6 Retention Red Flags and How to Identify Them
If the Great Resignation has showed us anything, it’s that employees crave investment in the human aspects of work and that nothing will stop them from stepping away if these conditions aren’t met. This ‘great reshuffle’ has given retention a whole new meaning.
High turnover rates have left a very heavy burden on businesses, and not just financially. The cost of talent leaving has often been high, ranging from 30% to 200% of their salary, leaving companies with no option but to spend more time and resources hiring and training new people to get them to a standard where they can start to contribute.
To mitigate this, employers across the world have been working tirelessly to refocus their employee retention strategies to ensure that their people are kept happy and engaged in hopes that they stick around for the long haul. Many companies have pushed the task of retaining existing talent to the top of the priority list, and unearthing red flags has become a critical step in this problem finding and solving exercise.
But what are the warning signs that indicate your people are thinking of calling it quits? What are some retention red flags that employers, managers and HR professionals can look out for to avoid losing out on star talent?
The Warning Signs
1. Low engagement
One of the most significant red flags that an employee may be considering leaving is a low level of engagement. When an employee is no longer engaged in their work, it may be an indication that they are no longer interested in their role or the company, leading to reduced productivity, lower quality work, and ultimately a desire to leave. In fact, studies show that companies with engagement scores in the bottom quartile experience an average of 31% – 51% more employee turnover than those in the top quartile.
2. Deteriorating work attitude
A poor work attitude may be an indication that an employee is thinking of leaving the company. When someone who normally tackles tasks with enthusiasm suddenly starts to withdraw and becomes disengaged, it might be a sign that they are unhappy and no longer get a sense of fulfilment from the work that they are doing. In fact, according to studies happy employees are up to 20% more productive and 59% less likely to leave the company than unhappy employees.
3. A decline in work quality
Late and shoddy work can be a clear indication that an employee’s mind isn’t fully on the job. While personal stress could be to blame, it might also mean that they’re not as invested in the job anymore, resulting in them only half-heartedly doing the work. As decades of Gallup research shows, when employees are engaged their performance soars, resulting in up to 147% higher earnings per share.
4. Uncharacteristic absences
Not showing up for work is another tell-tale sign that something isn’t right. This is especially true if the employee doesn’t provide a legitimate explanation or is vague about why they’re absent. These unexplained absences may indicate that they are taking time off to interview for other jobs. They might also be using the time to reflect on whether they want to stay with their current company. Regardless of the reason, repeated absences can signal that the employee is disengaged and losing interest in their current role.
5. Lack of interest in development
Talent who are planning to stay with a company long-term are often motivated to improve their skills and take on new challenges. They actively seek out training opportunities, attend company events and engage in ongoing learning. If an employee has completely distanced themselves from the idea of self-improvement, there’s a big chance they are not invested in their future with the organisation any longer. This lack of interest in opportunities for growth and development may indicate an employee’s intention to depart from the company.
6. Secretive behaviour
When an employee becomes unusually quiet about their work and starts to keep their plans and activities hidden from their colleagues, it can be a warning sign for managers to watch out for. Employees who are planning to leave a company often keep their intentions hidden from coworkers and managers. They may avoid discussing their workload, future projects, or other important details related to their job. They may also stop participating in team activities and become more withdrawn from their colleagues.
The Solution
Monitor behaviour.
Look out for a change in behaviour. Disengagement screams unhappiness and unhappiness leads to high employee turnover. Managers who notice this type of behaviour should try to have open and honest conversations with their employees to identify any issues that may be causing them to consider leaving.
Empower your employees.
By creating a supportive work environment and encouraging open communication, managers can help employees feel more comfortable sharing their thoughts and concerns. This can help to prevent the loss of valuable talent and reduce turnover rates within the organisation.
Commit to culture.
Focus on building a corporate culture of appreciation, support, open communication and empowerment that is geared to drive engagement. By providing support, recognition, growth opportunities, work-life balance and a positive culture, companies can create an environment that employees want to be a part of.
