Five Ways to Reduce Employee Turnover

In life, we need to learn to accept the things we can’t control. If an employee leaves your company, it may feel like you have no control over that situation; but in fact, there are a lot of things you can do to effectively reduce employee turnover. From hiring the right people to offering the right benefits, you can lower your turnover rates with these five simple steps.
Hire the Right People
Reducing employee turnover starts from the very beginning. Bringing on the wrong worker for the wrong position can lead to dissatisfaction on both sides and result in that employee’s eventual departure from the company. Evaluating a potential employee is more than just asking yourself if they have the knowledge and skill to complete the work. Your company has a certain corporate culture and it’s important that your employees fit into that culture. When workers’ values are aligned with the vision of the company, they are more likely to work harder and stick around longer.

Reducing turnover also depends on how you set expectations. A new employee should be clear on their duties, salary, and benefits. Nothing spells turnover quicker than being let down from what you were expecting due to a miscommunication. If you want to keep your employees around longer, make sure you’re hiring the right ones to begin with.
Offer Competitive Pay
Companies today seem to offer everything under the sun to keep employees around, from gym memberships to pet insurance to telecommuting. But you could be overlooking a vital component of employee retention — salary. Pay isn’t always the best motivator, but over 45% of workers said they would leave a job for a higher-grossing opportunity.1

Considering the cost of replacing an employee ranges from 20% to 200% of that employee’s annual salary, a small raise today can actually save your company money in the long run. If you want to be competitive in the market, you need to offer a salary that supports your employees and keeps them around.
Provide New Opportunities
You’ve on-boarded the right employee and are paying them a generous wage. That’s all you need to keep them from leaving, right? Nope. Employees need to know that there is an eventual opportunity for advancement. In fact, 70% of employees considered to be “high-retention-risk” say they needed to leave their current company to reach the next level in their careers.2

This also involves offering workers new challenges that match their experience and strengths. If a worker completes the same task day in and day out, they will eventually become disassociated from it, completing the work on auto-pilot. According to a Gallup poll, workers who work within their strength areas on a daily basis are 15% less likely to quit.3 Increasing employee retention means giving workers the training and opportunity to be challenged in their work and advance their career.
Reduce Stress
Stress is a killer — literally. When employees are stressed, it kills their work ethic, productivity, happiness, and even impacts their physical health. Stress leads to burnout, a mental and physical exhaustion. Eventually, this can result in physical symptoms, mental health issues, workplace accidents, absenteeism, and workers leaving your company.

It goes back to creating a culture that supports workers and makes them want to stick around. Encouraging a proper work/life balance and providing the means and support to do so can reduce employee turnover significantly.
Travel Benefits
While there are any number of things you can do to reduce employee turnover, none seem to work better than offering the opportunity to travel. We’ve covered the benefits of travel before and can definitely say that companies that encourage and support vacationing have lower turnover rates. But it’s not enough to have a generous vacation policy. After all, over 70% of employees leave PTO on the table each year.

Offering specific travel programs, like Travel as a Benefit, will prove to employees that you are serious about helping them achieve a proper work/life balance. Of the employees currently enrolled in Taab, 88% say they feel more loyal to their company. Imagine dropping your turnover rate by that percent!

Turnover is an inevitable part of running a business, but there are things you can do to make turnover an occasional hassle, not an everyday reality. Start by hiring the right people and offering them the right pay. Then make sure they are challenged in their work, but not to the point of being stressed out. Finally, send them on vacation with a program like Taab! Lower turnover rates are possible with the right support and benefits.