3 Top Reasons Employees Leave
When you hear that an employee is leaving, your first thought might be, “He or she probably wanted more money.” But a new LinkedIn survey of 5.3K+ recent job switchers in North America uncovered 3 top reasons employees leave…and money isn’t one of them.
When asked why they left, 48% of surveyed job switchers expressed concern about the lack of opportunities for advancement. Another 45% were dissatisfied with senior management’s leadership, and another 41% weren’t happy with the work environment/culture. (Dissatisfaction with compensation came in next at 40%.)
These results show that, more than anything, your employees desire career growth, a fact confirmed by another survey of 2,500+ finance and accounting professionals, in which 64% said that the chance to gain new skills is a critical consideration when making a career move. Therefore, the best way to woo future candidates and retain current talent is to offer them career opportunities, not just jobs. When interviewing candidates, talk about work and expected results, advises LinkedIn, not just personality traits and required qualifications.
However, there’s no denying that money is an incentive. When asked why they joined their new company, 63% of job switchers in the LinkedIn survey said they did it to gain a stronger career path/more opportunity, while 60% did it for higher compensation/benefits, and 50% changed to find a better fit for their skills and interests. This means that offering a competitive salary/benefits package certainly plays a role in your strategy to attract the best passive candidates. (We can help you with determining a competitive salary.)
If you’re hiring and your company isn’t huge, the survey revealed good news for you. “Small is the new big,” says LinkedIn. “People are downsizing, flocking to small organizations. Attract and recruit entrepreneurial employees by showing off your small company qualities.”
One hindrance 54% people cited when considering a job change was uncertainty over what it’s really like to work at another company. To keep that from being the reason candidates won’t join your organization, it’s imperative to present your employer brand and make your company culture apparent through your recruitment marketing, website, and hiring process. (Note that in the hiring process, surveyed candidates complained most about applying to the company and not hearing back, inconsistent/unclear communication, getting rejected without a fair chance, and not knowing which job to apply to.)
Learning the top 3 reasons employees leave may seem like focusing on the negative, but it has a purpose. Through this survey, you now know that candidates and employees are looking for career advancement, a fit with company culture, and a way to use their individual skills and interests. Fortunately, all these factors are within your power to influence, allowing you to attract employees who can help you reach your goals.
Want to compete with the big guys? Check out these compensation strategies of high-performing companies.
Click here or call (714) 993-1900 to request an employee or discuss a workforce management issue.