These days, the common adage “employee’s market” is littered across most HR blogs and popular HR newsfeeds. Gone are the sporadic and scarce job posts as the marketplace becomes SATURATED with businesses looking to hire. Unfortunately, more often than not, they’re looking to hire much too quickly. As such, employees are feeling the power of countless opportunities at their feet. No longer in fear for losing their position to a layoff, they are empowered with the backbone of the lowest unemployment rate in years.
When it comes to job satisfaction, employers are facing more and more pressure to create an environment that employees are looking for: with more money, perks, benefit packages, and even charitable connections. Employers who fail to accommodate these growing needs, may face an empty break room. Approximately 40 percent of employees who quit in 2017 did so within 12 months of their hire date, according to a study based on data from over 34,000 exit interviews analyzed by Work Institute, a workplace research and consulting firm in Franklin, Tenn. About half of workers who departed in their first year left quickly—within the first 90 days.
“The rise in first-year turnover is a sign of the job market, as employees can easily go elsewhere if a job doesn’t meet their needs and expectations,” said Danny Nelms, the president of Work Institute.
What does this mean for you? One word: turnover. Let’s face it, turnover is expensive, and while your knee jerk reaction might be to fill seats as quickly as they empty, there is considerable added expense when you hire the wrong employee.
Simple solution? STOP THE HIRING PANIC! Take time to evaluate each of your business’ positions, so you gain a better understanding of your teams’ needs. Conduct market salary surveys to determine if existing wages may not be competitive. Do you offer a benefits package? Do you have a culture/work environment that is appealing to your employees? Find out by inviting exiting employees to an exit interview. Ask important questions to help you understand and protect against potential future and unnecessary employee departure.
Last but not least, define your HR brand. Consumers are value-driven and so are employees. What do your advertising campaigns and brand communications say about your business? What about your philanthropic work? Which organizations do you provide financial or volunteer support for? These efforts exemplify the behavior of your business toward its partners and contractors and good people want to align with good companies that share their values.
If you don’t have talented people in the role of methodically recruiting and retaining talented people, then you may face disadvantages. But with professional help and focus, you can win the race and at a slower hiring pace.
At OmegaComp HR, we offer services which guide and align clients’ needs and help remove the painstaking burden of recruitment, employee policies, compliance support and more. Our experts have helped hundreds of employers shift their HR gears with sound solutions that make sense.
Reach out today to learn more: 888-540-0752