Employee Retention: Strategies, Techniques, and Plans

Finding the right staff for your organization can be extremely difficult— but that’s only half of the challenge. You’ll also need to work as hard as possible to retain your current staff members. Competitors can easily poach your current employees; it’s increasingly important to analyze your staff retention and employ strategies to prevent high staff turnover.

In this post, we’ll be taking a closer look at staff retention and its importance. We’ll also explore strategies you can use to improve your current staff retention rates.

Employee Retention Definition

So, what is employee retention? This term refers to how well an organization can retain its current crop of employees.

While companies place a lot of focus on recruitment, they are starting to realize just how critical it is to ensure they retain as many employees as possible. Businesses now invest considerable money in retaining staff.

If you haven’t taken a closer look at your current staff retention rates, it’s probably a good idea to start now. By looking at your past hires and their average length at the company, you can help determine if you’re currently experiencing an excellent staff retention rate. It may also be worth calculating the average training cost per employee— this can help you assess how losing staff impacts your business.

Importance of Employee Retention

 

Employee retention is essential for an organization of any size. If you’re unable to retain staff, it’s usually an indication that you’re not promoting the right environment in your workplace. Below, let’s explore some of the clear benefits of increasing your employee retention rate.

Lower Training Costs

If you’re hiring a new employee, the training costs can be massive. While you may not have to pay for formal education or training, the amount of time it takes for someone to get up to speed can cost your company money. Other staff members will also need to invest time and resources training your new employee.

If you’re hiring for a technical role, the training costs can be even more expensive. If you lose a staff member, you’ll have to hire someone new and repeat the same level of investment.

More Efficient Output

If you want to keep your output at top efficiency, staff retention is crucial. If you’re always hiring and retraining staff, your production is drastically reduced. Retaining trained staff is particularly important if you’re engaging in long-term projects. Having to hire and train a new staff member during a complex project may prove to be next to impossible.

Less Risk

Hiring new staff to replace a long-term employee has its risks. You can only learn so much about someone during the recruitment process — it’s best to keep hold of staff that you can trust.

Employee Retention Strategies

 

There are plenty of different things that you can do to increase your chances of retaining employees. Below, let’s take a look at some standard employee retention techniques that organizations can use in the workplace:

Salary, Benefits, and Everything in Between

In reality, everyone works for money. While you can offer other great benefits to your employees, the compensation needs to be competitive in your industry. If people feel undervalued by your organization, they’re less likely to stay.

Consider the costs of replacing someone when you decide on their compensation package. You can save a lot of money by simply providing people with a competitive salary from the start.

Clear Communication

If you’re running a large organization, communication might be an issue. It’s vital that staff members feel they’re receiving clear communication about expectations and projects. By auditing managers and communication channels, you’ll be able to ensure that everyone is effectively receiving the information they need to be satisfied with their jobs.

Seek Feedback

You should always be seeking feedback from employees. You need to foster an environment that allows employees to speak openly about their experiences in your organization. You’ll have a hard time retaining staff if they feel trapped in silence.

Build a Company That Impresses

While salary is significant, ambitious people also want to work for a company that they can be proud of. This provides them with substantial experience on their CV, as well as the career satisfaction they’re looking for. By building a company that has a strong brand and set of values, you’ll be able to offer more to your employees.

Employee Retention Plan Template

 

An employee retention template can help you outline a clear plan for retaining employees and reducing staff turnover. There are tons of great templates online, but we’ll take a look at a small one right here in our post. Remember: You should customize a template to suit your particular needs.

Designate Different Employee Groups

One of your first steps should be to divide your company into different subsections. This will allow you to determine which groups of people require which employee retention strategies. For example, senior management will have different requirements than entry-level employees.

Use a Comprehensive Approach to Custom Retention Plans 

Make sure to consult with different levels of management to see what they think will contribute to a solid retention plan. Ask for guidance on what your staff members want from your organization. Your staff’s input will help you build custom retention plans for different parts of your organization.

Develop Feedback Forms

You should develop precise feedback forms that allow staff to provide information at specific intervals throughout the year. You can use this feedback to address shortcomings.

Quarterly Meetings with Checklists

It’s essential to remain consistent. Setting up quarterly meetings with clear agendas can help you keep your finger on the pulse of your organization. Make sure to set checklists that help your quarterly meetings remain consistent.

