You've likely heard the refrain that explains, in a nutshell, the reason why employees leave their employers: "People quit managers, not companies!" This mantra was underscored at a recent BLR audio conference, but an expert also emphasized that the key to improving employee retention and engagement was enacting long-term, sustainable, behavioral change in managers.
Elizabeth Fried, author, consultant and executive coach, and president of N.E. Fried and Associates, and Bruce Barth, of Robinson & Cole, LLP, delivered the message that employers must approach employee retention on multiple fronts.
On one front, Barth explained the importance of offering competitive benefits, and communicating those benefits to employees, in order to both attract and retain them,
"[Employees] are receiving a lot more than salary from their employer," Barth explained. However, many employees have no concept of what employers are paying in terms of employee benefits and health care costs. Barth suggested that to whatever extent possible, employers should communicate the monetary value of benefits to employees by providing "report cards" or other type of benefits summary.
Aside from the many types of cafeteria health plans employers can offer in order to be competitive (including Flexible Spending Accounts and Health Savings Accounts), employers can also offer wellness programs (including physicals, periodic health assessments, tobacco cessation, obesity programs), recognition through rewards and incentives, professional development and training, coverage of employees' job-related moving expenses, and much more. No-cost rewards such as offering flex-time or job share programs are another way to treat employees in a way that make them feel valuable.
On another front, Fried emphasized that an employee's relationship with his or her immediate supervisor is the #1 determining factor of whether the employee will stay and how productive he/she will be. When a company learns that employee morale is low, the first reaction is often to conduct leadership training among managers. While this is a good first step, Fried said that often the training simply isn't adequate. There is usually not enough opportunity for managers to practice the skills they've learned, and once they are thrown back into the 'real world' of their jobs, they will instinctively react the way they always have rather than implement newly-learned leadership skills.
Fried gave the example of a person who one day is taught a new, more effective way to tie their shoes. The person thinks the new way to tie shoes is great--but that night, a fire breaks out in their home. When that person grabs their shoes, which way will the person tie them--the way they just learned, or the way they always have? Fried says that reinforcement, coaching, and practice (all part of her "integrated learning" model) are among the crucial elements necessary to enact any long-term behavioral change. It's not as simple as attending training for a day, then going back to work without any follow-up.
Another component to successful behavioral change is to hold the participant/manager accountable for the success of the training. If participants know that they are going to be held accountable, they don't treat training as "a day off" from work, but are instead highly motivated to acquire and use the skills taught.
Both speakers agreed that one of the most effective, simplest ways to improve an employee's morale is to make them feel appreciated by a kind word or compliment ("pat on the back"). Taking the time to dole out a word of praise to an employee goes a long way, Fried and Barth agreed. Managers need to be retrained to recognize how important it is to consider/acknowledge the self-esteem of employees in their interactions with them.
Order a copy of the Employee Retention Audio Conference on CD.
