While more than half of American business owners report a strong commitment to employee retention, the soaring costs of training — and high employee turnover — have many businesses left wondering what they can do to increase employee satisfaction and to inspire long term employee commitment. About one-third of all small business owners report that staffing is their top priority, and executive HR search firms across the country are being tasked to provide highly-skilled employees who are also looking for long term positions.
Outsourcing HR and IT positions is not always a desirable option for small business owners: having a full-time, onsite HR professional who can address employee concerns and make adjustments in payroll and insurance policies can be essential for businesses of any size. Making sure that employees feel that their needs are being addressed in a timely fashion is also important; more than 20% of new employees leave their new positions in less than two months, and management remains more concerned than ever about building employee satisfaction.
Executive HR search firms look for candidates with a broad skill set, knowing that onsite HR can be tasked with hiring new employees, coaching existing employees, and a wide range of administrative functions. Talent acquisition management teams look for candidates who work well in a team environment but who can also be relied upon to provide leadership in an office environment of any size. Human resource staffing agencies with strong placement records often report that they provide long term leadership training and coaching services to enhance the strength and longevity of their executive placements.
Businesses of every size must have a vested interest in employee development, realizing that their continued success depends upon cultivating a sense of loyalty and enthusiasm among team members. Executive HR search firms are facing higher demand for telecommuting options and increased interest in comprehensive health care packages for new employees; studies show that employees who are satisfied with their health care options are up to three times more likely to stay with the company past the first two years.
Employees realize that they are working in a seller’s market, so to speak, and are more than willing to accept employment offers that offer better benefits and retirement options. Younger employees may have more need for leadership development than established workers but a higher level of technological skill at the outset of their employment; older workers, on the other hand, tend to have more developed team management skill sets and may be more confident in new situations.
Contracting with executive HR search firms can be useful for businesses that want to improve employee retention rates, and candidates with more stable job histories will naturally be prioritized. In the search for great pay and comprehensive health coverage, employees also need to be mindful of the fact that frequent changes in employers can make them less desirable to established businesses that enjoy low employee turnover. What is the optimal time to stay in any position? Hiring industry experts indicate that employees whose previous jobs have lasted five years or longer are more likely to be prioritized for executive positions.
Finding employees who work well as part of a team and who are willing to commit to long term training and development programs can actually drive profits; mistakes and oversights by new employees can be costly. Businesses are striving to maximize employee satisfaction; providing the option to work from home may be the key to employee longevity in a rapidly-evolving world economy.