Seek Improvement

As always, it’s essential to seek improvement continuously. If you’re in a competitive niche, you need to be offering the best workplace environment in your industry.

Second Round Interview Questions to Ask Potential Employees

Second Round Interview Questions to Ask Potential Employees

Recruiting new employees is a difficult task. You have a relatively small amount of time to ensure that someone is a good fit for your vacant position. As an organization, it’s imperative to invest time in developing a robust interviewing process. In many cases, this will involve multiple interviews.

If you’re planning on having two or three rounds of interviews, you should always make sure to differentiate them. This is an excellent way to explore different aspects of your applicant—each interview should seek clarity on various components of their application. You should be looking to extract further value from the applicant in the later stages of the interview process.

In most cases, a second-round interview will occur because you were happy with the first-round interview. A first-round interview is used to eliminate individual applicants from the next grouping. If you notice any clear issues in the first round, it’s a good idea to begin focusing on applicants you believe are a better fit for your organization.

In many cases, a first-round interview is very ‘surface level.’ It will explore various components of a person’s resume and ask basic questions that are applicable to the job. In some cases, a first-round interview may only be over the phone or via a video call.

The second-round interview should be seeking much more depth from the applicant. It’s during this round that you can truly explore their qualifications, skills, and personality. As mentioned previously, you only have a limited amount of time to choose the best person for the job–it’s critical to make the right decision.

In this post, we’ll take a look at some of the finer details involved in second-round interviews. We’ll also provide you with some excellent sample questions that you can use next time you’re quizzing an applicant!

Sample 2nd Interview Questions to Ask Potential Employees

 

While it’s a good idea to customize your questions, taking a look at some promising samples won’t hurt. You should always consider your organization, its needs, and its culture when you’re forming your questions. In the meantime, check out the sample interview questions below:

Why Do You Want to Work at Our Company?

You can use this question as a good opening teaser. It allows the applicant to describe why they want to work at your company— it will also show if they’ve taken the time to research your company and its services. If someone is well prepared for this question, it shows they care about where they work.

Discuss a Time You Overcame a Challenge in a Previous Role?

This is a question that allows the applicant to get creative and draw on their past. It can help you determine if they have problem-solving skills.

What Do You Expect from an Employer?

With this question, you can determine if you’re able to provide what the applicant is looking for. Remember: this is a two-way street. You need to be able to offer the environment the employee requires.

What Type of Culture Do You Look for in the Workplace?

Working with someone every day of the week takes its toll— this question can help you determine if the applicant is a good fit for your current workplace culture. It’s a good idea to hire people that will feel comfortable with your other staff members.

Where Do You Want to Be in Five Years?

Allow the applicant to expand on their goals and their career aspirations. It’s always good to have someone in your organization that is ambitious, but it’s also essential to verify they’re not planning on moving to another country, for instance, in the next few months.

How to Conduct a Second Interview

 

So, now that you have some strong sample questions to ask your applicants, it’s time to dive into some other aspects of a second-round interview. As with any recruitment process, it’s critical to have a clear plan that creates a level of consistency throughout the process. Make sure to build your list of custom questions before you begin the process.

In addition to the types of questions mentioned in the previous section, you can also use the second-round interview to ask technical questions. This is particularly important for specific niches.

It’s also a good idea to interview in person— this can help you get a better feel for the applicant’s personality. We also recommend that you invite other employees to be part of the interview process. Their input can provide you with a more comprehensive opinion on the applicant and their skills.

Never rush a second-round interview. It’s essential to get a feel for the person and what they bring to the table. It’s also crucial to make them feel valued— you don’t want them to turn down an offer because you’ve made a poor impression.

Using some of the tips in this section of the post will allow you to conduct an effective second-round interview. Make sure to customize your interview technique to fit your niche and requirements. No one knows your business and its culture as much as you do!

Verdict: Invest Time in Your Interviews

While you might like to play things by ear, it’s always worth your time to invest in your recruitment process. Your organization is only as good as its staff— finding the right people is vital if you want to succeed as a team.

Spending time with your current staff can help you develop comprehensive questions that apply to your business. Once you have a short list of questions, it’s good to ask for feedback on what other employees think is relevant. This specific feedback can be a great way to source the best questions for your next second-round interview!