Finding and keeping valuable employees in your small business is vital. Not only does it affect your bottom line, but repetitive turnover can be devastating to your remaining employees’ morale and productivity.
Competing with larger businesses to retain the top talent can be tough, but being creative on your end as a small business owner can be very beneficial.
According to ZaneBenefits.com:
“Some studies (such as SHMR) predict that every time a business replaces a salaried employee, it costs 6 to 9 months’ salary on average. For a manager making $40,000 a year, that’s $20,000 to $30,000 in recruiting and training expenses.”
Below are some tips to aid in the retention process of your employees.
- Invest in training. Giving each new employee the proper tools and training necessary to be productive in their job should be a priority. From day one they need to understand your expectations and be provided with the tools they need to meet them. This may mean spending money on training.
- Communicate. A company that does not communicate with their employees is going to have serious turnover issues. Providing feedback to employees on how they are doing and listening to their concerns is so important. Knowing that you care goes a long way with an employee.
- Create a fun environment. Most everyone has to go to work and not every day is going to be fun and eventful. However, doing your part as a small business to make it a fun, friendly and pleasant environment to work in can cause many employees to never want to leave.
- Offer unique incentives and perks. Obviously a competitive benefits package is necessary, but you may not be able to compete with some of the packages larger corporations may be offering. Therefore, it is necessary to be creative in other ways. For instance, can you offer flexible hours, working from home, or a pet friendly environment? Sometimes these types of incentives are even more attractive to employees than money.
- Promote from within if possible. Employees need to know that they have goals they can strive to achieve. Investing in a valuable employee and moving them up the ladder in your company can mean a great deal to you, the individual, and other employees.
At MaxFilings, we are interested in helping you with all aspects of your business – from incorporation to employee retention. If we can help answer any questions for you, please don’t hesitate to contact us.
If you are considering incorporating your small business, we can help you every step of the way!