In today’s increasingly competitive employment environment, hiring and retaining employees is critical to a staffing business’ future success. According to the Bureau of Labor Statistics, 3.6 percent of workers leave their jobs each month. Many companies track their employee turnover rate meticulously in an effort to avoid high turnovers. However, they should also take a closer look on the causes and costs of their employee turnover. What exactly is the cost of employee turnover? Posting job ads, interviewing candidates, referral bonuses, training, and not to mention being short a person in the productivity line. These costs can add up quickly.
It’s safe to say that retaining employees costs less than replacing them. So, what changes can you make in your workplace that keeps your employees and the business happy?
Respect their time
Respect is an important ingredient in managing a thriving and united team. According to research done by Georgetown University’s Professor Christine Porath, 48% of employees decrease their work effort and 38% admitted to doing low quality work if they feel disrespected at the workplace. Respect can be shown through many different situations, but for hourly workers such as those in the blue-collar industry, there is nothing more important than respecting their time. Businesses must ensure that lengthy and manual processes do not take up more of an employee’s time and cuts into their productivity.
Hourly workers follow strict protocol when clocking in and out for different schedules, taking meal or rest breaks, and most specially overtime. It’s most important that businesses utilize processes that can ensure that an employee’s time is used wisely. Technology such as mobile time clocks allows workers to clock in and out using their mobile phones, eliminating the likelihood of them wasting their time lining up to use a physical time clock.
Encourage open communication
According to a study done in 2018, only 10% of employees feel connected to their organization while 84% believe they do not receive appropriate information from management. This is truly concerning because a good and open communication with employees plays a big part in productivity and morale among the workforce. Being able to communicate effectively with new hires about onboarding information, safety equipment they might need, and job site locations improves the chances of them having a good impression of their new workplace.
Nevertheless, employee engagement is not one size fits all. E-mail may be the choice of communication tool for traditional desk workers. However, e-mail is not king specially for field workers that spend their work hours on their feet at warehouses. To communicate with workers effectively and make them feel recognized, businesses must liaise with mediums they most frequently use such as mobile phones. Communicating with your employees via their mobile phone or app ensures that not only will important information – such as shift or pay schedules – reach them automatically but also securely.
Cultivate a career path
A study by MIT Technology Review states that 83% of employees that earn less than $20 an hour are threatened by automation. Most specially, warehouse and manufacturing workers find themselves working alongside intelligent machines which can do tasks more efficiently. However, this does not mean that machines will take over their jobs. Rather, these technologies will create numerous job opportunities in the future. However, these jobs entail a wide knowledge in artificial intelligence, machine learning, and data analytics to be able to operate side by side with new technology.
Which is why in an effort to keep their employees happy and growing, companies are starting to invest in upskilling or reskilling their workforce. New technologies continue to emerge and learning new innovations collectively as a workforce helps employees adjust to the new normal. This helps employees embrace new technology, giving them greater motivation to learn new skills and fully anticipate and accept changes in the workplace.
According to a report from McKinsey, 84% of executives believe that their future success is dependent on innovation. The digital transformation is being led by the next generation of workers and as long as they demand the utilization of new technologies, businesses must adapt to attract and retain them. Innovations introduce new ideas and solutions that create a more efficient work experience for employees.
Talented and innovative workers want to work for innovative companies. In order to recruit and keep the talent you need, your business must also be innovative enough to challenge them and encourage them to grow.
Happy workers, happy business
If you are in a very competitive field, such as the warehousing and manufacturing industry, there will be other businesses that will compete with you for the very top talent. Having a good and thriving work environment ensures not only happy employees but loyal ones as well. Loyalty is more valuable than anything else, especially in this job market. By respecting your employees, making them feel heard, encouraging them to grow, and allowing them to become more productive, you are creating a team that will move your business in the right direction.