Understanding the Impact of High Employee Turnover

Understanding the Impact of High Employee Turnover

Courtesy Of Advanced RPO

High turnover rates can have big implications for any company. Whether a valued worker leaves your organization voluntarily or involuntary, it can bring costs such as severance pay and administrative tasks such as exit interviews. You also will likely need to go through the recruitment, selection, and hiring process all over again, as well as training. These can cost both time and money. Here are a few ways the impact of high turnover can significantly affect a business, and how to combat employee turnover at your company.

When a valued worker leaves your organization, it can give your staff the impression that the entire company is failing. It also may require remaining employees to shoulder increased workloads and responsibilities. This can damage morale, which in turn can affect productivity, revenue, and employee satisfaction. If an employee leaves for a higher salary, other workers may follow suit and seek higher-paying positions, too. 

Employees who exit your organization take their expertise with them, which can leave your business with a knowledge gap competitors can exploit. Luckily, there are ways to combat high turnover. Focusing on engagement, such as establishing employee appreciation initiatives, mentoring programs, and open communication, can be effective at motivating disinterested workers, making them less likely to leave their jobs.

Consider hiring employees who, behaviorally and culturally, are good fits for the job. Strengthening your hiring practices also can help with retention because you’ll avoid performance and personality issues. Enlisting the help of an outside recruitment firm can steer you in the direction of stronger candidates. For more information on how a high turnover rate can affect a business, see the accompanying infographic.

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Courtesy Of Advanced RPO
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Brian Farrell is a sales leader, author and social seller.