A growing number of HR studies has demonstrated that more than 55% of employees in an average company are actively searching for other job openings!
Consequently, companies are constantly losing around a third of their employee’s base each year. With alarming numbers like this we can say that employee’s loyalty is a very difficult to maintain.
Hence beyond the charge of hiring replacement, this procedure both time and money consuming! In fact, it cost about 20% of an average employee’s salary to replace that one individual, according to the center of American Progress. Which means that every company should invest in employee’s loyalty to be more productive and avoid unneeded time and budget losses.
But how can you achieve that? What are the procedure that employers must use to decrease their working forces turn over and make them more loyal?
Here are seven simple steps that you can implement to improve your employee’s loyalty and devotion.
1.Understand what is employee’s loyalty first.
Employee’s loyalty is a generic term that includes the set of feelings that make employees feels devoted and attached to their current organization and less likely to look for other job opportunities elsewhere.
It is the situation where employees feel like they are naturally devoted to the success and progress of their company in such ways that being a part of this organization is in their best interest.
For instance, if you need to increase employee’s loyalty, you must improve all the positive emotions and decrease the negative ones, that your employees feel as they make the decision to stay or quit.
If you will understand that you are dealing with deep emotions rather than specific behaviors, you will know what really matters.
2.Provide fair and competitive compensation.
Your staff expect to be paid as much as they would earn if they do the same job somewhere else and they tend to feel de-valued when they are paid less than that.
Your employees also expect to be paid as much as their peers who are executing the same work, regardless whether those peers are better at negotiation.
The easiest way to establish a real fairness is to publish everyone’s wage or compensation like publicly-held companies do by publishing executive compensation.
Some companies have adopted the principle of transparency in term of their employee’s compensation like: Buffer, Glitch or also Starbucks.
3.Hire more referrals.
One of the easiest ways to create connection and build strong relationship between your employees is to create referral programs and bonuses that push employees to recommend the company for their friends and network members.
For example, 60% of employees at the company Location labs specialized in mobile security for humans, were initially hired thank to the employee’s referrals program.
This procedure resulted in a small annual turnover rate of 5%.
Hence, when people feel valuated, happy and devoted to their company, they will naturally recommend it to their connections and consequently help the organization to build a stronger and well-built employee’s base.
4.Empower your employees and give them more control.
HR management technics and methods have evaluated with time.
Hence, fifty years ago the main management concept was built on “delegation.” The twenty last years it became “empowerment.” In today’s landscape, management is all about “engagement.” However, all these three concepts mean that managers need to cede more control to employees and to empower them.
Companies that have “engaged” employees are benefiting from people who are making decisions and taking initiatives rather than just simply following orders. These companies have a 31% lower turnover rate.
Another way to improve employee’s engagement is to make them set their own work hours, rhythm and decide whether and when they need to work remotely.
With everything happening during these lats two years, today’s workplaces contain more uncertainties than ever!
Some industries have disappeared others have risen, and the world-wide economy keeps changing with new innovations and technologies emerging each year.
This continuous uncertainty has created an overwhelming climate of stress that made employees more miserable and depressed, according to a study conducted by the University College London.
But even if we know that companies don’t have a magic tool to fix the uncertain economy, they can make work more certain and predictable by constantly briefing employees and keeping the updated when changes are imminent.
6.Get rid of jerks.
It is difficult for employees to be loyal or devoted to a company that tolerate people who make the workspace depressing and overwhelming for everyone else.
Authoritarian or abusive managers or colleagues increase the stress rate even for people who are not directly related to them.
These manipulative and vicious employees will negatively affect the entire atmosphere and will create issues with others.
For this reason, it is better to transfer or get rid of these employees who are always trying to poison their peers mind and have no will to change their behavior or acknowledge their faults.
7.Advertise your talent brand.
Employees want to feel proud of their work and of where they are working.
Companies who work on their talent brand can easily retain and attract more talents.
However, talent brands, like corporate brands needs time, money and effort to be built and maintained. There is no magic potion or shortcut.
Unfortunately, talent brands, like corporate brands and product brands, take time, effort and money to build and maintain. There are no shortcuts.
But if you have succeeded to build a strong talent brand, you can easily advertise it and bring it in front on your website, social media and PR supports.
Finally, by implementing those seven steps you will be able to boost your employees loyalty and devotion which will create a more healthy, balanced and productive working force.