PART 2 of the high cost of turnover
In the first article of this series, we pulled back the curtains and looked at all the ways that turnover costs you money. We used the analogy of suffering a severed femoral artery, and I promised you a comprehensive treatment plan to not just temporarily staunch the bleeding but to repair the damage with surgical accuracy and restore health to your staffing process.
So let's begin with the most important step - the tourniquet. The purpose of a tourniquet is to slow the immediate and rapid loss of blood temporarily.
In the context of business hiring, this is the new hire revolving door - people leave as quickly as new people are hired.
Last June Fast Company magazine published a great quick read on why new employees leave within the first 90 days [link] in which they cited the following facts from research by Jobvite:
Staggering when you add this 30% number to the cost calculation we covered in Part 1, right! Now add the additional multipliers of the currently low unemployment rate and the impact of employer review sites like Glassdoor where disappointed and grievous employees freely share their cautionary tales with other job seekers, and you can find yourself with a significant deficit in even attracting the caliber of talent you need.
The reality is that in the current employment environment, for many positions and employees, the demand for talent is so great that there is no reason to stay in a job that doesn't feel like a great fit from the very start. Let's focus on how to have the most immediate impact on shutting down the new hire revolving door no matter the type or level of position in your company: Avoiding mismatched expectations & cultural fit. Step one, make sure that your hiring process follows these simple guidelines...
So grab your notebook and write your answers to assignment # 2:
ARE YOU READY TO GET STARTED? I have the skills and experience to help you get quick answers and craft custom solutions that will have a positive, lasting impact. More importantly, you can have a tailored solution at little to no more cost than purchasing a canned solution.
Thanks for reading! Please leave your comments and questions below and check back for Part 3 of this series where we will explore how to improve the retention of seasoned employees.