Losing Your Best Talent? Here’s What You Should Be Focusing On
Employee engagement describes the level of employee investment into an organisation’s mission and their job duties. Employee engagement is crucial for companies, as it has been proven by countless studies on how it can influence a business’ success.
Employees that are highly-engaged are found to be 21% more productive and less likely to look for new opportunities according to a study by Gallup. This can prove damaging as staff turnover costs are incredibly high when accounting for recruiting, interviews, employment, and training processes.
Businesses looking to run more efficiently and who want to retain staff should be looking to employee engagement as the most important area to improve. There are many factors that can impact employee engagement and here are the main ones:
Want to Know Why Staff Are Leaving and Business Productivity Drops? Here Are the Main Factors That Hurt Employee Engagement
1. Poor Company Culture
A company’s culture defines the way the business is run. Eagle Hill Consulting’s Workplace Culture Survey found a strong correlation between efficiency and good company culture, with 77% of employees also agreeing that a strong culture allows them to do their best work. It comes as no surprise that employees working in enterprises with a rich company culture tend to be more innovative and more engaged with the mission.
2. Lack of Work-Life Balance
Deloitte’s marketplace survey on burnout indicated that 77% of professionals have experienced burnout during their current jobs. Burnout can make employees exhausted, stressed, and cause long-term health damages. Without good work-life balance, the negatives that come with employee burnout can drop business morale and increase employee turnover.
3. No Clear Career Development Path
Setting goals and laying out a clear development path for employees provides them with a target to reach. Investing in people’s individual growth gives a sense of care and commitment to people that work for you. A study by Gallup showed that employees who agreed that their managers were highly involved with setting goals at work were 3.6 times more likely than other employees to be engaged.
4. Lack of Trust & Support
Staples found that 67% of workers considered leaving their job if work arrangements become more rigid. Too much bureaucracy and micromanagement can result in lower employee engagement and higher turnover rates. By micromanaging employees, they will feel that the company has a low level of trust in them and impact their motivation. Without drive, employee contributions will be limited and effort at work will be minimal.
5. Not Being Paid Fairly & a Lack of Benefits
Money talks. Although money alone cannot buy your employee’s happiness, it is a big factor when it comes to feeling valued. A study by Addison Group showed that 47% of employees felt underpaid while 44% are dissatisfied with benefits, so it is important your business is not one that neglects employees. When productivity does not match wages, it is only natural for employees to search for new openings.
The newer generation is also demanding more from their employers, with 64% of millennials saying benefits are extremely or very important for remaining loyal to an employer according to Qualtrics. As the millennial generation is now the largest in the workforce, companies cannot afford to ignore this growing trend.
Looking to Solve the Problems?
With so many factors that can impact employee engagement, it is crucial business leaders know how to solve the problem before it snowballs. By implementing Employee Assistance Programmes (EAP) businesses can show their employees they are the most important assets of the company. EAP is becoming increasingly important and many companies are making it part of their long-term business strategy due to all the benefits.
Links International can provide an Asia-Centric Employee Assistance Programme to help reduce costs associated with medical plans, absenteeism, reduced engagement, and staff turnover. Contact our professional team now to understand more about how we can help!
We will be releasing an article to talk about the steps you can take to combat the impacts that can hurt employee engagement. Subscribe to our blog now to get notified when it’s released!
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Links International is an industry leader in innovative HR outsourcing with services such as payroll outsourcing, visa application, PEO/EOR Secondment, outplacement, recruitment and more! Contact us for more information on how we can help leverage your HR function.