It is no secret that turnover is one of the biggest challenges corporations experience with Millennial and Gen Z workers. But why are these new workers leaving the corporate world? According to one study, 2 out of 3 employees are disengaged at work. Here are the top three reasons employees are jumping ship, and some top ways to prevent it from happening at your organization.
Lack of purpose
According to LinkedIn’s 2016 Purpose at Work Global Report, employees preferred companies with a clearly articulated purpose. The study also notes only 30% of the U.S. workforce reports feeling actively involved, enthusiastic, and committed to their work. In 2019, it's important for organizations to identify what role purpose plays. If they don't, this will lead to higher turnover and less productivity within the company. Furthermore, employees are more likely to offer their loyalty to purpose-oriented competitors.
Give your employees purpose
Establishing a clear purpose and actively involving your employees will improve job satisfaction and ultimately help attract and retain top talent. Start by examining questions like:
- What does "purpose" mean to leadership?
- Is there a positive impact your company can deliver to the world?
- Which causes are your employees passionate about?
Aligning these questions with the work you do will lead to a more purpose-oriented organization that employees enjoy working for.
Say goodbye to the 9-5. Millennials and Gen Z are very aware that technology now gives them the power to design their work-life on their terms. Because of this, the latest working cohort is not on board with sitting at a cubicle every day. Millennials and Gen Z are digital natives and are taking on the digital nomad lifestyle in droves. As a result, some are leaving the corporate world for good.
Lower turnover risk by offering flexible schedules
If you hope to provide long-term value for your employees, offering flexible scheduling can be a great way to keep them happy and productive. If you already have the infrastructure in place to allow managers and key employees to travel and work remotely, this is a benefit that can easily be extended to any office worker. Here are a couple of ideas to ease into remote work and flexible schedules:
- Let employees choose one day per week to work from home
- Allow employees to choose staggered start hours
- Offer a 10-4 work week
- Just send them home with a laptop and save your overhead costs
No career trajectory
Through the years, "lateral movement" has lost its appeal. In today's skills-focused economy, waiting 3-5 years to be promoted doesn't cut it anymore. With more companies placing value on skill over tenure, top talent can scale the corporate ladder much faster than before. This means if you're not promoting your highly-skilled employees within, they'll leave. Sometimes, they may take what they've learned at work and leave to start their own business.
Create a plan with your key employees
Assess your employees' skills and competencies regularly. Moreover, discuss this with them. Leveraging your employees' true talents and skills will create a more exciting career path at your organization. As an added benefit, the right people will be in the right jobs, increasing productivity and motivation.
Because leaning only on the same old KPI's can stagnate an employee's growth, lean into cross training where appropriate. This accomplishes two things. By elevating your employee's skillset via cross-training, you will help them feel more essential to the company and that their skills are valuable. And it will help the managers find the diamonds in the rough that they might otherwise overlook.
Climbing the corporate ladder
Climbing the corporate ladder is also not as attractive as it used to be. With more and more people under 30 creating their own businesses, the process of navigating office politics to climb the ranks has lost its appeal. In fact, many young adults would rather strike out on their own, leaving the corporate world behind, and create their own businesses than deal with corporate politics.
Clean up your Culture to keep employees from leaving the corporate world
Corporate America's work culture has been drug through the gutter via lawsuits. Everything from sexual harassment to equal pay to safe work conditions. Seems like companies always wait for a lawsuit to do the right thing. Good luck with that in the world of social media and employer review sites.
Get serious now about cleaning up your corporate culture, or risk them leaving the corporate world. Irresponsible managers, toxic work environments, and siloed departments with intramural politics are sure ways to repel good talent. Instead, reap the rewards of a positive work culture by cultivating an inclusive environment. Find out what matters to your employees. Then, act on it. Above all, focus on giving your employees a chance to share their true talents supporting them on their career path. Every step of the way. They'll appreciate it, and in turn, shine.
How pepelwerk can help
Pepelwerk is a new recruitment and HR platform, which offers free shift scheduling software that makes scheduling easy for employers and employees. Employers can control staffing requirements for each shift. In turn, employees can set their work availability and give employers the visibility to help them manage their shift work schedule effectively. Everything happens through one app. It's a great new way to streamline your process.
Go to the pepelwerk Employer page to learn more about our employer tools or sign up for free to see how our shift scheduling software works.