How will COVID effect employee retention in 2021?

This question comes from a member of our private group.   (I’ll add the link to join the group at the bottom of the article).

Michal is a HR leader for a manufacturing company that creates all natural cleaning products.

Michal Asks:
I suppose after COVID will employee’s leave even if companies look after them?  The changes due to COVID left a workforce that is tired, stressed and connection may be an issue, which in turn leads to disengagement.

Greg’s Response:

Over here in Australia, the Australian Bureau of statistics will show that on average you get about a 10% staff turnover rate. 

Looking at economic factors and people actually wanting security over the next 12 to 24 months, I think you'll actually find that that 10% staff turnover will drop because people want security of jobs. 

I think as the economy starts to pick up, I think you'll find that the average turnover will get back to normal at about 10% and every industry is different. 

So for example, call centers and telecommunications have a churn rate or a staff turnover rate of about 25 to 30%.

Turnover is healthy.

I'm actually working with one organization at the moment where the staff turnover is basically, next to zero.

The average tenure within the workplace is about 30 years.

And so essentially what's happening is there's no fresh ideas coming into the workplace.

So I think a healthy level of staff turnover is important.

There's no point trying to hold a person into the job after COVID, because if they're motivated to go, they're motivated to go.

But you got to ask the question, why do they think the grass is greener on the other side? 

Is that really an indication that there are areas of concerns that are not being addressed by the organisation?

That’s worth considering, particularly if you have multiple people leaving for the same reason.

So in summary, will people leave after COVID?

Sure.

Can you force people to stay?

You can, but it's not worth it.

Use this as a great opportunity to create a stronger team culture and bring new ideas and insights into the organisation.




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