12 employee retention strategies you ought to consider

Hiring plans remain at an all-time high: 80% of employers are expecting to recruit new talent this year, according to our Hays UK Salary & Recruiting Trends Guide 2023. However, securing new staff is just half the challenge – leaders and managers must develop retention strategies aligned to an employee-driven workplace.

From minor tweaks to policies, to major shifts in organisational culture, here are 12 ways to stand you in in good stead to retain the employees you want to keep.

1. Onboarding should be more than just a process

The key to successful employee retention starts from Day 1. You want to create a good impression for new hires, providing a user friendly and well signposted new starter welcome pack and IT support to get them orientated quickly. Equally important is making new hires feel part of the team and company culture. Inviting them to lunch or coffee can provide a break from the flood of new information and create opportunities for conversation and human interest.

2. Develop a learning culture

This point is a win-win. Employees are increasingly motivated to develop their skills and knowledge; whether that be learning how to understand and leverage new software, recognise changes to best practice, or improve their presentation and leadership skills. Investing in your workforce’s professional development has obvious benefits for your organisation’s operational efficiency, and quality of service and products, but can also show employees you value their career journey.

3. Make your reward strategy competitive

Salaries rose across the board last year, with 83% of employers increasing their employees’ pay. This upward trend is set to continue as employers and hiring managers look to combat talent shortages and attrition. Keeping your employees close to a competitive market rate through a combination of direct pay and benefits is key when responding to approaches from competitors.

4. Establish a strong purpose

While salaries remain one of the main reasons workers seek new jobs, there continue to be factors that influence decisions to stick or twist. A recent factor is a sense of purpose, which 85% of employees say is important when applying for a new role. If your organisation doesn’t demonstrate a commitment to wider causes – such as sustainability and societal issues – your workers may seek an employer that does.

5. Put DE&I in the centre

Cultivating a sense of belonging should be a key element of any retention plan. However, diversity, equity and inclusion (DE&I) needs to more than just a tick-box exercise. This means going beyond tokenistic gestures, and instead making an active effort to promote a diverse and inclusive working environment. From reviewing established policies, processes, and behaviours to encouraging allyship, recognising and celebrating the power of difference and embedding inclusive behaviours is vital in retaining today's evolving workforce. Key to this is first understanding who your employees really are, which leads on to the next point.

6. Give your employees a voice

Communication is vital when maintaining healthy employee relationships, but it shouldn’t be a one-way street. Whether it’s encouraging and supporting employee networks, conducting employee engagement surveys, sharing personal stories, or involving employees in decision-making processes, your organisation should always be looking to provide platforms for people to be heard. By doing so, you’ll be fostering a democratic culture where your employees know their experiences, opinions, and perspectives are valued.

7. Embrace flexible working policies

While every organisation will have its own work pattern requirements, there’s no doubt that employees value the freedom of hybrid, flexible and remote working. Unless a role unequivocally requires a fixed, site-based routine, enforcing one can seem arbitrary and out-dated. Offering a flexible working policy could be a relatively small adjustment for your organisation, but can make a huge difference to the engagement and work-life balance of your people, such as allowing flexibility around caring responsibilities or other commitments.

8. Establish clear boundaries and expectations

A lack of structure when it comes to expectations and outputs can leave employees feeling frustrated and stressed. You should ensure that everyone is aware of their responsibilities and remits, and that work processes don’t change by the week. Rigour can equal freedom.

9. Recognise (and reward) achievements

Employee recognition is at the heart of a strong retention strategy. Celebrating both individual and collective achievement is an important way of cultivating self-worth and a sense of progress. This could come in the form of prizes, promotions, or a thank you citation in a team meeting.

10. Don’t neglect your office space…

With many employees now used to working from their home, office spaces are under increased scrutiny. Maintaining a comfortable, clean and efficient working environment demonstrates a commitment towards your workforce’s wellbeing, and should be seen as a mandatory investment. Whether it’s regularly stocked tea and coffee supplies or ergonomic chairs, it’s important you give your employees what they need to feel safe, comfortable, and productive.

11. …Or technology

Antiquated IT and aging legacy systems have long been a gripe with employees, who are increasingly used to the speed and ease of a digitally enabled lifestyle. By investing in up-to-date technology and accessible support services, you’ll help reduce friction in the workplace and project a clear message that you’re committed to the ever-evolving future of work.

12. Conduct exit interviews

It may seem counter-intuitive, but the most important retention strategies may come from those who’ve already decided to leave. Well conducted exit interviews can be a valuable way of gaining honest feedback, and the knowledge you receive could help shape your future retention strategies. Just remember to act on this intelligence.

A change of the guard can sometimes be necessary to evolve and grow, but unexpected and non-evaluated turnover is likely to have the opposite result. By adopting even just a handful of the recommendations listed, you’ll be providing a stronger reason for your team to stick around.

Get in touch today to find the talent you need, along with the strategies that will help you retain them.