With bold statistics like the cost of replacing an employee exceeding $4000.00 floating around the corporate world, it’s easy to focus on the glaring monetary expense. Surely, the cost of recruiting which involves advertising, sourcing, background checks and training is the big picture that companies tend to look at when attempting to replace employees. Sadly, however, the really big piece that many companies overlook is the impact on their remaining employees and faithful customers. This cost is far-reaching and has the potential to be more damaging in the long run.
How You Got Here
Often when someone quits a job, it’s more than a better offer or a need to relocate. Many times it has to do with a negative management style or unhappy work environment. Content employees who feel cared for and appreciated tend to stay even when being wooed by a competitor who may be offering more money. Don’t lose the chance to do an exit interview with your departing employee to find out exactly why he is leaving. Information you glean from this has the potential to save more employees from leaving for the same reasons. Be sure to follow up on his answers to help avoid further losses.
Think Of the Others
When someone on your team leaves, don’t forget how it may impact the other employees. Remember that these people work together day in and day out and have bonded in many ways. Losing someone you see every day can have a negative impact on how you see your own future. It’s important to take this opportunity to communicate with your employees
- That their positions are secure
- How the previous employee’s workload will be covered
- That you welcome any suggestions to improve the work environment
Open communication with your staff alleviates unnecessary worries or rumors that can have a devastating effect on your company and shows them that they are valued.
Don’t Forget the Customers
The cost of an empty seat in your organization goes well beyond money and even your remaining employees. The final piece is your customer base. Remember that your clients are used to working with certain frontline people whether in person or on the phone. These employees have built a special relationship with your client base, and now your customers will have to, in effect, start all over again with someone new. Clients don’t like to see new faces or talk to new people who aren’t familiar with their needs or how they like to do business. Too much turnover could ultimately cost you faithful customers.
Every employee is valuable and brings a certain characteristic and talent to the table. Of course, the goal is to keep your employees by appreciating them and providing a great environment in which to work. However, when you find that you are losing someone, don’t waste the chance to find out why and how you can make things better. Additionally, don’t forget your remaining staff. Encourage them and foster that sense of trust and mutual appreciation. Finally, consider your customers, keeping in mind that they are impacted as well.
