Small business employee retention is a critical factor in any small business. We spend literally thousands of dollars investing in an employee so it is very important to keep efficient, productive employees. Thousands of dollars you say? but we don’t have a training program that costs big bucks? Sure we have an induction manual for new employees but this didn’t cost allot!
Yes, there are quantifiable costs involved when taking on a new employee, such as advertising, employment contract costs and employment agency costs. But there are also costs that are not as easily calculated. How about the time taken to find a new employee, the fact that it takes time for new employees to come up to speed with your business. Do you have repeat customers? It takes time and effort to build a relationship which keeps those customers coming back. This is especially true for hairdressers and also restaurants and cafes with a local base. New employees generally take longer to do tasks meaning not as much gets done in the short term.
When an employee leaves then allot of knowledge of your business leaves with them. They have learnt just how Mrs Jones likes her coffee, how often to rotate stock to stop spoilage, the way to turn the key in the door in the morning, how to use the point of sales system, how to notice a shoplifter, know what sells & what dosen’t, is proficient in the machinery that is used in your business, has in depth knowlegde of your market, gives great advice to customers, make good decisions based on what they have learned from you over time. The list goes on and on so it makes sense to try and keep good employees.
But how to keep them. Well cash is not the number 1 reason why employees leave, mostly they feel undervalued & not appreciated. So here are some small business employee retentiontips that do not cost the earth from an article by Micheal C.Bush
Michael C. Bush is president and founder of 8 Factors, an action-oriented framework that has been taught over a decade and utilized by thousands of successful entrepreneurs
Go the extra mile to keep talent. For those who cannot afford to give raises or bonuses to keep talented employees, many may find that caring can be just as or even more valuable. Personalized gifts such as salon certificates, movie tickets, restaurant gift cards, sports tickets and treats can go a long way when it comes to keeping your staff happy. It is important to pay attention and find out what each individual employee values so the gifts are received with true enthusiasm; Becky might not like the salon certificate but love tickets to a Warrior’s game. Not all things stop at the buck.
Have you had any success with small appreciation type benefits that has helped with your small business employee retention? Any ideas that you would like to add?
