Attrition is one of the top challenges faced by any modern employer. Now, there may be several reasons why employees leave an organization. In the last decade, employers have begun to investigate the reasons why employees leave an organization via surveys during the tenure of an employee or information gathered during the exit interview. On average, an industry may face an attrition of anything between 14-18% per year, affecting the executive or individual contributors to mid-level management employees. Major reasons behind this are usually dissatisfaction or unfavourable treatment from the immediate manager, compensation or work environment. Other reasons consist of inconsistency of growth and compensation, lack of long-term vision for the company and individual growth plan of employees.
Having listed these reasons is not enough to tackle this challenge. Taking note of these possible reasons and resolving these concern points is what will bring the solution. Meeting every demand of every employee is also not the solution. It is an issue that is to be resolved at an organizational level. Many organizations now have an elaborated development plan for every employee at every level, and yet, there may be attrition that cannot be controlled and is beyond the reach of an organization.
We can, however, formulate ways on how to lessen the impact of employee turnover. Some of the things to be considered are:
1. Impact of attrition: Too much focus on skill sets led to missing out on candidates with the right attitude and personality.
How to handle: Spending more time on hiring talent by analysing the candidate’s individualism and personal perspective on the world and work.
2. Impact of attrition: An experienced and trained employee left the organisation with a pile of work unmanaged.
How to handle: Identify any resentment developing early on and tackle it.
3. Impact of attrition: Young talent leaves the organization after the training.
How to handle: Young talent should not be promised an early hike in compensation and should, instead, be given monetary and non-monetary incentives both, like badges, token of appreciation, sponsored training courses and more which benefits the company and retains the employees in the long run.
Having taken all the necessary precautions, there may still be room for some attrition. Eventually, it is the responsibility of the reporting managers and the HR department who need to be trained to handle workload management and attrition respectively, without letting it have an emotional impact on the team members.