High staff turnover can have a significant impact on a business. Constantly recruiting, onboarding and training new employees takes time and resources, while frequent departures can affect productivity and the stability of the wider team.
Employees leave for many different reasons. Pay can play a part, but so can career development, workplace culture, management, flexibility and whether people feel valued in their role. As explored in our Recruitment Trends guide, changing expectations around how and where people work are also influencing how businesses attract and retain talent.
For employers, improving retention starts with understanding what employees need from their workplace and identifying where the employee experience could be improved.
6 Ways to Improve Employee Retention
1. Offer Flexibility Where You Can
Flexible working isn’t possible in every role, particularly in positions that depend on face-to-face interaction. However, flexibility doesn’t necessarily have to mean working remotely full-time.
Consider whether employees could have greater flexibility around their working hours or complete certain administrative, research or planning tasks remotely.
The important thing is to understand what flexibility means to your employees and where it can realistically fit within the needs of the business.
2. Give Employees Opportunities to Develop
Before looking outside the business to fill a vacancy, consider the skills and potential already within your team.
Training, mentoring and opportunities to take on additional responsibilities can give employees a clearer sense of progression. When people can see where their role could take them, they have another reason to continue developing their career within the business.
This can be particularly important when building a sales career ladder, where clearly defined progression can help businesses develop and retain strong performers.
3. Recognise Good Work and Communicate Regularly
Employees need feedback to understand what they’re doing well and where they can improve.
Recognition doesn’t always need to come in the form of a financial reward. Acknowledging someone’s contribution, celebrating achievements and giving people greater responsibility can all demonstrate that their work is valued.
Constructive feedback matters too. When something needs to improve, address it clearly and provide employees with the support they need to make that improvement.
Regular communication also gives managers an opportunity to identify concerns before they become reasons for someone to leave.
4. Review Pay, Benefits and the Overall Opportunity
Salary isn’t the only reason someone accepts or leaves a job, but employees still need to feel that they’re being fairly rewarded for their contribution.
Review salaries regularly against responsibilities, experience and the wider market. Employers should also consider the complete opportunity they provide, including benefits, flexibility, progression, training and earning potential.
For sales roles in particular, the structure of the opportunity can be important. Employers using a commission-only sales model should make sure expectations, earning potential and the way commission works are communicated clearly from the beginning.
5. Build a Workplace Culture People Want to Be Part Of
Workplace culture affects people’s experience of a business every day.
Respect, fairness, accountability and communication should extend across the organisation, from leadership to individual teams and colleagues.
Employees should understand what’s expected of them while also feeling comfortable contributing ideas, raising concerns and asking for support.
A positive culture isn’t created by perks alone. It’s shaped by how people work together and whether the values a business promotes are reflected in employees’ everyday experience.
We’ve looked more closely at how workplace culture can influence performance and why it matters beyond recruitment.
6. Listen to Employees and Act on Feedback
If you want to understand why people stay or leave, ask them.
Regular conversations, employee surveys and opportunities to provide private feedback can help businesses identify issues that might otherwise go unnoticed.
Collecting feedback is only useful when employees believe something will happen as a result. Where changes are possible, explain what you’re doing. Where they aren’t, communicate why.
Building that trust can help employees feel that they have a genuine voice within the business.
Why Are Employees Leaving Your Business?
Even a strong retention strategy won’t prevent every employee from leaving. People change careers, relocate, pursue different opportunities or leave for personal reasons.
However, frequent staff turnover can indicate a wider problem.
Look for patterns. Are people leaving the same department? Are they leaving shortly after joining? Is progression unclear? Are there recurring concerns about management, workload, pay or culture?
Understanding the reason behind turnover is more useful than simply replacing each person who leaves.
It’s also worth looking at retention before recruitment begins. Hiring people whose expectations, motivations and approach align with the opportunity can improve the likelihood of building a team that lasts. That’s one reason mindset-first hiring can be valuable when recruiting salespeople.
Employee Retention Starts With the Right Foundations
Reducing staff turnover isn’t about finding one benefit or policy that will convince everybody to stay.
It comes from creating an environment where employees are fairly rewarded, have opportunities to develop, understand what’s expected of them and feel that their contribution matters.
For employers building a sales function, that also means thinking about retention from the beginning. The people you recruit, the expectations you set and the support you provide all influence the team you eventually build.
Getting the recruitment process right from the outset can help businesses build stronger teams around their specific requirements. Our Hammonds case study shows how a targeted approach to sales recruitment can work in practice.
If you’re looking to strengthen your sales team, build a sales team with Citrus Connect or book a call to discuss the people your business needs.
Frequently Asked Questions
High staff turnover can be caused by several factors, including limited career progression, poor management, workplace culture, pay, lack of recognition and changing employee expectations. Looking for patterns in when and why employees leave can help identify where improvements are needed.
Employee retention can be improved by offering fair pay, opportunities for development, regular feedback, appropriate flexibility and a positive workplace culture. Employers should also listen to employee feedback and act on recurring concerns where possible.
Strong employee retention can reduce the time and resources spent repeatedly recruiting and training new employees. Keeping experienced people within the business can also provide greater continuity and help businesses develop their teams over time.
