Employee retention is a top concern for many companies. High turnover rates boost costs and slow productivity. However, retention immediately begins when you hire new employees. People get their first impression of a new job on the day they start. Although many recruiters pull out all the stops to attract new candidates, the reality may be very different when new hires walk in the door on their first day. Retention should get just as much consideration as bringing in new employees during the recruitment process.
Pick the Right Employees From the Start
If you hire people who aren’t a good cultural fit for your organization or who don’t have the necessary experience, there are bound to be retention problems. A good match for your company goes beyond just the skills. New hires have to be able to collaborate with their teams and managers. Poor fits can cause friction and lead to retention issues across the board.
It’s important to consider your hiring strategy now as more millennials enter the workforce. Millennials are a highly educated generation, but young adults are less likely to be loyal to a single employer than their parents’ generation. Some employers are concerned about how they will keep talented young employees for the long haul. Not all millennials will jump ship as soon as they get a better offer, but companies need to consider what this generation wants out of their workplace. Young workers want more flexibility, the chance for professional development and the ability to take ownership of their work. Millennials also want to perform fulfilling work.
Employers may need to assess whether they offer these capabilities, since millennials are set to become the largest working group. Interviewers can emphasize opportunities for professional development and additional training during interviews, but it’s important to follow through on these promises when new employees start. Recent hires quickly become disengaged and more likely to look for other jobs if their employers don’t fulfill what was mentioned during the interview process.
Being more selective during the hiring process can help you boost your chances at retention, but the onboarding process is crucial for keeping your new hires as well.
Reassess Your Onboarding Process
Interviewing and extending offers to candidates is only the first part of the retention process. The first three months of a new employee’s tenure determine whether he or she is going to stay or go in the long term. A significant amount of turnover happens in the first year. What can employers do to increase the chances of your new hires staying with your organization? Because development is so important for retaining millennials, it may be a good idea to establish this as an important part of your culture from the beginning. In addition, new employees may start off on a better note if you assign a mentor on their first day.
Mentors help a new hire feel more accustomed to the environment. Starting a new job can be nerve-wracking for anyone, but the process may run more smoothly if a new hire has a go-to person to ask any questions that may come up. In addition, mentorship allows new employees to build relationships with people earlier on, according to Entrepreneur magazine. Forming workplace friendships may increase retention rates.
Automation helps streamline the starting paperwork. Many people enter a new job and spend nearly the entire first day filling out insurance forms and direct deposit information before even meeting their managers or teams, which may not make the best first impression. Streamlining the onboarding process allows more time for new hires to meet the people they will be working with every day.