Marketing

Posted 16 Sep 2019, Editor's Desk

10 Employee Retention Strategies

Introduction
  • Are your employees leaving your company frequently?
  • Are you unable to retain your manpower?
  • Do you implement employee retention strategies in your organization?

The two most important problems in any business are ‘competition’ and ‘attrition.’ Competition is outside, while attrition is inside.

Attrition means how many employees leave your company.

Usually, top companies worldwide don’t give high salaries, but “dole-out ‘Maggie’ in the form of various perks and benefits” to retain employees.

Now, let us understand innovative employee retention strategies used by big companies to keep their attrition rate very low compared to others.



#1: Accommodation and Pick & Drop Facility
It is one of the most creative employee retention strategies to retain employees. It won’t cost much to the employer as part payment is deducted from the salary of employee itself but it “gives a sense of pride and convenience to the employee”.


#2: Tea, Coffee and Snacks Counter
Apart from providing free tea, coffee or other snacks, some companies also provide food at a subsidized price. It also acts as innovative employee retention strategies.


#3: Timely Salary, Bonus, Appraisal and Promotion
It has been seen in various new companies and Startups that they don’t provide a salary to their employees on time.

The employer needs to understand employee’s expenses like- EMIs, Bill payments, Groceries, and Pre-planned monthly expenses.

It is also an innovative employee retention strategies.


#4: Insurance
In addition to salary, if the employer adds insurance into it then gross salary increases automatically.

Due to the sedentary lifestyle and unhealthy eating habits, every now and then new diseases come into existence.

It is advisable that employer provide health insurance of at least Rs. 1-2 lakh to its employees by selecting a good insurance company.

Again, it won’t cost much as the part premium would be deducted from an employee’s salary.

It is also one of the most creative employee retention strategies to retain your employees.


#5: Work from Home or Flexi-Schedule

Among the most important creative employee retention strategies is a flexible working environment.

There are some departments in the company where performance is easy to measure and they have less dependency on other departments.

If there is any such department in your company, you can give employees the flexibility to finish 9 hours of their shift, irrespective of check-in and check-out time.

For Example
You may allow your employees to work from home or can give flexibility in office-timings, which increases their productivity and performance.

It will decide whether your employees will live and grow, or they will leave and go.


#6: Kanyadaan or Scholarship Scheme
Another most innovative employee retention strategy is providing scholarships to children of employees. 

You may propose to your employees that if they stay for 5 years or 10 years in your company, you’ll add some specified money into Kanyadaan or scholarship fund every month, which will “help in their child’s marriage or education in future.”


#7: Free Grocery to Blue Collared Employees
Apart from the regular salary, if you “provide grocery bag worth Rs. 2000”, to your blue collared employees like driver, peon or office boy, it will act as a “comfort factor” for such employees. 

Hence, it is an easy and innovative employee retention strategies to retain blue-collared workers.


#8: Benefit against Contract
If your employee requires any expensive items like a car, bike, laptop, etc., you can give it to him/her against a contract.

Now, the item will be purchased on the employee’s name, and the company will pay the price, provided that employee shall remain in the company for next 3 or 5 or 10 years, depending upon the item purchased and policy of your company.


#9: Interest-Free Loan for Emergency and Adversity

A person remembers only two types of people, one who was with him in his good times and the other, who was with him in his bad times.

Your number 1 customer is your employee; if you support them in their adverse time then they will never leave you.
❌ You don’t have to earn interest on that loan.
❌ Don’t fear that he will run away with your money.

Giving a loan of amount 3 times his salary won’t affect much, provided he spent some time in your company.


#10: Additional Week-Off with Every Year Completed
Tell your employees that:
  • If they complete 1 year in the office, they will be given 1 Saturday off.
  • if they complete 4 years in the company, they will get 4 Saturday off.
  • After 4 years, they will be eligible for gratuity.


This motivates them to spend many years in your company.

By applying these ideas you may not need to give hefty hikes to your employees as they are complacent with the security and safety provided by you.

These are the 10 employee retention strategies which will help you retain your manpower. You may think it will cost you dearly but in reality, it won’t.
Do you have a query..?