Understanding why your employees may consider resigning is key to your talent retention strategy. Employees quit for a variety of reasons; from having children and changing careers to going back to school.
By identifying and working on the reasons for termination, you can better manage turnover.
In light of the pandemic, a reported 56% of professionals in Singapore expect to find a new job in 2021, a figure much higher than the 31% in 2020. The numbers going up during a pandemic can be attributed to shifting values and priorities.
Staying engaged with your employees can give insight into how your organisation’s systems and processes need to be adapted.
1. Desiring better pay
Salary is often a top reason. Getting paid fairly is what every employee deserves and wants. Although salaries are kept confidential, employees can find out what their peers are earning in other companies. This allows them to gauge their market value.
When employees feel like they’re paid unfairly, they may be more likely to apply for jobs elsewhere. From job satisfaction to financial stability, higher salaries often influence the desire to stay. With 60% stating that better benefits are significant to satisfaction, employers need to offer compensation packages that are specific to their needs.
2. Little room for growth
Professionals look for companies for the chance to show and improve their skills, learn new things, and grow. These positive outcomes can be helpful for their careers.
When employees are invested in their passions, employers need to create growth opportunities. These can take the form of learning and development training, recognition, or job promotions. Employees look for the sweet spot where they are able to execute their duties but also feel well-challenged with some tasks.
Employers can nip the problem in the bud by setting new goals that motivate employees to grow. Such plans can be communicated during half-yearly performance reviews.
3. Feeling a lack of recognition
An employee who doesn’t feel recognised and appreciated is more likely to tender resignation. Salary alone cannot do the job of making employees feel valued. A study by BambooHR finds that a higher title (even without a raise) and non-monetary perks are just as effective as higher pay in job satisfaction.
Recognising your employees’ hard work can go a long way in keeping them happy. Employers can do this by publicising accomplishments in a company-wide email, providing opportunities for job advancement, and verbal affirmations like ‘Thank you!’ or ‘Good job!’.
4. Poor relationship with management
Professionals leave bad managers, not jobs. The common saying implies that management plays a significant role in retaining top talent. Skilled employees need to feel supported, recognised, and valued.
Ineffective managers can put employees’ chances for career growth at risk, hinder the daily operations of a team, and harm organisational success. You can see this in actions like micromanagement or failing to create inclusive environments.
People-oriented managers are how organisations today can reduce the likelihood of your top employees from tendering resignations. They are indispensable in building and maintaining strong workplace relationships, allowing for more transparent collaboration.
5. Misalignment with organisational culture
Over time, employees may feel like their values have changed. They may feel divorced and distant from the mission, vision, and goals of the organisation.
Termed organisational culture, reasons like work-life balance and leadership decisions can have an impact on an employee’s engagement and satisfaction at work. A report from Singapore Business Review shows that 57% of business leaders believe their organisations are thriving, only 27% of employees without decision-making power feel the same. A disconnect like this is often why employees resign.
Feeling like the organisation reflects or listens to their needs is important for them to want to stay.
Employees tender their resignation for a wide number of reasons, and exit interviews are a great way to gain insight. Improving your organisation’s policies and talent retention strategies by working on factors within your control can reduce the number of resignations turned in. Keeping your top talent is a driver for long-term organisational success.