Important of Employee retention

  

                     

According to Elise Paulsen (2021) Employee retention improves the health and success of your company. Hiring and training new staff takes a substantial amount of time, effort, and money, and turnover may be detrimental to your business's success. High staff turnover causes a number of issues, including increased expenses, knowledge loss, and decreased production.

As stated by Alex Larralde (2023),Your people strategy serves as the basis for future business success. You will struggle to prosper and expand unless you have the appropriate people in the proper positions. That's why programs like talent management, succession planning, and workforce planning are so important for success.

Employee turnover may undermine your organization's strategy and growth objectives, jeopardizing its success. As more employees depart the organization, your talent function enters triage mode. They prioritize bringing in fresh talent above effectively educating and nurturing long-term personnel. This reaction demonstrates a reactive approach to retention, rather than a long-term proactive plan. 

It's hard to overstate the value of staff retention to your company. Employees who are happy and satisfied provide a solid foundation for developing a talent strategy that will help your business grow.

Addressing these challenges is within your power as an HR leader. To boost employee retention, you should improve and optimize your offers, such as compensation, benefits, employee experience, and career development opportunities.

HR professionals are responsible for reducing turnover and developing an engaged workforce, especially during an uncertain economy. 

                                       
 

As such it can conclude that, High retention decreases knowledge loss, hiring expenditures, and income potential. It magnifies employee contributions, allowing you to make the most of your skills. And retention improves long-term performance and commercial outcomes while also pleasing your clients and consumers.

                                          

 

 

 

 

 

 

 

 

 

References

Paulsen E.(November 2,2021), Why Employee Retention is Important [Online], Available at :https://www.quantumworkplace.com/future-of-work/why-employee-retention-is-important [Accessed on 30th March 24]

Larralde A.(July 25,2023),7 Benefits of  Employee Retention + 4Retention Strategies [Online], Available at :https://www.betterworks.com/magazine/benefits-of-employee-retention/ [Accessed on 30th March 24]

 

 

Comments

  1. SabiraMarch 30, 2024 at 9:42 AM

    Why do you think employee retention is crucial under the present context , and why is it important for companies?

    ReplyDelete
    Replies
    1. Dinusha UdangamuwaApril 8, 2024 at 9:59 AM

      Employee retention is critical for workplace team development and cohesiveness, as it allows employees to trust and rely on one another. When talented workers leave a firm, productivity and competitive advantage suffer significantly.

      Delete
  2. Sudesh De AlwisMarch 31, 2024 at 10:03 AM

    How does a reactive approach to employee turnover, prioritizing bringing in fresh talent over effectively educating and nurturing long-term personnel, undermine an organization's strategy and growth objectives, and what strategies can be implemented to shift towards a proactive retention plan?

    ReplyDelete
    Replies
    1. Dinusha UdangamuwaApril 8, 2024 at 10:05 AM

      Implementing mentoring and coaching initiatives may be a successful talent retention approach. Assign experienced mentors to advise and encourage workers' professional growth. The mentor can offer advice, share information, and offer critical comments.

      Delete
  3. Sanjitha Dilan RajapaksheApril 1, 2024 at 12:20 PM

    As noted by Elise Paulsen and Alex Larralde, staff retention is essential to the health and profitability of any business. Businesses can minimize the negative effects of employee turnover, optimize employee contributions, and ultimately achieve long-term success and client happiness by putting effective people management techniques into practice and placing a high priority on employee satisfaction.

    ReplyDelete

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