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Retaining top talent has never been more challenging. Employees are no longer resigning en masse, but companies would be wise not to get complacent.

Two employees smiling

[Images: Adobe Stock / Liubomir]

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BY Chris Dyer3 minute read

The Great Resignation may be over—for now—but now is the time for leaders to start making changes that actively improve retention rates. Organizations that want to avoid further mass resignations need to be more proactive. 

Building a positive work culture can improve both employee satisfaction and employee engagement. The investment in a positive work environment is an investment in the organization’s future, leading to sustained success and a workforce that thrives together.

GREAT RESIGNATION 2.0

How many companies actually made changes during the Great Resignation to improve retention rates and draw in more top talent? Not enough. 

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The truth is, it wasn’t companies that put an end to the dramatic rise in attrition. Rising inflation and fewer job opportunities made employees less likely to risk job hunting. 

In reality, things haven’t improved. 

At least half of the U.S. workforce is only doing the bare minimum on the job, according to Gallup. And nearly half (46%) of professionals say they’re considering quitting in 2024, which is higher than the 40% ahead of 2021’s Great Resignation. While salary is the main complaint amongst professionals, stressful and toxic work environments are a leading cause of voluntary turnover.

A toxic culture is 10.4 times more likely to contribute to attrition than compensation. And workplace stress increases voluntary turnover rates by almost 50%.

POSITIVE WORKPLACE CULTURE BOOSTS RETENTION

A high-performance work culture does not have to be cutthroat. In fact, it shouldn’t be. Toxic and stressful work environments do far more harm than good

It’s time for a change. If companies don’t start building positive work environments now, they are going to be blindsided by the loss of talent that comes with the next wave of the Great Resignation. 

A positive work culture can go a long way in improving retention rates and decreasing voluntary turnover. Happy employees are less likely to leave their jobs. Employees who are enthusiastic and motivated are more productive, more dedicated, and more loyal

BUILDING A POSITIVE CULTURE

Employees are no longer solely focused on competitive salaries and comprehensive benefits. They want to feel valued, supported, and motivated to contribute their best. By putting in the effort to build out a positive work environment, organizations can put themselves in a much better position—reducing voluntary turnover and attracting more top talent. 

Be Respectful

Fifty-seven percent of employees who quit in 2021 indicated that they did so because they felt disrespected at work. Respect in the workplace is fundamental to employee satisfaction and retention. Treat employees with fairness and dignity and avoid micromanagement, dismissive attitudes, or ignoring employees’ opinions and ideas.

Recognize And Reward

According to a survey by OnePoll, almost half of U.S. workers (46%) left a job because they felt unappreciated. On the other hand, employees who feel appreciated are 56% less likely to look for a new job. 

Effective recognition goes beyond monetary rewards. Personal acknowledgments, public praise, and opportunities for professional growth are all powerful ways to show appreciation. Tailor recognition efforts to align with individual preferences and contributions to make them more meaningful.

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Encourage Professional Development

Eighty-six percent of employees say they’d switch jobs for one with more chances to grow. And companies that invested in employee development saw a 58% increase in retention.

Providing opportunities for professional growth is essential for retaining top talent. Employees are more likely to stay with a company that supports their career aspirations and helps them develop new skills. 

Listen To Employees

Employees who feel heard are 4.6x more likely to feel empowered to do their best work. When employees believe their opinions and feedback are valued, they are more likely to be committed and contribute to the organization’s success. 

Acknowledgment and responsiveness can enhance job satisfaction and build trust and loyalty within the team. 

Be Transparent

Transparency builds trust and fosters communication. Employees who feel they can trust their organization will be more engaged, more creative, and more productive. Employees who don’t are more likely to quit

Being transparent involves sharing important information about company decisions, changes, and strategies openly with your team. It also means being honest about challenges and acknowledging mistakes. When employees understand the bigger picture and feel they are part of the decision-making process, they are more likely to remain committed and engaged.

TOXIC WORKPLACES DON’T WORK

Toxic work culture was a leading driver of the Great Resignation. The same will be true of the Great Resignation 2.0. 

A positive work culture will prevent employees from seeking healthier, more supportive work environments elsewhere. Organizations that fail to address and transform toxic environments will be hit hard by the next waves of the Great Resignation. 



ABOUT THE AUTHOR

Chris Dyer is a leadership speaker and author. Read Chris' Executive Profile here. More


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