Boost your new hire retention rates with these tips!
When you add up the cost of recruitment (developing a job description, posting the position on online job boards, attending job fairs, hours spent interviewing candidates, etc.), employers invest thousands of dollars into a new hire before they even step foot in the door on their first day.
But, just as it happens in the stock market, not every investment pays off.
A report published by the Society For Human Resources (SHRM) found that half of all senior-level employees hired from outside a company fail within 18 months of starting a new position. The new hire retention outlook is even bleaker for rank-and-file employees: about half of all newly hired hourly workers leave their new jobs within just the first 120 days of employment. And, as much as employers spend to recruit a new employee, they often spend much more trying to replace them.
Given all the time, money and energy that’s at stake, it’s understandably frustrating for an employer when their bright, shiny new hires only stick around for a few months or weeks or days. So what happens during those first few days of employment that causes so many employees to leave?
Reasons why your new hires are leaving
- Inconsistent expectations.
Buyer’s remorse isn’t just for shopping. Sometimes someone will think they’re interested in a job, only to change their mind once they spend a few weeks doing that job. Other times, it’s the employer who realizes that their new employee doesn’t have the skill set or temperament to perform that job well.
- Lack of training.
Even if a new employee has decades of experience in similar roles, they will still need some help to learn their new employer’s systems, procedures and processes. When new employees don’t get the training they need, however, they are likely to feel overwhelmed and unsupported, and may cause them to think they simply don’t have what it takes to be successful in that role.
- Feeling unwelcome.
The charm of being “the new guy” wears off fast. Employees who don’t feel welcomed by their new employer or have an opportunity to engage with or establish relationships with their new colleagues are apt to feel isolated and unhappy, and are more likely to leave sooner than those that do feel welcomed.
Strategies for improving new hire retention
For employers struggling to turn new hires into successful employees, it can seem like there’s no end to this revolving door of employee turnover.