EMPLOYEE

RETENTION
CONTENT:

INTRODUCTION REASONS FOR PREVENTION STRATEGIES REAL LIFE

TURNOVER FOR EXAMPLES AND
RETENTION TRENDS

CONCLUSION
 Employee
Retention:
• It refers to the organizational practice of holding
on to employees for a long time by fostering a
positive work environment and offering proper
compensation, employee engagement
opportunities, and recognition. 
• Retaining employees is essential to improving
organizational productivity, which, in turn,
translates to business growth and success.
• It’s important to have a proper employee
retention program in place to ensure an
organization’s employee retention rate
surpasses its employee turnover rate.
 
EMPLOYEE RETENTION
RATE:
Employee retention rate gives the percentage
of employees who continued working for an
organization over a specific time period.
The employee retention rate is an important
metric because it allows businesses to
evaluate the methods they use to train and
keep qualified employees. If you have a high
turnover, you can experience many hidden
costs, including lower productivity and
reduced work quality.
Calculation of employee
retention:
(Remaining no. of employees During Set Period ÷ Starting no of
employees During Set Period) x 100
For ex: starting headcount = 200
remaining headcount = 125
Therefore, 125/200*100= 62.5 % ( Retention rate)

 Time period must be defined

 New hires shouldn’t be included in the retention rate to
interfere with the results.
 Shorter time period calculation of retention rate is more
advisable.
Reasons why employees leave their jobs

1 2 3 4 5 6 7
Looking for Needing Feeling Wanting to Seeking a Searching for Wanting a
a higher uninspired feel valued better job growth & different
more of a management career
salary challenge work
relationship advancemen
t
environment
Reasons why employees leave their jobs

8. Thinking that 9. Feeling

10. Looking to live
their job has conflicted with
somewhere else
changed workplace policies

11. Wanting a 12. Needing more

different work feedback or
environment structure
Recent trends in
Employee retention
• 25% of full-time employees plan to look for a new
job with a different employer after the pandemic

• People are 23% less likely to leave their jobs over

pay

• Lonely employees are 2 times more likely to quit

Recent trends in
Employee retention
• Companies investing in Diversity
and Inclusion (DE&I) are 8 times
stronger in employee retention

• 41% of employees strongly agree

knowing what their company stands
for differentiates it from competition
 Give them challenging work.

RETENTION
STRATEGY
Train them in cross-disciplinary
FOR TOP skills.
PERFORMANC
E
Define and plan a successive
plan.
 Offer personalized benefits and
perks.

RETENTION
STRATEGY
Ensure they are working under
FOR AVERAGE a right manager.
PERFORMANC
E
Adopt a social recognition
system to recognise them.
 Identify the cause of poor
performance.

RETENTION
STRATEGY
FOR POOR Address skill gap immediately.

PERFORMANC
E
Write accurate job description
to hire right people.
 • 1)Hiring for Cultural Fit
How to • Hiring someone keeping your cultural values in
mind will result in more loyal and engaged
prevent employees.
employees
• 2)Hybrid Workplaces
from leaving • Flexible working arrangements have become one
of the top things that people look for in a new
job.It is the option to work in the office or work
remotely according to one's convenience.

• 3) Rewarding Efforts, and Not Just Results

• Companies must empathize with the ground
reality and recognize their efforts.
•4) Employee Well-being
• Both our physical and mental health should be taken care of an organization can give
employees more than just sick leaves and free health checkups. 

•5) ESOPs (Employee Stock Ownership Program)

•It is an excellent way to compensate employees as a bonus or incentive. Making the
employees become stakeholders of company helps them stay invested in the
company's performance.

•6)CSR Programs
• It inspires loyalty and engagement in your people. A CSR initiative where the workers
can contribute their participation is an excellent employee retention idea. It will go a
long way in creating effective employee engagement.
 CONCLUSION
• Employee retention is a major concern for many employers;
management teams of successful organization have to realize the
importance of retention its most productive workforce. High turnover
leads to loss of valuable workers whose replacement is costly.

• It is important to note that a high employee turnover is normally

unhealthy to an organization’s performance as well as the productivity
of other presumably loyal employees.

• The Employee exit from an organization may be a subject of variant

factors; however, although some are avoidable, other factors may be
too strong for the employer to control.

• In order to limit harm of high turnover, employers need to utilize some

strategies so as to improve job satisfaction and hence retention.