High Staff Turnover: Why It’s A Problem (And How To Fix It)

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High Staff Turnover

Any business owner knows the value of good, reliable, and skilled employees. With the right employees, a business can flourish and realize its true potential, ensuring a successful career for all.

However, while employees are vital to any company’s success, it’s fair to say that not all businesses get to enjoy the benefits good employees can bring. In particular, high staff turnover is a persistent problem across a broad range of industries – and if it’s an issue you are experiencing, then finding a solution should be at the top of your to-do list.

Why is high staff turnover so problematic for a business?

  • High staff turnover results in extra costs for the business, as you continually have to dedicate time and funds to the recruitment process itself and subsequent training for new hires
  • High staff turnover also disrupts a business’ ability to be productive; if staff are continually leaving, it can be extremely difficult to plan cohesively for the future, which impacts the overall direction of the business

What are the most common reasons a business will experience high staff turnover?

  • A lack of employee perks and generally poor working conditions can contribute to high employee turnover
  • If you, like many modern businesses, hire workers on a “gig” or seasonal basis due to variable workloads, a lack of continual work can lead employees to look elsewhere for more reliable year-round work
  • Finally, it’s worth noting that some industries are just more prone to high staff turnover due to the nature of the work; hospitality businesses, for example, will see a higher staff turnover, as the work they provide is often seen as a temporary stop-gap job rather than a full-time career

How can high staff turnover be resolved?

  • If you are not yet offering employee perks, it may be worth experimenting with a few ideas to see if this improves staff retention rates
  • Survey your current staff in order to ascertain if poor working conditions may be the reason for the issues you are experiencing, allowing employees to answer anonymously in order to ensure they feel comfortable providing truthful answers. If the survey responses do identify issues, seek to rectify these as soon as possible.
  • If you hire gig-based or seasonal workers, investigate contingent labor solutions that allow you to utilize workers who expect – and in many cases, actively prefer – such conditions, rather than seeking to persuade individuals who would rather work a full-time, guaranteed-hours job to work on a more on-demand basis
  • If you work in an industry where staff turnover is generally high, then you do not just need to accept this as par for the course; instead, you can seek to ensure you offer the best possible employment opportunities to workers, and perhaps provide loyalty bonuses for those who remain in their role for longer than six months

In conclusion

High staff turnover is a real issue for many businesses, but hopefully, the tips above can help you to get to the root of the issue, and find a resolution that works for you, your employees, and your business as a whole.

Financial Bin Community