For companies in high turnover industries, such as retail, hospitality, finance and tech, there’s a risk of becoming a revolving door of employees. When this happens, it means your company is constantly using up resources to hire and train new staff, when these valuable resources could have been directed elsewhere.
What’s more, when people leave, the remaining employees will need to pick up the pieces, while also using their time to interview and train new hires. This isn’t in the best interest of your clients or customers, and can seriously impact your company’s growth and potential. There’s a lot of disruption in high turnover industries, as staff constantly need to adjust and re-adjust to new team dynamics and work processes.
So how can managers and employers approach training in high turnover industries? Is it worthwhile investing in employee training and development in these industries?
The answer is yes. 100% yes! Because with the right training, you can drastically reduce your rate of staff turnover and help your business succeed – even in high turnover industries.
Here are some important things to consider when it comes to employee training in these industries.
First things first – make sure you’re hiring the right people in the first place.
By investing more time in your hiring process to find the right people, you’ll reduce staff turnover and save money on further recruitment, onboarding and training. We’ve talked about this before, in an article on hiring employees that are a good cultural fit – that is, finding a good fit for your own unique corporate culture.
Finding the right fit isn’t so much about impressive CVs and all-star experience. It’s about taking the time to find employees who share the same core values as your workplace culture – staff who are willing and able to support your company’s mission, vision and goals. As we’ve said before, “each new person that you bring on board has the potential to contribute either positively or negatively to your organisational culture.” That should be at the forefront of your mind when interviewing and hiring new staff.
Investing your resources in finding employees who are the right fit is just that – an investment. And it will be worth it in the long run. Hiring the wrong people, who leave within their first few months, will just result in a higher staff turnover rate for your company.
It’s now important to hold onto those employees as best you can. Retaining staff is the best way to reduce future hiring and training costs. But how do you make sure you’re retaining good team members in high turnover industries?
Tech companies in particular are known for offering perks like ping pong tables and cool open-plan offices. Why? Because these companies know they’re operating in a super competitive, high turnover industry, where they need to offer candidates a sweet deal to secure the best talent.
But there’s something far more important than any perks or extras, that will help you hold onto your employees. You need to offer staff a strong, positive and supportive work environment and culture. One that fosters leadership and collaboration. Establishing this kind of company culture is your best bet of retaining employees in high turnover industries.
Providing feedback is also very important when it comes to helping to retain employees. Often, feedback is neglected in high turnover industries, but staff need to know where they stand and how they’re tracking if they want to grow and develop in their careers. Feedback, even constructive criticism, helps people to feel more confident (and secure) in their jobs. In a positive and open environment, employees will be more productive, creative and innovative – and far less likely to leave.
Companies can significantly decrease their rate of staff turnover by investing in the right training for their staff.
People primarily leave their jobs for one reason – because they’ve found a better offer. The best way to prevent this from happening is to show that you are invested in your employee’s professional development. When a company spends time, money and effort on developing a person’s skill set, it is an acknowledgement that the employee is valuable. This feeling of being valued will do far more to instill loyalty in your staff than anything else.
Look at your employee training program – does it offer your staff opportunities for development and growth? Most people want to progress and achieve throughout their career. When they have nowhere to go within your company, or feel like they are not valued, they’re likely to eventually look for other opportunities.
Even if you are in a traditionally high turnover industry, make it clear to staff that you’re invested in their long-term development and committed to ongoing training. Show them that there is the potential for upward mobility within the company. Think about establishing a mentoring program within your organisation.
Investing in training is truly a win-win situation, for both employees and the company. With effective training, your employees will show improved productivity and profits, as well as increased job satisfaction. By providing up-to-date industry training, your employees will also have access to new skills and information, which they can bring back to your company. A company they choose to grow and develop with!