How HR can turn The Great Resignation into The Great Retention

The “Great Resignation” has become a buzzword in the corporate world, representing a period where millions of employees have voluntarily left their jobs in search of better opportunities, work-life balance, or simply to avoid burnout. This phenomenon, spurred by the pandemic and evolving workplace expectations, has left many HR professionals grappling with how to retain top talent. However, the Great Resignation also presents a unique opportunity for HR to pivot and create a culture of retention.

To effectively transform this trend into the “Great Retention,” it’s essential to understand why employees are leaving in the first place. This statistic highlights a significant shift in employee mindset, with many seeking more fulfilling work experiences. Factors contributing to this trend include burnout, lack of career advancement, and a desire for better work-life balance.

Survey employees and share the results with managers and senior executives. Disregarding the needs of your employees will set the organization up for disappointment and some very tough lessons. The role of HR in shifting the narrative: HR can play a pivotal role in addressing these concerns by implementing strategies that foster employee satisfaction, growth, and loyalty. Here’s how:

• Mental Health Support: The pandemic has heightened awareness around mental health. Companies that offer robust mental health support, such as counselling services or mental health days, can significantly reduce burnout. Data from the American Psychological Association shows that 79% of employees consider workplace stress a major factor in leaving their job.
• Work-Life Balance: Flexible work arrangements, such as remote work or flexible hours, have become non-negotiable for many. A survey by Flex Jobs found that 58% of respondents would “absolutely” look for a new job if they couldn’t continue remote work.
• Professional Development: Employees are more likely to stay if they see a clear path for advancement. LinkedIn’s 2023 Workplace Learning Report highlights that 94% of employees would stay at a company longer if it invested in their career development. Offering mentorship programs, training, and continuous learning opportunities can help in this regard.
• Internal Mobility: Encouraging and facilitating internal mobility can also be a game-changer. According to a report by Gartner, companies that excel at internal mobility retain employees nearly twice as long as those that don’t.
• Employee Recognition Programs: Regularly acknowledging and rewarding employees’ contributions can create a sense of value and belonging. Gallup research indicates that employees who do not feel adequately recognized are twice as likely to say they’ll quit in the next year.
• Inclusive Work Environment: Promoting diversity and inclusion is not just a moral imperative but a business one. McKinsey’s research reveals that companies with high diversity are 35% more likely to have financial returns above their respective national industry medians. Employees are not only more productive but also happier when given more flexibility
• Competitive Pay: Addressing pay disparities and ensuring competitive compensation is crucial. A report from PayScale found that 64% of employees who felt underpaid were planning to leave their current job.
• Comprehensive Benefits: Offering comprehensive benefits, such as healthcare, retirement plans, and wellness programs, can also boost retention. The Society for Human Resource Management (SHRM) notes that 60% of employees consider benefits a major factor in job satisfaction.

Leveraging Data and Feedback

HR should leverage data analytics and employee feedback to understand specific pain points and areas for improvement within their organizations. Tools like employee engagement surveys, exit interviews, and stay interviews can provide valuable insights into what drives employees away and what keeps them engaged.

Final Thoughts

Turning the Great Resignation into the Great Retention requires a proactive and holistic approach. By prioritizing employee well-being, fostering career growth, building a culture of recognition, and enhancing compensation and benefits, HR can create an environment where employees feel valued, supported, and motivated to stay.