3 Ways Organizations Can Reduce Employee Turnover

Of all the challenges that organizations face, employee turnover probably costs them the most.

It is estimated that every time an employee leaves a company, the company bears the cost of at least 1.5 times the employee’s salary. Though it depends on the level of the employee’s position and seniority, the loss is significant.

That said, there are ways through which organizations can put a stop or minimize employee turnover and improve their bottom line.

Here are those ways:

Take advantage of strategic workforce planning analytics

Workforce analytics may be a new concept, but it is the future of workforce planning and management. So much so that experts believe that it is going to take over the traditional approach of workforce management in a year or two.

Many companies, including a few of Fortune 500, have already turned to workforce analytics to improve their employee engagement and reduce turnover.

Strategic workforce planning analytics allows HR managers to gain insight into their employees’ motivation and productivity, helping them understand when an employee is going to leave the company and what can be done to retain them.

Plus, workforce planning analytics help HR managers make the right hiring decisions by equipping them with the knowledge on who would be the best fit for a specific job role. And when you have the right candidate on board, employee turnover takes a dive.

Recognize and reward employees

Employees like to work in an organization that appreciates their hard work and effort through recognition and rewards. It makes them feel valued and provides them with a sense of accomplishment. So, make sure you don’t forget to show your employees how much you value them and their efforts by offering them recognition and reward. In return, you will get their loyalty, which will bring down the graph of employee turnover.

Offer your employees work flexibility

Most employees want a flexible work schedule so they can enjoy a work-life balance. And with the pandemic bringing a paradigm shift of remote working, it has become all the more essential. Even surveys suggest that offering employees work flexibility leads to reduced turnover and increased employee engagement and productivity.

In a nutshell

Employee turnover is the last thing organizations want; however, it is one of the most recurring challenges that they have to deal with now and again.

But, by taking advantage of workforce planning analytics and putting in an effective employee recognition program, they can see a significant reduction in their turnover. Not only this, but they will also be able to help employees perform better and contribute to the betterment of their organizations.

Author’s bio: The author is a blogger and this article is about 3 ways organizations can reduce employee turnover.