According to a 2012 report by the think tank Center for American Progress, “implementing workplace policies to benefit workers is not simply a “nice” thing for businesses to do for their employees. Maintaining a stable workforce by reducing employee turnover through better benefits and flexible workplace policies makes good business sense, as it can result in significant cost savings to employers.”
The report found that “thirty case studies taken from the 11 most-relevant research papers on the costs of employee turnover demonstrate it costs businesses about one-fifth of a worker’s salary to replace that worker. For businesses that experience high levels of turnover, this can add up to represent significant costs that potentially can be avoided by implementing workplace flexibility and earned sick days at little or no cost at all.”
One of the biggest incentives to attract and retain employees is the opportunity to gain new skills in order to grow a career. In short, the career development opportunities a company provides significantly increases the chances an employee will stay put in their current job.
4 reasons to implement a learning & development schedule to retain employees:-
- Higher job satisfaction:
A robust learning & development program will make employees feel challenged to grow. Being able to grow in a position will lead to employees finding their work more fulfilling. When an employee feels good about their contribution to the company, they will develop a greater sense of self-worth and be motivated to perform to a higher standard. By investing in learning & development, you will ensure employees become valuable resources. Knowing the company has invested in their career and personal growth will make employees feel valued and give them higher job satisfaction.
- Spot high-potential employees:
Developing employees by equipping them with relevant skills will allow employers to discover high-performing employees. These employees should be rewarded and offered incentives for their achievements. This boosts employee morale and is a key driver of retention. Choosing candidates who are eligible for promotion and ready to take on leadership roles requires a great deal of consideration. You will need to know their capabilities, strengths and weaknesses in order to assign the correct roles and responsibilities.
- Develop employee engagement:
By investing in learning & development, your employees will stay abreast of new knowledge and skills and ultimately will feel more empowered. These employees will feel a sense of loyalty towards their employers and stay around for longer. When employees see you providing learning opportunities, they will feel you care about their growth and become more committed to their jobs. This will lead to higher employee engagement, which in turn will produce higher business productivity.
- Efficient onboarding:
Employee onboarding is expensive and takes a great deal of effort. It can be disheartening when you invest a substantial amount and then a new employee quits within the first few months of joining. Having an onboarding learning & development program for new employees will help you retain staff from the outset. Apart from introducing them to the company culture, the onboarding program should ensure their skills are honed and they perform to the best of their abilities.