore, keeping this in mind, you should do everything possible to decrease employee turnover. This article focuses on the top 5 reasons for high attrition rates.

Not Being Recognized

It’s important to reiterate the value of acknowledgment regarding staff retention and engagement. Your employees want to feel like they’re contributing to a meaningful cause whenever possible. From a straightforward “thank you” or “well done” to perks, incentives, and other rewards. Your business should have a recognition program that includes manager and employee recognition and peer-to-peer acknowledgment.

The amount of work overrides the employees

Employees are likely to start exploring elsewhere for a fresh opportunity if they feel overwhelmed by the quantity of work they have on their plate. Employees occasionally experience it, which is common, but when it becomes a regular part of their working lives, it can be too much. To keep up with the burden, they might need to work longer hours, which could disrupt their ability to balance work and life. Line managers must monitor productivity and workload. When a more efficient method exists, employees may take less time to complete tasks. They might need to comprehend the lessons, so a development and learning program would be beneficial. Or, the workload might be more evenly allocated among the team members if some need more to do. Whatever the cause, be sure that you, as the manager, are aware of it and actively trying to resolve it.

No room for improvement or growth

The fact that they don’t see a future for themselves in the organization ranks firmly among the Top 3 reasons why people quit their jobs. The Future of Recruiting report from consulting firm PWC discovered that American job candidates are willing to give up to 12% of their income for professional growth, including extra training.

A crucial element of talent management is a culture that values employee growth. Provide services for career development, continuing education, tuition reimbursement, coaching, mentoring, and leadership development programs in addition to skills-based training. Consider unconventional approaches to exercise as well.

To assess your company’s program, consider the following:

  • Do we have any formal learning and development programs?
  • Do we have defined programs to mentor employees, and do employees have the freedom to explore different departments and functions?
  • Do we align our business goals with the career goals of our employees?
  • Is there a clear path for professional development and advancement?

Toxic or negative culture

According to SHRM, a quarter of American workers dislike going to work. They lack confidence in their ability to voice their ideas and experience a lack of appreciation for their labor. Avoidable turnover costs businesses billions of dollars. No company intentionally cultivates a hostile workplace environment. It frequently consists of a number of the above mentioned elements in combination. Leadership coaching According to The Clemmer Group, culture is “the whole of the shared attitudes and beliefs that people have based on their experiences.” The conduct and willingness of everyone to cooperate or disagree with the systems and procedures are then influenced by these experiences. Examine how regularly and freely Corporate leaders engage with employees if you feel your culture is causing an excessive turnover. Do workers feel appreciated, empowered to complete tasks without interference, and free to use any accrued PTO? Do managers have confidence in their staff to delegate? Do we have an inclusive culture?

Attempts to alter culture frequently begin with the best intentions: Teams establish procedures to ensure that the organization’s mission, values, and desired public perception are clear to everybody. However, with the support of the leadership, developing a culture is easier to crack.

Poor hiring practices

If your short-term retention rates are low, check your hiring and onboarding procedures for issues. When employees depart within the first six months, especially to take on lateral responsibilities at other organizations, you have a short-term retention issue. A high incidence of termination also indicates problems with the hiring procedure. LinkedIn advises being open and honest about the corporate culture in the hiring process. Tell them the truth, not what you think they want to hear.

Summary

This article shows that management of workload, improvement, growth and proper hiring practice is critical to business success. It can be a powerful tool to help reduce employee turnover and absenteeism.

Vikrant Shetty

April 28, 2023

10:59 am

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