It is no secret that there is a retention problem in the UK. In fact, a study by CIPD found that the average employee stays with their employer for 4.2 years. This is less than half the global average, which stands at 10 years. So, what is the cause of low retention rates in UK workplaces?
There are many possible reasons for the cause of low retention rates. One of the key factors for many businesses tends to be a poor job fit. In this blog post we look at this and other causes of low retention rates.
Some of the more common reasons for low staff retention are poor working conditions. These can include things like long hours, low pay and poor employee benefits. Some employees leave because they feel a lack of job satisfaction or there are no opportunities for advancing within the company.
There will also be some employees that leave due to no fault of the employer. They may leave to personal reasons such as attending university, needing to be nearer to older relatives or moving with family members.
As an employer you may also have some employees that are just unhappy with their job. They will therefore go on to find employment elsewhere.
The reason employees choose to leave doesn’t affect the fact that high turnover rates and low retention rates are extremely costly for employers. It takes time to re-hire and re-train. The staff morale in the whole team is affected as people keep leaving too. In turn, this affects work productivity and can leave to an even lower retention rate.
There are loads of benefits of higher retention rates for employers. Firstly, it saves time and money. New employees take time to hire, but they take time to train too. It also takes new team members time to fit with team and gel. This all affects the productivity of the team.
A higher staff retention rate helps improve team morale. It boosts motivation and dedication levels among existing staff members too. This is because they feel valued, appreciated and part of the journey of the business.
Finally, a higher staff retention rate will create a more stable work environment for everyone. This is crucial for many businesses, especially those that rely on continuity and predictability.
If you would like to improve the low retention rates in your business, call our team of professional recruiters. We can help you find the right employees for your team. These will be employees that are suited to your business and the role.