According to 2018 data, the average worker switches jobs every 4.2 years. What can your company do to combat this job-hopping trend? Start by recognizing and addressing the primary causes of turnover.
In April 2019, the U.S. economy recorded 103 straight months of job gains and the lowest unemployment rate (3.6 percent) since 1969. This means the United States has more job openings than unemployed people. In other words, your workers are in high demand. If they aren’t happy at your organization, they most likely have several other options.
Possible Solutions: Recognize your employees may receive or easily seek out other offers. Help them fall in love with their jobs.
Compensation That’s Not Competitive
Money always has been a top reason to switch jobs. Who wouldn’t want to a bigger paycheck? And, unfortunately, remaining at the same company usually reduces an individual’s earning potential. Raises hovered around 3 percent in 2019, while job changers saw up to a 30% increase in annual income.
Possible Solutions: Pay people what they are worth. If you can’t compete with the numbers offered by your competition, consider other valuable perks such as remote work and flex time.
Too Few Professional Development Opportunities
In a 2018 survey, 19% of millennials reported compensation as a top factor for job-hopping while 13% listed lack of professional growth. As with pay, many employees find limited opportunities for advancement at their current company. Not making a move can damage their short- and long-term career goals.
Possible Solutions: Make career development part of your overall package by designing formal mentorship programs and by regularly scheduling one-on-one career conversations with all employees.
An Absence of Employer Loyalty
Most of today’s workforce either experienced or witnessed layoffs during the 2008 Great Recession. As a result, they believe employer loyalty doesn’t exist. Workers are no longer willing to commit to an organization for 20 or 30 years. After all, staying in the same place could hurt both their earning potential and their career development, and they probably won’t gain any additional job security.
Possible Solutions: Develop a commitment culture. Author Charles Duhigg describes commitment-focused companies as those that try to avoid layoffs and invest heavily in training.
A Poor Hiring Process
Before you invite someone to join your organization, make sure they are the right person for the job and the right person for your company. Unclear job descriptions and gut-instinct hiring frequently lead to unhappy employees. You want to find someone who not only is qualified but also is excited to join your team because they understand exactly what they are getting into.
Possible Solutions: Review your job descriptions for accuracy and implement more authentic interviewing techniques such as work samples and experiential interviews.
Are You Hoping to Add Loyal and Dedicated Employees to Your Manufacturing Team?
At Connectology, our hiring process delivers optimum results. Our professional recruiters work to fully understand your organization’s culture and business needs, so we can present you will only the best-fit talent. Learn more about the advantages of partnering with us today!