Six Steps to Becoming a Destination Workplace · 3 in 4 Reasons for Leaving Are More Preventable...
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workinstitute.com Six Steps to Becoming a Destination Workplace 2018 Retention Report: Trends, Reasons & Recommendations Danny Nelms
Transcript of Six Steps to Becoming a Destination Workplace · 3 in 4 Reasons for Leaving Are More Preventable...
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Six Steps to Becoming a Destination Workplace
2018 Retention Report: Trends, Reasons & Recommendations
Danny Nelms
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Companies Have the
Opportunity to Grow
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38 Million Employees
Left Their Jobs Last Year
(Source: 2018 Retention Report)
1 in 4 Will Leave their Job
this Year
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34,000+
Exit Interviews
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50 Different Reasons Why
Employees Leave
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2018
Retention ReportTruths & Trends About Turnover
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Give You Confidence to Develop a
Data-Driven Retention Strategy
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2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
(Source: 2018 Retention Report)
1 in 3 Employees will Quit by 2020
42 Million
Employee
Quits
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3 in 4 Reasons
for Leaving Are
More Preventable
(Source: 2018 Retention Report)
More Preventable 77%
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Key Take-Aways
• State of the Marketplace
• How to Uncover the Truth
• Reasons for Leaving
• Essential Insights
• Case Study Example
• Recommendations
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Marketplace
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Demand Exceeding Supply
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High Demand for Workers
(Source: Bureau of Labor Statistics)2010 2011 2012 2013 2014 2015 2016 2017
5.8 Million
Open Jobs
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Short Supply of Workers
(Source: BLS 2017)
UnemploymentRate
Separations Rate
Companies
Must Take Your
Workers
0
2
4
6
8
10
12
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
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Employees
are In Control
6: COMMUNICATION – How will we communicate the actions and status or our organization as a “destination workplace?”
WORKSHOP | Six Steps to Becoming a Destination Workplace
1: BUILDING A BUSINESS CASE 2: ASKING YOUR WORKFORCE
3: UNDERSTANDINGWhat are the top 3 workplace issues
driving turnover in your workforce? 4: PLAN & IMPLEMENT 5: TRACKING
What are solutions you could
implement in both the short-term
and long-term?
How will you plan to track progress to
see if that solution is having an impact?
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AVERAGE ANNUAL
SALARYThe average annual salary
of a worker in the U.S. is
$45,000 and can be used
for estimating Total
Annual Turnover Costs in
your organization.
TURNOVER COSTSWork Institute
recommends using an
estimate of 33% of a
worker’s annual salary to
calculate the total cost of
turnover.
Average
Annual Salary$________________
Number of
Departures X________________
Total Cost of
Turnover is 33% X 33%
TOTAL
ANNUAL
TURNOVER
COST
=$________________
CALCULATING TOTAL ANNUAL TURNOVER
COSTS FOR YOUR ORGANIZATION______________________________________________________
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______________________________________________________
______________________________________________________
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______________________________________________________
______________________________________________________
______________________________________________________
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______________________________________________________
How have you been gathering
information from your employees?
What gives you confidence and
what gives you concern about the
quality of this information?
What will you do next to improve
confidence and reduce concerns?
EVALUATING YOUR RETENTION DATA
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Uncovering the Truth
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Reliable Methodology
Gets Accurate Data
- 2 Weeks After Departure
- 3rd Party Interviews
- Open-Ended Questions
- Scientifically Validated Questionnaire
- 500,000+ Interviews Since 2000
6: COMMUNICATION – How will we communicate the actions and status or our organization as a “destination workplace?”
WORKSHOP | Six Steps to Becoming a Destination Workplace
1: BUILDING A BUSINESS CASE 2: ASKING YOUR WORKFORCE
3: UNDERSTANDINGWhat are the top 3 workplace issues
driving turnover in your workforce? 4: PLAN & IMPLEMENT 5: TRACKING
What are solutions you could
implement in both the short-term
and long-term?
How will you plan to track progress to
see if that solution is having an impact?
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
1
.
2
.
3
.
AVERAGE ANNUAL
SALARYThe average annual salary
of a worker in the U.S. is
$45,000 and can be used
for estimating Total
Annual Turnover Costs in
your organization.
TURNOVER COSTSWork Institute
recommends using an
estimate of 33% of a
worker’s annual salary to
calculate the total cost of
turnover.
Average
Annual Salary$________________
Number of
Departures X________________
Total Cost of
Turnover is 33% X 33%
TOTAL
ANNUAL
TURNOVER
COST
=$________________
CALCULATING TOTAL ANNUAL TURNOVER
COSTS FOR YOUR ORGANIZATION______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
How have you been gathering
information from your employees?
What gives you confidence and
what gives you concern about the
quality of this information?
What will you do next to improve
confidence and reduce concerns?
