The Economy is Rebounding. Your Key Employees May Be Leaving.
It is never a dull moment in the world of employee management. Last month, we found out that the number of people quitting their jobs is heating up and is getting back to the same level before the great recession (Read here). This is actually good for the economy. It may be bad news for employers who start losing key employees who have “ridden out the storm” and are ready to leave for greener pastures. Other factors like gas prices going down and the real estate market showing signs of life are giving your current employees career fuel to make a job change without a lot of worry about the stability of the new company.
During the recession, employees were happy to have a job. Many employers have added additional workloads on to their understaffed departments and didn’t get too much resistance with employees because it gave a sense of job security. (Many other employer moves like lack of bonuses, no annual salary increases, some salary decreases and disappearing benefits were all Band-Aids to a lot of companies to make it through the recession.)
This is changing! Companies that want to be competitive and take advantage of the recovering economy have two big issues; keeping their current staff and adding to staff.
The cost of replacing good employees is almost immeasurable. Here is a check list of items to consider trying to keep these key pieces of human capital.
- Be honest with your employees today about where you feel your company is heading and the great potential of their job and how it will affect the bottom line. If you can show some transparency to how the leaders of the organization see the future, employees really appreciate that information.
- Rewards. A Starbucks card, gas card, lunch, and a certificate of appreciation tell your employees you appreciate them. Have a semi-formal awards ceremony.
- Have the company president write a personal note to employees that go above and beyond.
- Ask your employees for their opinions on certain subjects. People like to get involved and have a lot of great insight. Employees like to feel they are contributing.
- Offer a free lunch once a month to everyone. People love free lunches!
- Review your salary and bonus structure and make sure it fits the growth of your business. If you have not analyzed this since the recession, you may find out you are underpaying key employees. It is very hard to correct this when they put in their two week notice.
Whatever you do, start it now to let your employees know you appreciate them. Your actions now may prevent you from having to replace key players as the economy is getting back on track!