Employee Retention and the Full Employment Economy
The United States full employment economic situation has generated prosperous times for America. However, while there is much to celebrate, companies are struggling to retain employment and prevent employees from jumping ship.
The last time that unemployment rates were below 4%, social platforms geared towards professionals did not exist. The economic rival has counterintuitively challenged traditional business poaching and hiring tactics.
The tight labor market increases opportunities on behalf of the professional, but provides a scarce selection for companies. If employees want to abandon their current job, they are presented with a multitude of potential new employers while the companies that they leave have a shrunken pool of candidates to pull from as potential replacements. As a result, many employers begin mining through the passive talent market made up of those who have yet to put themselves on the market.
When even the most loyal of talent becomes vulnerable, managers must become creative in their retention strategy. Unsurprisingly, a strategy that has proven success time and time again often includes empathy. Before preemptively offering a competitive increase in employee salary compensation, understanding employee needs goes a long way. Managers must put themselves in the shoes of employees by considering what they want, what would make them want to leave, what would make them want to stay, as well as other scenarios to inform workplace retention methods.
By giving employees more of what they seek, they are less likely to entertain or engage competitive offers. Understanding and empathizing with employees fosters a cohesive and capable team that will remain impenetrable and bulletproof in the event of an increase in poachers no matter the economic state.