In today’s competitive business scenario where you need to have a solid workforce to sustain, increasing your employee retention rate has become one of most difficult HR activities. You not only have to hire the right employees, but also need to concentrate on keeping them onboard. This post provides you with 2 key employee retention tips that can be used to retain good employees and create a stable workforce.
- Employee compensation: Gone are those days when employees were paid for the time they invested in working for an organization. Today, companies are paying for performance and this is applicable for every position. Therefore, you should incorporate a pay-for-performance strategy in your compensation plan. This strategy has two key foundations; namely describing the job and verifying performance against expectations. When employees exceed the set expectations, provide them with a bonus. It will also allow the employees to know the expectations and what level of effort they have to put in to obtain the bonus. But ensure that the bonus is solely based on pre-established profit goals, so that you don’t have to pay if your company doesn’t make a profit.
- Working environment: To increase employee retention rates, you need to develop an employee-centric working environment that attracts and encourages the talents of good people. A good working environment consists of various factors including a well-developed value and culture system, clearly defined corporate mission, logical and clear operating policies, a secured working environment, etc. Most importantly, you should allow the employees to know the mission of your company and where it wants to stand in the future. This way, employees can align themselves with your company’s vision and mission and you can expect a lower turnover rate.
Copyright 2017 Devin Lloyd. Devin Lloyd is the President and CEO of BizResults Consulting. BizResults Consulting is a full-service human resources management consulting firm based out of Red Deer, Alberta. At BizResults Consulting we partner with you and your management team. We provide you with customized tools to lead your organization and people more effectively. We have a wealth of experience and a team of trusted Associates ready to work with your organization to improve your bottom line. Call us today at 587.877.7797 or visit us online at www.BizResults.ca to book your complimentary Building a High Performance Organization or Managing Absenteeism consultation. To sign up for our Biz E-newsletter, visit us at: http://bizresults.ca/biz-e-news/ . To complete a short survey on your human resources needs, please visit: https://goo.gl/forms/nGYeXvyPP62h1rKz1