10 causes of employee turnover

10 causes of employee turnover

and what to do about it.

introduction.

Employee turnover is a measurement of how many people leave your company in a set time period -- a month, or a year for example. Most of the time, businesses express this figure as a percentage. According to the Society for Human Resource Management (SHRM), most organizations should aim for a 10% staff turnover rate per year. A certain amount of employee turnover is inevitable. Some workers retire, while others move away. Still others move onward and upward within your company. On the more dramatic end of the scale, steep recessions and global health events cause mass redundancies, which are hard to avoid. To reduce turnover, you have to understand why it occurs. Here are the top ten causes of employee turnover, along with actionable tips to help you boost your retention rate.

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1. a toxic environment.

Healthy environments promote growth; toxic environments hamper progress and create misery. Toxic working environments don't always start with employees; sometimes, they're a reflection of company culture. Regardless, toxicity causes employee turnover -- and according to a recent Inc study, toxic conditions exist at 11.3% of companies.

actionable strategies

Toxic environments require holistic solutions -- and repair starts from the top. If you suspect you have a toxic culture on your hands, expect resistance from at least some of the people in your organisation. Some individuals may be perfectly happy with the status quo, for example. Culture is hard to dissect from within. A third party mediator or an external consultant can help you pinpoint problematic processes and people. You can use the information you gain from working with an outside partner to change your company culture for the better.

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2. burnout.

Burnout is another leading cause of employee turnover. Burned out individuals eventually find themselves too overwhelmed to face work. According to a peerreviewed paper published in World Psychiatry, a lack of control contributes heavily to burnout. Other risk factors include poor workplace community, unfairness, excessive workload, an inadequate rewards system and unclear corporate values.

actionable strategies

You can use Frederick Herzberg's motivation-hygiene theory to help prevent burnout. According to Herzberg's theory, people need motivational factors and hygiene factors to stay fresh in the workplace. Motivational factors include recognition, challenging tasks and a sense of meaning. Hygiene factors include basics like breakroom supplies, a comfortable chair, an adequate salary or good supervision. Talk to your team members to find out if they're clear about the roles they play within your organisation. Try to determine if their basic needs are met, and if they're engaged -- and if not, why not.

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3. a lack of meaning.

Most people search for meaning in life -- at home, and at work. If their jobs feel purposeless, they begin to feel adrift and move on. Recently, the Harvard Business Review asked its circa 2,000 employees how much of their current salaries they'd be willing to give up for a job with meaning. HBR executives found the answer surprising: staff members were willing to part with an average of 23% of their yearly earnings if they were given more meaningful positions.

actionable strategies

Nearly all successful companies have a strategy -- the key is to be transparent about the overarching mission. When employees understand their employers' end goals, they become participants in a shared vision. Recognition schemes, like Employee of the Month, also help infuse meaning into company culture.

4. boredom.

Most people spend more than eight hours a day working. If they're achingly bored, they begin to feel frustrated and depressed. Very few individuals dream of a life spent performing repetitive, unengaging tasks, for instance. Productive businesses are driven by engaged employees -- but according to an Udemy study, more than 43% of American workers are bored and feel disengaged.

actionable strategies

To deal with boredom effectively, begin by finding out why your employees are bored. You can use a platform like Peakon to gather employee insights and to analyse the data you gather. If your people don't feel challenged, give them more advanced work. If they find their jobs monotonous, assign them a variety of tasks. If they feel trapped in dead-end positions, provide them with the training they need to get promoted.

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