Reducing employee turnover is a priority for nearly all companies. However, the new employee is often neglected and employers miss this “golden key” when working to increase retention rates. Companies often analyze turnover from a top-down perspective, focusing on existing employees and ensuring their happiness first. While it can be beneficial to do so, a critical piece is often overlooked: the new employee. The average cost of turnover starts at $5000 and can be as much as triple an executive-level salary, depending on the position. These figures show the need to double down on the onboarding process, ensuring new hires get the attention and resources they need to succeed in their roles.
Since the recession, many companies have streamlined their workforce, resulting in employees and managers taking on additional duties and having less time to train and mentor new staff. This is a short-sided stigma of the business world, as it has resulted in a “sink or swim” culture in many businesses, even though research shows that the first 60 days of employment are the most critical.
Disability Solutions works to employ individuals and veterans with disabilities with companies all over the United States. Much like any other jobseeker, the people with whom we work have some anxiety when starting a new job: What if I don’t fit in? What if I don’t know what I’m doing?
Knowing that most new hire turnover happens within the first 60 days of employment, and that not all hires will be a good fit for the job, what can employers do to reduce turnover?
- Invest time in new hires so they feel like part of the team
- Set up new employees with mentors
- Regular one-on-one time with managers, supervisors, and team leaders
These three tips sound like simple suggestions because they are, but it takes a conscious effort from management to implement and ensure that they occur. Companies that succeed are those who invest in and value their employees, who will in turn invest in the company with their work, dedication, and loyalty.