Employee Retention Rate:

Controlling turnover and developing strategies for retaining talent in the company are some of the challenges that the human resources Employee area faces. Especially when dealing with professionals from hot sectors such as technology.

 It is natural that there is a movement in the job market with professionals changing jobs occasionally – whether in search of new challenges or to grow in their careers. However, there is an average talent retention rate considered healthy for companies.

 Discover with our guest, Glassdoor, how to calculate the retention rate, the ideal result and tips on talent retention strategies to  achieve the ideal scenario!

 How To Calculate Talent Retention Rate

The operation to find the retention rate of people in your company is very simple. The first step is to find out the turnover .

 To calculate the turnover, it is enough to have the employee movement data in the analysis period and the total number of employees during that time.

 With the information in hand, add the admissions to the terminations, divide by two and then divide the result of the operation by the total number of people . Once this is done, multiply by 100 to get a percentage value.

 What Is The Ideal Talent Retention Rate?

Some human resources experts indicate that the ideal retention rate should be around 95% , but that many factors can affect this number and isolated cases should also be analyzed.

 For example , it can be more difficult to retain talent in specific areas (such as technology) and internal facts in each team can affect the employee’s bond with the company.

 In addition to the internal problems that can arise in the company’s dynamics, many external factors, mainly related to the economy, can shake the market and affect the retention of professionals:

 Country’s overall unemployment rate;

Rate of new jobs generated in the country;

National and international situation of the economy;

Speed of growth in your company’s industry;

Enhancement of the employer brand of competitors.

Strategies for talent retention

Of course, many professionals have reasons of their own to change jobs, but efforts on the part of the company can be made to promote an improvement in employee satisfaction .

Understand the reason for departures

The first step is to understand why professionals are leaving your company and migrating to new opportunities. This type of mapping should be done on an ongoing basis as your team members leave the company.

 A simple way to implement this and begin to understand the more general reasons is with exit interviews . Ask for honest feedback and opinions, with concrete examples, and keep this reported in a document.

 With your exit interview notes, you will be able to identify opportunities for improvement and actions that should be taken to improve your talent retention rate .

 Offer good rewards, but also things beyond that

It is clear that good benefits and a satisfactory salary are points that contribute to the appreciation of an employer, but these are not the only points that Brazilian professionals are considering when looking for new opportunities.

 One of the surveys carried out by Glassdoor revealed that, for 29.6% of professionals , the main reason that leads them to want to change jobs is to have a job that is more connected with their life purpose and personal desires.

 People want to feel like they are doing something for the world. If every company produces something for society, be it a product or a service, how does your company awaken in each professional on the team this feeling of contribution?

 How does your company communicate?

its purpose so that your employees feel connected to the same goal? Consider actions that make these points clearer to your employees.

Communicate growth opportunities

The same survey that uncovered the previous insight also showed the main reason employees stay with their companies. This means that certain factors can make your current job even more attractive.

 It was revealed that 25.1% of professionals want to continue in their companies because they see good growth opportunities in it . Good pay and/or benefits come right after connecting with personal purpose, at 18.4% and 18.5% , respectively.

 Therefore, our suggestion is to invest in opportunities for internal growth , while communicating this appropriately to all the company’s employees. This efficient communication  will help align the expectations of all your team members.

Work your employer branding well

Many think that investing in employer branding only serves to attract new employees and that it should only be a priority in times of high hiring.

 The truth is that your employer brand is definitely important at all times for your company , even if the focus of your efforts today is retention and not market attractiveness.

 Find your EVP ‘s strengths and turn them into strategies to build and work a cohesive employer brand, demonstrating the full value of continuing to work for your company.A good tip is to start by organizing internal communication pieces that describe the purpose of the company and the advantages of working there.

 How to build your employer brand 

 Base your strategies on data that translate your employees’ perception of the company , outlining talent retention strategies that repair negative points and highlight the positive ones.

 To do this, use internal survey results and assessment tools like Glassdoor . This way you guarantee work that is consistent with the perception of most employees. .


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