The Wave of Turnover is Coming

By Sherri Merbach Managing Director, C-Suite Analytics | June 26, 2011

If history repeats itself, your employee turnover is about to shoot up. This has been true during the recovery periods after each recession in the past 20 years, and it makes sense that workers who have slowed their urges to change jobs now have pent-up drives to do so. More importantly, those who survived the great recession by “doing more with less”, which is another phrase for working their tails off, are ready for a scenery change. This is especially true if they feel unappreciated or work for a manager who they don’t trust. Various studies indicate anywhere between 50% and 90% of workers plan to change.

Added to this news is undeniable data that your best workers can find another job anytime. Looking back to the depths of the recession, voluntary quits fell just 11%. Or said another way, your chances of losing a worker you wanted to keep was a full 89% as it was when the economy was strong. Another study indicates that voluntary quits went up rather than down after layoffs.

So ask yourself: Who is held accountable for undesirable turnover? What are the consequences of unacceptable turnover? Who provides recognition, training, and coaching on turnover? When was the last time an employee said “I’ve got a jerk for a boss but am staying here for the company picnic?” Does your company solve retention with processes driven from the top or with programs driven by HR?

If you are ready to tackle your turnover challenge, continue reading to learn the “secret sauce” - three key solutions that will help you solve this problem. Specific actions and tactics are included for implementation. After these solutions the precise role that HR should play is detailed out as well as the critical role that leaders play.

Drive retention from the top is the first solution. Executives have the greatest impact on achieving retention goals. Executives must direct this initiative by positioning retention as one of their top five priorities. Think about how your company manages sales, service, quality, and safety and then build those same methods for retention. This means holding leaders of every department accountable for their retention and leveraging HR to support them with redesigning processes and training from initial hiring processes to leadership skill-building.

Next solution is to build momentum with data. Only 33% of U.S. organizations place a cost on employee turnover, and this number decreases to 18% around the world. Consider that if 80%+ of your competitors are “old school” on retention, how much of a competitive advantage is available to you by going “new school” by establishing and enforcing retention goals? Ideally, collect and report on who quit, when they quit, and whom they worked for. A 20,000 employee insurance company created this reporting in their HRMS system and found that turnover happens disproportionately across the company and is concentrated among a few supervisors.

Choose a Social Network!

The social network you are looking for is not available.


Hotel Newswire Headlines Feed  

Lynne McNees
Allison Handy
Nancy Griffin
Bernadette Scott
Gaurav Varma
Joyce Gioia
James Gieselman
Tim Peter
Coming up in July 2018...

Hotel Spa: Oasis Unplugged

The driving force in current hotel spa trends is the effort to manage unprecedented levels of stress experienced by their clients. Feeling increasingly overwhelmed by demanding careers and technology overload, people are craving places where they can go to momentarily escape the rigors of their daily lives. As a result, spas are positioning themselves as oases of unplugged human connection, where mindfulness and contemplation activities are becoming increasingly important. One leading hotel spa offers their clients the option to experience their treatments in total silence - no music, no talking, and no advice from the therapist - just pure unadulterated silence. Another leading hotel spa is working with a reputable medical clinic to develop a “digital detox” initiative, in which clients will be encouraged to unplug from their devices and engage in mindfulness activities to alleviate the stresses of excessive technology use. Similarly, other spas are counseling clients to resist allowing technology to monopolize their lives, and to engage in meditation and gratitude exercises in its place. The goal is to provide clients with a warm, inviting and tranquil sanctuary from the outside world, in addition to also providing genuine solutions for better sleep, proper nutrition, stress management and natural self-care. To accomplish this, some spas are incorporating a variety of new approaches - cryotherapy, Himalayan salt therapy and ayurveda treatments are becoming increasingly popular. Other spas are growing their own herbs and performing their treatments in lush outdoor gardens. Some spa therapists are being trained to assess a client's individual movement patterns to determine the most beneficial treatment specifically for them. The July issue of the Hotel Business Review will report on these trends and developments and examine how some hotel spas are integrating them into their operations.