Our last blog discussed how employee referrals are the top source of bringing new people into organizations… but what is it that drives employees to leave? Well, while giving cash bonuses for employee referrals is suggested for bringing people on board, money is not the top reason people leave. Surprised? Wondering what it could be?
Compensation is part of the equation, but a recent survey from Staffing Industry Analysts revealed, there’s more to it than cash money.
51% get disgruntled and leave due to bad management and bad environment.
21% see no opportunity where they are and seek to advance their careers somewhere over the rainbow.
15% leave for that common phrase – work/life balance – how the work affects their personal situations.
13% leave because of they want more money.
What does this tell us? As Subadhra Sriram from SIA points out, “the most frequent reasons employees leave a job – bad management, bad environment, are all factors management is well posted to improve. Staff turnover is in your hands.”
So, it’s up to you. How can your managers adjust their leadership style to make a better experience for their direct reports? The survey revealed that most people dread having a “poor daily experience” at work. Enough dread will drive anyone to make a change. How can your leaders be better at spotting that dread in your employees? How can your company make adjustments in your talent strategy to provide personal development, lateral moves, promotions, and career advancement? What feedback can you get from your employees to help fix the growing problem before people leave?
Pay attention to those things and the only people that will leave, leave for more money. Sure you can offer better compensation but the point is that people won’t be leaving because they are unhappy coming to work each day. Oh, and wouldn’t it save you money to NOT LOSE those disgruntled employees? Assuming your answer is yes, guess what? That means you just saved money to pay that remaining 13% more. How’s that for taking control?
Information about the survey
The survey asked internal employees of staffing firms “Why did you leave your last staffing job?” A sample of responses from 500 people were analyzed. These folks had had at least a year’s experience in the industry. In addition, they had worked as an internal employee for at least one other staffing agency earlier. www.staffingindustry.com