Studies have found that employee turnover results in businesses losing over $1 trillion annually. This staggering number can affect your company’s bottom line, but by providing the right incentives, you can decrease the cost of poor employee retention.
Employee Turnover
Employee turnover has always been a problem for business owners, with almost one-third of employees quitting within the first six months. Furthermore, an entry-level worker’s departure costs the company 50% of their salary to replace them.
Additionally, employee turnover negatively impacts the morale of the remaining employees, sometimes leading to additional team members leaving.
There is a way to help lessen the rate at which employees leave your company, and it starts with investing more in your employees. When polled, 94% of employees said that if employers invested more in their training, education, and development, they would be more likely to stay with a company.
Human nature is to improve and feel valued. If you are mentoring and educating your employees and focusing on their worth and well-being, you will build a community of individuals who want to grow and support one another.
Compensation
Another way to decrease employee turnover rates is to help your workers feel appropriately valued. One of the best ways to achieve this is by compensating workers with an appropriate wage or salary. If a team member adds value to your company, treat them as the highly valued individual they are. Unfortunately, these workers will be the first to leave if not paid fairly.
It has been proven that employee retention rates are directly linked to proper compensation. If not adequately paid in proportion to their work, employees will seek an environment that appreciates them.
Additional Benefits
There are an array of other employee benefits that can positively impact your retention rates, attract better workers, and increase productivity. These benefits show your employees that their whole person is valued, not just what they do at work.
By providing health and wellness programs, an employer can increase the productivity of their workers. This can encourage healthy behaviors that boost a person’s physical stamina, improve their immune system, and instill positive goal setting.
Some of the best and most valued benefits that employees desire are family benefits. Nearly 83% of millennials would change jobs for better family benefits. Possible benefits might include flexible or remote work, paid parental leave, affordable insurance, and childcare support.
When parents do not have adequate support during these pivotal life transitions, it can negatively impact their work attendance and decrease the chances of mothers returning from maternity leave. Employee lactation support is an essential component that employers should provide for new parents to increase their retention rates.
For new parents, The Lactation Network (TLN) offers employee lactation support and has programs that can integrate seamlessly into existing family benefits plans and provide comprehensive coverage for lactation care through self-insured health plans.
TLN’s Newborn Families program helps to support families in their new roles as parents, providing support at work and home that positively impacts employee retention rates, boosting them from 59% to 92%.
Conclusion
Knowing how employee retention rates affect a business’s bottom line, as well as company morale, should motivate employers to focus on better supporting their employees and their families. This comes in many forms, including education, mentorships, proper compensation, and additional benefits such as lactation support in the workplace.
Lactation support plays a vital role in employee retention by promoting employee well-being, work-life balance, job satisfaction, and by enhancing the organization’s image as a supportive and family-friendly employer. Employees want to feel valued, and by implementing these aspects, workers will feel like they are a vital part of a community that works together to build each other up.
