Reasons Companies Have a Hard Time Keeping Good Staff



Companies report that having a high employee turnover rate is very bad for their bottom line. Many think all they have to do is recruit good people and they will stay if thee pay is good. Proving staff with a competitive salary is a start but companies need to do more if they want to retain good people. If when you look at your organization chart (org chart) and see that it needs updating all of the time, you might have a problem with employee retention. Here are some common mistakes companies make with their staff:

  • They burn their employees out. Some companies think that they have the right to squeeze every last drop of work out of their employees. Few things are as effective at burning people out like working them to death. Some staff members feel like they are being punished for working hard. When you reward good work with more work, that is the message your are sending your staff. This is not good. It also makes them less productive because they are human and they get tired. Your return on investment starts to decline after a worker has put in 50 hours in a week. That means you are not getting more “bang for your buck” when you work people past this point.
  • They do not value their workers. If people feel their boss does not care about them or they have a bad relationship with their boss, they will not stay a company. In fact, more than 50% of people who quit their jobs cite this as the reason. Some bosses work with their employees, offer praise when it is warranted and constructive criticism when that is called for. These bosses care about the people who work for them and build a bond with those people. These are the bosses who keep their staffs because they have developed a relationship that works. These are the bosses who never have to update their org charts.
  • They fail to reward good employees. When someone works really hard and goes the extra mile for their employer only to find their contributions are not appreciated and their hard work not rewarded, they will start to look for work elsewhere. People like to know their work is appreciated and that there is room for advancement in the organization. People respond well to praise and want to know they are doing a good job. It makes them feel good about themselves. Some companies use their employee photo boards to showcase high earners and reward performance.
  • They do not follow through on their promises. Employers who make promises to their employees that are not followed through, you lose your credibility. In fact, when employees lose their faith in their bosses, they head to Google and start to look for a new job. Bosses who follow through on their commitments to their people gain their workers’ trust and that is a big motivator for a lot of people.
  • They do not work on the hiring process. It is too easy to fill the employee directory software system and org charts with the wrong people. It is important for businesses to either invest the time and money in hiring the right people for their company. It is equally important to promote the staff that work the hardest. When people are passed over time and time again for promotions or they see other good people going through that, they become demoralized and they leave.
  • They neglect to help develop their staff’s skills. Employees who are given options to help them develop their skills and become better workers have lower turnover rates that those who do not. It is easy to not help workers advance their skills and develop but them people start to get bored and feel their jobs are never going to advance. This is a sure fire way to have staff looking for new jobs.

If you are concerned about your employee turnover rate, look at your org chart and business organization chart. Talk to your staff about what they like about working for you and what they do not. You can make changes that will make your business a place where people want to work.

Leave a Reply