A Retention Reprieve?
Although no one can really predict what is going to happen next in this economic crisis, one thing is for sure, fear and doubt have swept across the country. As many companies have had to make cut backs, we have seen a temporary shift in power away from the employee and back to the employer. Employees everywhere have realized that the best option right now is to stay where they are.
This will have a huge impact on retention rates and if you are an HR manager you may actually have a chance to breathe! There is however, a cause and effect cycle at work here that you as an employer must pay careful attention to. In fact how you handle your employees right now will do a lot to determine your retention rate in the future.
Some companies are going to blow it big time!
I have already heard stories of disintegrating work environments. The stress levels and increased expectations at work are causing a lot of people to be, shall I say, snappy? Work conditions during stressful times have a tendency to unravel. Because of the uncertainty, most employees will put up with a little garbage right now. It’s like being an oarsman in a boat that is in dangerous water. No matter what the morale or the leadership style, if people are scared enough, they know they have to keep rowing. The problem for employers will be a few months from now when this storm is over and the waters once again become smooth. It will be during this time that employees will once again lift up their heads and evaluate whether or not they want to remain working on your ship. In fact, how well you lead and manage employees during this crisis will have a massive impact on your retention rate once the economy recovers.
For the employer who regresses back to a time when companies did not treat their employees as well, there will be a heavy price to pay. People will leave those companies in droves. However, for the bosses who, despite the challenges and the stress, continues to invest in their people, and to treat them with respect and dignity, they will have potentially created a deep reservoir of goodwill, which will only help their retention efforts in the years to come. It is in the hard times when great stories are written. The question is, once all of this is over, what do you want each of your employees to say about you and your leadership? They are writing their stories even as you read this.
“I remember when the world seemed like it was falling apart and we were all concerned that we might lose our jobs, and it was during this time that my boss…”
You finish the story, and then get out among your staff and make sure that what is being written is a tale about inspirational leadership.