EVALUATING YOUR RETENTION DATA
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
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3
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Reasons for Leaving
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Employees
Care about
What they Do
and Where
They’re Going
Career Development 21%
Type of Work 33.0%
Lack of Growth & Development Opportunity 21.5%
Returning to School 18.6%
No Advancement or Promotional Opportunity 17.2%
Job Security 7.6%
General Career Reason 2.2%
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Employees
will leave for
more
favorable
schedules
Work-Life Balance 13%
Schedule 67.6%
Commute 22.2%
Schedule Flexibility 5.1%
Travel 5.0%
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Employees
Do Not
Tolerate Poor
Managers
Manager Behavior 11%
Unprofessionalism 35.1%
Lack of Support 17.6%
Poor Employee Treatment 17.2%
General Behavior 11.8%
Poor Communication 7.7%
Lack of Manager Competence 7.1%
Manager Fairness 1.8%
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Employees
Leave to Take
Better Care of
Themselves
and Their
Families
Well-Being 9%
General Personal 33.4%
Personal Health 32.3%
Caregiver Issues 29.4%
Pregnancy 4.4%
Family Issues 0.5%
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Employees
Can Leave for
More Pay
Compensation & Benefits 9%
Compensation 87.3%
Benefits 12.1%
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Employees
Want
Reasonable
Workloads and
Less Stress
Job Characteristics 8%
General Job Characteristics 39.4%
Task or Role Overload 31.1%
Limited Resources 14.7%
Poorly Trained 11.2%
Dissatisfied with Work 1.1%
Lack of Empowerment 2.5%
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Co-Workers
and Culture
Must Be a Fit
Work Environment 6%
Problematic Co-Workers 36%
Culture-Employee Not a Fit 34%
Problem with Mission or Values 10%
Unsafe Environment 7%
Hostile Atmosphere or Organizational Crisis 6%
Environment Other 4%
Poor Facilities 3%
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Managers are a
Key to Retention
(Source: 2018 Retention Report)
More Preventable – Manager Influenced 77%More Preventable – Other
Less Preventable
6: COMMUNICATION – How will we communicate the actions and status or our organization as a “destination workplace?”
WORKSHOP | Six Steps to Becoming a Destination Workplace
1: BUILDING A BUSINESS CASE 2: ASKING YOUR WORKFORCE
3: UNDERSTANDINGWhat are the top 3 workplace issues
driving turnover in your workforce? 4: PLAN & IMPLEMENT 5: TRACKING
What are solutions you could
implement in both the short-term
and long-term?
How will you plan to track progress to
see if that solution is having an impact?
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
1
.
2
.
3
.
AVERAGE ANNUAL
SALARYThe average annual salary
of a worker in the U.S. is
$45,000 and can be used
for estimating Total
Annual Turnover Costs in
your organization.
TURNOVER COSTSWork Institute
recommends using an
estimate of 33% of a
worker’s annual salary to
calculate the total cost of
turnover.
Average
Annual Salary$________________
Number of
Departures X________________
Total Cost of
Turnover is 33% X 33%
TOTAL
ANNUAL
TURNOVER
COST
=$________________
CALCULATING TOTAL ANNUAL TURNOVER
COSTS FOR YOUR ORGANIZATION______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
How have you been gathering
information from your employees?
What gives you confidence and
what gives you concern about the
quality of this information?
What will you do next to improve
confidence and reduce concerns?
EVALUATING YOUR RETENTION DATA
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
1
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2
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3
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______________________________________________________
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2
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Essential Insights
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Essential
Insights
First-Year Turnover Hits 7-Year High Note
Generational differences create a lot of buzz, but
career stage issues create turnover
Employers gamble on benchmarks & best practices
Employees Increasingly Reveal
Employers’ Ethical Blind Spots
Turnover Costs will Increase 19% by 2020
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Developing a Retention Strategy
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The
Predictive
Power of Exit
Studies
AT-RISK
CURRENT EMPLOYEES
FORMER
EMPLOYEES
CURRENT
EMPLOYEES
6: COMMUNICATION – How will we communicate the actions and status or our organization as a “destination workplace?”
WORKSHOP | Six Steps to Becoming a Destination Workplace
1: BUILDING A BUSINESS CASE 2: ASKING YOUR WORKFORCE
3: UNDERSTANDINGWhat are the top 3 workplace issues
driving turnover in your workforce? 4: PLAN & IMPLEMENT 5: TRACKING
What are solutions you could
implement in both the short-term
and long-term?
How will you plan to track progress to
see if that solution is having an impact?
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
1
.
2
.
3
.
AVERAGE ANNUAL
SALARYThe average annual salary
of a worker in the U.S. is
$45,000 and can be used
for estimating Total
Annual Turnover Costs in
your organization.
TURNOVER COSTSWork Institute
recommends using an
estimate of 33% of a
worker’s annual salary to
calculate the total cost of
turnover.
Average
Annual Salary$________________
Number of
Departures X________________
Total Cost of
Turnover is 33% X 33%
TOTAL
ANNUAL
TURNOVER
COST
=$________________
CALCULATING TOTAL ANNUAL TURNOVER
COSTS FOR YOUR ORGANIZATION______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
How have you been gathering
information from your employees?
What gives you confidence and
what gives you concern about the
quality of this information?
What will you do next to improve
confidence and reduce concerns?
EVALUATING YOUR RETENTION DATA
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
1
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2
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3
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______________________________________________________
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______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
______________________________________________________
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Case Study
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Reduced
1st Year Nurse
Turnover
by +34%
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Recommendations
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Recommendations
Build the Business Case
Ask
Understand
Plan and Implement
Seek Expert Guidance
Evaluate
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