More than 38 million workers quit in 2021. How can your company navigate the Great Resignation and win?

Retaining and attracting talent today.

On top of a contracting workforce, the pandemic gave many workers pause to consider what they really want from a job. So, what can employers offer to retain and attract talent? Here are four places to start.

1. Competitive compensation:

Wages

Companies are increasing salaries and supplementing wages with bonuses, tuition assistance, and student loan repayment. If you need convincing, look at the numbers:

• The Conference Board^® forecasts a 3.9% jump in wage costs for firms in 2022, which includes pay for new hires—the highest rate since 2008.
• According to Grant Thornton^®, more than 50% of human resource leaders in the U.S. said their company expects average merit increases of more than 5%.
• Those who switched jobs saw wage gains of 4.3% in November, compared to 3.2% for those who stayed, according to the Atlanta Federal Reserve^®. Increasing your current employees’ compensation can be a powerful tool for retention.

Remember, make certain there is equity in compensation between new and existing staff, so your current employees feel valued and are less likely to look elsewhere.

Flexibility

A separate Grant Thornton survey found that 51% of workers would forgo a 10% – 20% salary increase for greater work flexibility. But when it comes to flexible work arrangements, there’s a disconnect between what talent wants and what employers are offering. Company practices lag employee desires for remote and hybrid work.

Remote work preferences: companies vs. employees

As pioneers in connecting people and work, we are proud to have been on the forefront of this movement. Since 2016, Kelly^® has seen great success with the Kelly Anywhere program that encourages remote and hybrid work, fosters collaboration, and provides technology to support teamwork.

Finally, the importance of work-life balance can’t be overemphasized. A recent Joblist^® poll showed that 13% of workers quit because their jobs didn’t provide adequate work-life balance. Some organizations are experimenting with a four-day workweek or sabbaticals to address this issue and to help retain highly skilled workers.

Personalized benefits

The best employers value employees as whole people—with lives and responsibilities outside of work. They are offering personalized benefits to fit the employee’s stage of life. This “whole person approach” increases employee satisfaction and, as a result, retention. Consider the following:

• Providing benefits to address stress and mental health issues—often exacerbated by the pandemic—and burnout is increasingly important to employees.
• Parents dealing with last-minute school and daycare closures appreciate the flexibility to pivot—meaning to work from home or to work during off hours. According to the Care@Work^® survey, even before the pandemic, 66% of working parents said their productivity has suffered due to juggling childcare and work responsibilities. And 52% of working parents said they hide their childcare issues because they worry that employers and colleagues won’t understand.
• Additionally, many of today’s workers are part of the “sandwich generation,” and find themselves responsible for their children as well as their parents. For them, flexible schedules—including the ability to take leave to care for family—are extremely valuable and build loyalty.

2. Career growth:

Upskilling and job training are powerful mechanisms to help retain talent—and an area where many employers are falling short. There’s a real opportunity here to benefit both employee and employer, while increasing satisfaction and job loyalty.

Percentage of employees who say their current employer is helping them improve their skills to do their jobs better:

3. Culture that enables employees to thrive:

Healthier, happier employees are more likely to stay! To this end, companies need to set up formal and informal feedback mechanisms: managers should regularly meet with employees to assess their attitude and engagement. Additionally, exit interviews are a good way to gain more valuable insights. At Kelly, seeking feedback is a priority and managers monitor employee engagement on a quarterly basis. Soliciting feedback isn’t enough though— it’s imperative to act on what you learn so your staff knows they are being heard.

4. Purpose:

Ensure your company’s purpose is clear. Talent is looking for meaningful work that aligns with their values. A significant 20% of workers surveyed by Joblist quit jobs to pursue new career paths and passions. To increase employee satisfaction, share your company vision with employees and empower them to help you achieve it.