What does your attrition rate tell you?
Posted by Anadi Upadhyaya on July 18, 2012
Do you believe that you are doing great job just because your attrition rate is as per industry benchmark or lower than your competitors?
If you reward your entire workforce in almost same fashion, who do you think will stay with you between your performers and non-performers? If you don’t want your workplace to be a resting place for non-performers, you not only need to investigate reasons behind your employee’s decision to leave you but also to stay with you. You need to ensure that workforce holidaying at work is not the main reason for your lower attrition rate.
Knowing performer’s contribution to your attrition rate helps you to understand this number better and helps you to make required changes in your efforts towards addressing employee turnover. One-size-fits-all solution seldom works. You have to diagnose your people’s concerns in-depth before arriving on corrective actions. You need to verify early and verify often that your diagnosis is not only correct but also relevant.
It will be disastrous to depend only on the reasons recorded during exit feedback as truth may never prevail from there. It’s a mistake to expect correct feedback on your exit door at the time when “Do-not-burn-the-bridges” is the main mantra.
Neither the problem of employee turnover is new nor do the various claims to address it. Same age-old tactics to solve employee turnover problem will not give you new results. You should not dream to stop employee turnover altogether nevertheless you must try hard to save you performers. You need to understand why your performers are (or will be) leaving you. And try to address their concerns keeping in mind that:
- No magic pill exists; you need to understand the problem before searching for a solution.
- Conversation is the key; keep all forms of communication open.
- Acting on employee’s feedback-data on time will save time and money for you.
- Copying solutions blindly is a stale idea instead work on a solution tailored or designed for your need.
- You must develop a culture of trust; nothing will ever work without it.