For small businesses, employee retention strategies keep key team members growing and thriving at the company. Often times, keeping their talent from moving on to larger firms can be a constant challenge. Higher pay can help, but many employees are actually willing to forego a pay increase if they feel the job fits their expectations better. These expectations can range from career opportunities to management style. Small business owners need to figure out what their employees expect and create solutions accordingly. Here are the most effective employee retention strategies for small businesses to meet employee expectations.
Flexible Work Hours
One major employee retention strategy is to provide flexible working hours. One of the biggest reasons that an employee leaves a business is because of conflicts between obligations to the company and other responsibilities. Allowing employees to have a degree of freedom when it comes to their working hours avoids this. This can be especially helpful for employees that have young children or take care of their older relatives. Small business owners should try to accommodate different employee working hours where possible.
Career Development Opportunities
Small businesses can retain valuable employees in the long term by developing career opportunities for them. Employees want to feel a sense of progress in their life and an employer providing that will be appreciated. Investing in employees also tells those people that they are valued by their employer. This strategy is also beneficial to employers, as more skilled employees can serve the business more effectively. Providing career development opportunities helps to retain employees and make them more productive.
Employee Perks And Benefits
Beyond a competitive salary, businesses can effectively retain employees by offering perks and benefits. Employers can take care of employee health worries by offering quality healthcare, adequate sick pay, and family leave. Employees also value perks that simplify their life, like flexible vacation time and childcare services. Lifestyle benefits like complimentary gym memberships can also make employees feel appreciated. Providing competitive benefits and perks is one way that small businesses can retain employees.
Personable Management Style
One of the best retention strategies that small businesses can employ is to have a personable management style. Continuing engagement on a personal level with employees makes them feel like humans and not just tools of the business. Being treated well in their day-to-day interactions also makes an employee feel respected. This strategy is particularly effective for small businesses. Unlike regional or national chains, a small business owner can conceivably interact with all of their employees. Small business owners should use this unique advantage to keep their employees long term.
Reduce Employee Pain Where Possible
Beyond providing a respectful workplace full of opportunities, small business owners should actively look to improve retention with the employee’s experience. Throughout the course of normal business, an employee may have to deal with a recurring situation they find particularly unpleasant. For example, a shorter retail worker may have to retrieve heavy merchandise from a high shelf frequently. In this same example, an employer can alleviate an employee’s frustration by simply storing the merchandise on a lower shelf. Identifying these pain points and working to accommodate employees creates a more welcoming workplace. Small business owners should work with their employees to ensure their workplace experience is as pain free as possible.
Lowering employee turnover rate is a constant concern for small business owners. Keeping employees from leaving for other firms involves making employees feel valued. Small business owners can provide this by allowing for flexible working hours. They can also give their employees ample opportunities to further their professional development. Competitive perks and benefits packages give employees the sense that their employer values their well-being. Keeping a personable management style keeps employees feeling human rather than expendable cogs in a machine. Finally, business owners should proactively work to make the day-to-day experience of employees as pain free as possible. Implementing these strategies will allow small businesses to retain their most valuable employees.