8 Mistakes That Can Damage Your Retention Rate

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We are going to let you in on a secret many CEOs don't know. It is possible to create a workplace that not only helps you retain your current team but also will help you attract top talent. Some organizations take missteps in creating a workplace their employees love and want to be a part of, however, these mistakes are avoidable. 

 

1.Choosing the Wrong People


Employee retention begins with choosing the right people. Hiring employees is a time-consuming and expensive task. Add in the cost of the employee's salary, and each member of the staff represents a sizable investment.

 

The first mistake hiring managers make is choosing the wrong people at the outset. The fact is that most interviewers are not experts, especially if the hiring company is small. It's a mistake to concentrate on skills and experience while ignoring the person as a whole package.

 

You want someone who is a good fit for your team, plus people who can learn new skills quickly. A good attitude is not always easy to find. If you choose the right person in the first place and offer them a rewarding job, they will stay for years. Choose a bad fit, and they will go within a few months.

 

2. A Poor Reward Structure

 

Once you have found the right person, you need to offer a good benefits package. Paying a salary is the same as putting a value on that person's contribution to the company. How much you pay your staff is a direct measure of how much you value them.

 

Each member of your team will have their own idea of how much their contribution is worth. It becomes a problem when there is too large a gap in opinions. It can leave them feeling unappreciated and jealous of their peers in other companies. This is avoidable if employers are open and willing to negotiate on salary and other benefits.

 

3. Lack of Career Progression

 

Years ago, people stayed in a job for life. It must have been reassuring to be so safe. The Department of Labor determined that people change jobs 12 times within their career. As a result, there are more opportunities for career progression.

 

Your staff is ambitious, and while no one wants to be a pen pusher or numbers droid, they do strive to be a leading development team. They want to be managers, coordinators, and experts in their field. Hiring and retaining the most talented staff means offering a sense of progression. Do not just give people a job, give them a career path and provide them with the map and compass.

 

4. Lack of Feedback 

 

Providing your team with regular feedback is a fundamental task that every manager should do, yet it does not often happen. Give your team constructive criticism and tell them how to improve. Doing this will alleviate the need to attract talent from outside the organization; you can cultivate it from within.

 

It is also a mistake not to make yourself open to feedback. Your team gives feedback all the time - you must recognize it. Consider how your staff interacts with you. Are they happy to see you? Are they open and honest with you? Ignoring feedback of any kind is risky, specifically staffing issues. It is unforgivable and entirely avoidable.

 

5. No Team Environment

 

Successful organizations consist of good teams. This gives people a sense of responsibility and duty towards the other team members. Which results in a desire to not let their team down. When a team works well together, it is more than the sum of its parts. Being on that team, knowing you did your bit, is enough to boost your staff retention.

 

Current events have made it more challenging to build and keep a team together, and distance working has made remote employee engagement a hot topic. It is a challenge, but with all the communications equipment and software out there, it is achievable.

 

6. Poor Communication & Lack of Transparency

 

Look at your cell phone. Think about how many ways can you send a message. There is a minimum of five ways, from a standard phone call to an email or web apps like Discord. The best alternatives to Discord offer some different features that could help internal communications in your company.

 

Excellent communication begins at the top. This means setting clear goals and having a mission that is more than just words. Building a culture of openness and transparency is vital for morale. When your staff knows what is happening in the company and why it is happening they will be more committed.

 

7. Not Embracing New Technology

 

Using old, outdated equipment is a sure way to damage staff retention. It quickly becomes tiresome if it takes an age to turn on your computer in the morning. It is frustrating if every time you load a webpage, the browser stops responding. This damages morale significantly especially if your competitors are investing in new technology to make life easier for their staff.

 

A new computer, new software, the best scheduling app, and so on will boost productivity and help with staff retention.

 

8. Not Investing in Your Team

 

Failure to invest in your staff is a mistake in its own right, but it also captures all the previous points. Investing in your staff is vital if you want high retention rates. Some managers might see it as a risk. You don't want to invest in training if that person was going to leave shortly after. Conversely, people will be less likely to quit if they feel valued. It is a paradoxical situation. As a manager, you need the courage to break the cycle.

 

The Takeaway

 

The keys to retaining and attracting top talent are:

  1. Invest in your staff
  2. Take time to choose the right people
  3. Pay them well and give them rewards
  4. Offer your staff opportunities to advance and develop - you can help them to do so by giving and receiving honest feedback
  5. Make your staff feel like part of something important
  6. Be open about the strategy and direction of the company, and give them the best tools to do the job

Do all of this, and you will attract - and keep - the best talent.

 

DH Offers onsite & virtual solutions to help your organization maintain & attract the best people to help your business thrive. 

Executive Coaching & Strategic Advising 

About the Author

Victorio Duran III -

Victorio is the Associate SEO Director at RingCentral, a VoIP technology provider and the global leader in cloud-based communications and collaboration solutions. He has over 13 years of extensive involvement in web and digital operations with diverse experience as a web engineer, product manager, and digital marketing strategist. 

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