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5 Drivers of Attrition and How to Fix It

Stressed Executive Stock

We know that organizations – successful ones, don’t run themselves. Without question – you can have a great idea along with a strong strategy. However, the strategy will lose value without people- and those aligned to your mission.

The Great Resignation, while a sharp reminder of The Great Recession of ‘08-’09, offers a significant difference – that people are now leaving work by choice. The pandemic has left people all over in a deep space of introspection, motivating them to look at their work-life balance and whether they had it in their life. 

The pandemic has proved that employees can successfully work from home and excel. Many employees have been able to be more present in their personal lives and see that work-life balance is possible and that a hybrid work style is preferred, so much that they are willing to leave their current employer to secure it.

Employees are ready for a change and prove it by walking out at record highs. Understanding why will be necessary for employers. 2022 State of Talent Optimization highlights that an estimated 20% of employees across all industries have quit jobs in the past six months. 

The 5 Drivers of Attrition:
  • Inflexibility: back to the office has not been well received. As a result, employers need to offer flexible scheduling and work from home a few days a week. 
  • Lack of development opportunities: Employees are invested in their company and want to grow. Not being able to move up or across may make them feel forgotten.
  • Stress/burnout: The reality is that working from home can blur the lines on when to clock out, and zoom burnout is a reality.
  • Lack of trust/belief in the team.
  • Physical Health.

Employees want to work on their terms and are not afraid to dictate how they want to work and if they can’t find their terms met in their current job and position, they will find one that will. 

The Real Cost of The Big Quit

The cost of the Big Quit extends past employee replacement. It seemingly costs $11k per employee when considering hiring, onboarding, and training. However, 75% of executives have found that the Great Resignation has impacted their financial stability. Filling the void is costly, but it disrupts the entire team. The longer it lingers, the more likely even your best employees start to disengage.  

Organizations are seeing this and trying to slow it down. 82% of employers have admitted to needing help with talent acquisition and retention over the past 12 months. Work as we know is changing and continuing to morph with new variants and the potential threat of another quarantine. Businesses must survive by learning to adapt, accept new ideas and perspectives, and consider disciplines such as talent optimization and management.

How can Talent Optimization Help?

Newland has over 30 years helping businesses align their business strategy with their people strategy. Talent Optimization is a four-part discipline you can use to assemble high-performing teams. Learn how to manage employees in a way that pushes everyone to the top of their game. 

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