Millennials are now the largest generation in the workforce, making companies rethink their approach to talent management. Individuals born between the 1980s and 2000 are in their prime working and spending years and will carry a lot of weight in shaping the economy for years to come. Because millennials dominate the workforce, companies are adjusting their approach to talent management to cater to this generation’s motivations and mindset.

While a good paycheck might have been enough for past generations, companies have to offer more than monetary compensation for most millennials. According to a Gallup study, the millennials are a “job-hopping” generation who cost the US economy $30.5 billion annually in staff turnover costs. Here are three strategies for attracting, training and retaining the young talent you want in your company.

1. Build a Millennial-Friendly Company Culture.

A company culture that embraces millennial values will draw in a more competitive applicant pool. For example, millennials seek out companies with ethical principles. In fact, most workers today want to work with a company that has purpose, and they would be willing to take a pay cut for it. Employees’ happiness often outweighs the number in their bank account.

Millennials understand that changes in the economy are outside of their control, but their skillset is not. Accordingly, they also look for companies that invest in their employees with ongoing training or education incentives. Millennials do not want job security but career security.

2. To Keep Millennials, Treat Them Holistically.

Millennials want connection, recognition and a healthy work-life balance. Instead of only discussing job responsibilities and goals, managers should get to know their millennial employees as people using questions like these:

  • What does a great work day look like for you?
  • What are your career goals, and how can we support them?
  • Are you receiving enough feedback and recognition?

Many young professionals seek work that is flexible and enables them to work remotely or around other important parts of their life, like volunteering or family. This desire does not mean they want fewer hours; about three-quarters of millennials work more than 40 hours a week. Most just want to the ability to choose when those hours take place.

3. Use Software to Manage Millennial Talent.

Changing how you do business is not easy. Talent management software can help make your company more sustainable and your talent management processes more streamlined. Consider software tools that can assist with recruiting, onboarding automation, training automation, performance management and succession management. Depending on the changes that you are implementing, different software platforms can accommodate your new direction.

It can be difficult to change how you acquire, train and retain young employees. Instead of feeling overwhelmed, focus on how you can shift your company culture, approach to treating employees and use of software platforms to help you along the way.