Improving your talent-management skills can stop an employee exodus.
Employee turnover can be beneficial when it means new hires are bringing fresh ideas to a small business. But when a business resembles a revolving door and turnover becomes an epidemic, it’s downright scary—and expensive.
The cost factors are numerous, from lost
productivity to reduced efficiency from the spread-thin workforce that remains
at the organization.
“Managing turnover and really managing your
talent—and especially your best employees—is something that any employer,
including small business, can take proactive actions on,” says Linda Dulye, the
founder and president of Dulye & Co., a workplace engagement consultancy in
1. Speak up.
According to Dulye, lack of communication, particularly with a direct manager, and involvement in decision-making are major factors that drive an employee’s decision to leave. Workers tend to feel a sense of loyalty to a business if they feel informed about its performance and involved in daily operations. Increasing the number of cross-team conversations, brainstorming sessions and regular meetings about the performance of the company can help make people feel a part of the team.
from those who are leaving.
If poor communication isn’t the problem, small business owners must figure out why people are leaving. “You really need to uncover some root causes,” Dulye says.
Frightened of burning a bridge, exiting
employees may feel uncomfortable being fully honest with the small business
owner. Instead, Dulye suggests small business owners have trusted employees
conduct exit interviews and relay the information to you.
Or, bring in a human resources consultant to
conduct the interviews and have that person follow up with people who have
already left. It allows for more honest answers.
3. Hire the
If a company is facing a high turnover rate, it could be the result of poor hiring practices. To find the right employees, Claudia St. John of Affinity HR Group in Cazenovia, N.Y., suggests adding behavioral interviews to your hiring process.
For example, if exit
interviews reveal employees are leaving because of the high-stress nature of
the available position, behavioral questions such as “Describe a time on any
job in which you were faced with stresses which tested your coping skills. What
did you do?” can give clues to how a candidate will respond.