5 Talent Retention Tips for Leadership in 2024

Employee Retention Matters More Than Ever

I recently read an article with a startling statistic: 

Even with the Great Resignation behind us, 1 in 3 employers anticipate higher employee turnover rates in 2024 compared to previous years.

Are you one of those employers fearing that your ranks will be cut down by employees leaving for better benefits and higher pay?

I don’t need to tell you how costly and harmful turnover is for the business and remaining employees, but here are a few things to expect from the fallout of turnover:

• Depending on the employee’s seniority level, it can cost from 50% to 300%+ of the employee’s salary to replace them.
• Remaining employees are susceptible to higher stress levels and burnout.
• Employee morale dips significantly, leading to even more turnover.

Employee Retention Strategies for Leadership

Retaining your top talent starts from the top — changes stemming from leadership are incredibly influential in whether an employee decides to stay or go.

If your leadership is concerned about employee turnover in 2024 and beyond, here are five points of focus to improve employee retention:

1. Foster a Culture of Open Communication

Don’t wait until their exit interview to get feedback from your employees. Create a safe environment where they can freely give and receive feedback. Implementing Healthy F.I.T. conversations regularly (at least quarterly) ensures that employees feel heard and valued, allowing you and your team to address concerns before they escalate into larger issues.

2. Provide Opportunities for Professional Growth

Invest in your employees’ development by offering continuous learning opportunities, mentorship programs, and career advancement paths. Show your team that you are committed to their personal and professional growth and they will be more likely to stay and grow with your company.

3. Understand What Motivates Your Employees — Recognize and Reward

Not everyone’s in it for the money. Yes, financial factors are a massive and necessary driver for meeting your employees’ needs. However, there are actually six dimensions of compensation that motivate employees. Each person is motivated differently, so get to know your employees as the people that they are.

Regularly acknowledge and reward your employees’ hard work and contributions. Personalized recognition can significantly boost morale and loyalty, making employees feel valued and appreciated.

4. Create a Positive and Inclusive Work Environment

Your workplace should be a place where your employees want to work. An example of collaboration, respect, and support coming from leadership goes far for your team members. A positive and inclusive environment attracts top talent AND makes existing employees feel valued and respected, enhancing their commitment to the organization. 

(Psst — I have a company culture checklist you can use as a guide.)

5. Proactively Prevent Burnout

Encourage employees to take breaks daily and prioritize everyone using their vacation days to recharge and prevent burnout before it begins. (Speaking of vacation days, a stingy PTO policy is a top reason employees look for work elsewhere. Does your policy have your employees browsing new job listings?)

When employees take time off, their manager should work with them to delegate their work while they're away to ensure they return to a manageable workload, rather than a mountain of tasks. 

Your leadership team should model this behavior by taking time off yourselves and prioritizing mental health. Creating a culture that values well-being over constant productivity helps employees feel supported and maintains their long-term engagement and commitment to the organization.

Don’t Wait to Enact Effective Employee Retention Strategies

I firmly believe that your employees are your most important asset. Where would your business be without them?

If your team is feeling the crunch of high turnover, or you want to work proactively, I offer a workshop geared toward leadership teams. We cover Healthy F.I.T. conversations, the Six Dimensions of Compensation, and more. Your team will leave equipped with:

• Understanding what truly motivates your team beyond money
• Learning how to discover what your employees really want from their jobs
• Mastering the art of open, honest conversations about compensation and job satisfaction
• Creating a culture of growth and learning that keeps your team engaged and excited