Employee Retention Plan

Is it surprising that there is correlation between labor costs and retention? Unless motivated and happy with his or her job, approximately 83% of employees will look for alternative employment once the economy and job market improves. Unfortunately, many employers continue to practice under the premise of business as usual without considering that it can cost as much as one and a half times an employee’s annual salary to pay for unemployment, recruiting, training, and learning curve.

With the advancement of warehouse management systems, warehouse employees will become more technically sophisticated. As employees require additional training and technical ability, it will become much more difficult and costly to replace that employee.
By taking a few steps to increase moral and employee attitude, employers can maintain a consistent labor force effectively reducing resignations, increasing performance, reducing grievances, theft, and personal time off.

A good employee relations program can assist with these goals. The program may consist of an effective new hire integration program, which begins at the orientation, performance management, which starts with consistent management training, an employee-training program, organizational team building, and the potential of career advancement.

Along with the aforementioned, one of the most important things that a manager can do to improve employee retention is to make employees feel like they did an good job and that they are an asset to the company. Although you may not have the time or resources to implement every employee retention program available, start with making employees feel like an important member of your company. Speak with your human resources manager to help you put an employee retention program together.

Source
PWC.com, Companies Seek Edge Through Engaged Employees
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