A company’s turnover ratio (the number of employees who leave vs. the number who stay over a one-year period) can be a window into employee satisfaction within your organization. As the economy improves, predictions are that worker turnover will increase, causing an unwanted and unnecessary drain on budgets.
When a low skilled, hourly worker leaves, it can cost around 50 percent of that worker’s annual wage and benefits, while loss of upper management can cost three to five times one’s annual earnings according to the Rainmaker Group. Management must not only attract good people, but also create a positive work environment that retains them. While improved wages and working conditions can be a factor and should be evaluated, there are other, perhaps even more powerful, motivators.
Organizational culture has been tagged as a big reason why workers move on. Are they given proper training, encouragement and a path for growth? Is it a positive environment where people enjoy coming to work? Do workers feel valued and treated with respect? Does management provide supportive leadership that solves issues quickly and fairly?
A high turnover can indicate how well managers interact with employees and what kind of culture exists in the workplace. For some supervisors, “people skills” are their strong suit. For others, not so much. Here are six techniques that can improve communication and job satisfaction with your staff and, consequently, employee retention.
1. Use Positive Language. No one likes to hear only what’s wrong. It’s wearing, degrading, divisive and detrimental to morale. Even if you’re delivering bad news or declining a request, there are ways to focus on what is good in the situation. Be willing to find a solution. Emphasize what CAN be done, rather than what can’t.
Example: “I don’t have time right now” vs. “I’m very interested in hearing your side of the story. Let’s meet at 2 p.m. tomorrow so we can talk.”
2. Listen Actively. Listen to the entire message without interrupting. Give full attention; nod in understanding and make eye contact. Paraphrase what you hear, using open-ended questions to clarify. Meanwhile, put your phone away and close your computer—avoid multitasking and interruptions.
3. Offer Sincere Praise. Recognize accomplishments, milestones and hard work.
Let the employee know what they are doing well, so they can continue doing it.
Communicate how that behavior has had a positive impact on the company, customer, the team, etc. And like your mother told you, say thank you!
4. Empower Your Staff. “Empower” is derived from the 17th-century term meaning to invest with authority. When you empower your employees, you invest them with the authority to make decisions that created solutions. They will feel trusted and responsible, not only for their own success, but for the company’s. Provide adequate supervision so that staff will have success in taking on new responsibility. Allow risk taking, and ask employees how they would solve a problem.
5. Show Respect. There is never a reason to be rude, cynical or demeaning to an employee. Work is no place for name-calling and sarcasm. Set standards for positive interactions that preserve human dignity. Articulate problems with calmness and take time to listen. Communicate in clear, positive language.
6. Be Present. Get out of your office or cubicle and observe how things work. Ask questions and identify problems while they are still small. At first staff may think you’re “spying” or micromanaging, but if you honestly use the time to improve conditions, this concern will pass.
Motivate From the Top
Management is contagious—good or bad. Negativity breeds distrust and feelings of insecurity. Positive communication and empowerment breed loyalty and a strong team culture. While many of these suggestions sound simple and logical, they may not feel natural to supervisors who are used to more traditional methods of management. So, take it one step at a time and practice. The results are worth it!
