Gathering Retention Intel

Employee retention is a cost to your business. Depending on the level of the employee, turnover can cost anywhere from 30-300% of an employees annual salary. The cost to business is enormous and erodes profit margins and can make the difference between being profitable and losing money.

When a business has constant turnover there is a need to train new employees. When that is taking place, employee productivity is reduced and the organization is far less efficient.

Quality also suffers because employees do not know their jobs as they are being trained and more errors and defects occur. This can result in liability due to defective products and poor service. Depending on the business such as health care or elderly care it can also result in mistakes that injure or kill patients and clients.

Customer service also suffers.New employees do not know the product or service the organization and will be a matter of survival for your business in the next decade. When this occurs, customers get angry and may take their business elsewhere.

An organizations reputation in the community is hurt due to employee turnover. With the use of websites such as Glassddoor and Facebook, an organizations reputation can be devasted. This makes it fare more difficult to recruit new employees to the organization. As the baby boomers retire, organization will face a crisis of not being able to find enough people to run their business as the economy grows.If an organization is unable to find enough people to replace those leaving it can hurt the ability to grow and even threaten the survival of the business when it can not provide products or services to customers.