BENEFITS OF EMPLOYEE RETENTION STRATEGIES

Employee retention is an important activity to every organization. Various organizations uses various strategies to retain its efficient and experts. Employees should feel that they are treated with respect and equal. And they are fairly and highest paid for their job. Monetary and non-monetary benefits will add on in retaining them.

Now will see the benefits of implementing employee retention strategies.

Reduces Labour Turnover ratio:

Employee turnover is a natural aspect of any business, but high turnover can be a hassle to the organization. Every employee that leaves the organization takes a significant portion of the time and resources with them, from lost productivity, to the time the organization spends searching for their replacement and starting everything from new can be reduced and can focus on organization’s development when retention takes place.

Reduces Cost:

I as a HR person know how I waste my time due to labour turnover. First, it takes time to find new employees who are qualified and reliable. Then, it takes time to set up interview rounds and negotiations. After that, it takes even more time to on-board employees. Finally, it can take a significant amount of time to train new employees. Adding up all the hours, turnover is a human resource headache. By focusing on retaining employees, you can cut down on the time spent on those new-hire tasks and get back to the more profitable aspects of running a business.

Good will: 

Organizations with best employee retention strategies have good brand image in the market this help in attracting and retaining best employees also through the brand image the organization can make more profit and become a market leader.

Productivity: 

Efficient employee retention strategies will increase the productivity of employees which in turn increases the productivity of whole organisation. Not retaining efficient and experts’ drops down productivity, the time taken to replace the position and train the new employee altogether it takes 1 or 2 years for a new employee to perform and contribute to the organization’s productivity.

Creates Experts’:

Employees that have been in the organization for longer  have  tendency to develop time-saving and problem-solving practices. As they become more comfortable and familiar with the business and industry, employees naturally begin see ways to make things better and more efficient. If a business keeps the employee around long enough to notice these opportunities, they will quite often share that good idea or observation.

Culture of Organization:

Culture of an organization is built by the people in the organization. When there are employees who have been with the organization for long they bring with them a healthy working culture. This is negatively reflected on the culture when employees leave the organization. Building strong culture is one of the priorities of every organization and if retaining employees is beneficial for them then they should make efforts to ensure that a strong culture is built.

Loyalty:

Every organization needs loyal employees to ensure sustainability in long run. These loyal employees add to the company’s brand, satisfied customers and happy work place. There are many hidden benefits of loyal employees which can be seen on different platforms. Strong Employee Retention policies in an organization will ensure that these loyalty benefits are enjoyed by the organization and the employees.

Quality at work:

The work quality is adversely affected when employees who have been trained for a job leave the organization. Employees leave creating a gap in the process, this creates troubles in managing daily tasks which affects the quality of work. Other employees are over burdened and feel exploited.

Immediate replacement of these employees becomes impossible and thus employee retention becomes advantageous to ensure quality of work.

 
Workflow issues and problems

When the employees leave an organization, the work flow gets affected. Training would be required to ensure that a suitable employee takes over the task. Till the time, a replacement is found, the work does not go as planned and this might affect the relationship with clients too, therefore retaining the efficient and experts is an advantage for the organization.