When it comes to employee retention trends, The Great Resignation of 2021 taught us that young people aren’t loyal to their organizations like past generations used to be.
A recent study by Deloittle found that only 23% of Gen Z employees are looking to remain at their current position for over 5 years, with 38% of millennials saying the same thing.
That means if your workforce is mostly millennials and Gen Z, more than half could leave in the next 5 years! This could include top performers, important leaders, or even rising stars inside your organization.
The cost of this attrition isn’t cheap either. A study done by Gallup reported that the real cost of losing an employee — and subsequently needing to replace them — can be equivalent to one-half or double their yearly salary, depending on their position.
So how can you combat this high attrition rate so you can keep your best talent engaged and your hiring costs low?
The answer lies in your organization showing its people they are valued and an important part of what you are trying to build. You need to do this through both intrinsic and extrinsic motivators.
→ Extrinsic motivation refers to tangible rewards such as an increase in salary. Your organization must ensure its people are being paid fairly and given time off.
→ Intrinsic motivators, however, present a different challenge. Everyone has different intrinsic motivators that align with who they are.
The best way to discover those intrinsic motivators (and buck the poor employee retention trends!) is through effective, attentive Coach-Like Leadership.
Want to discover the key obstacle impacting your organization’s results?
Managers need to have the leadership team building and coaching skills necessary to learn what motivates their team and how they can best meet those needs.
This is where the benefits of coaching in the workplace comes into play.
Organizations that embrace a coach-like modern workplace culture have reported:
- Improved performance by 104% for individuals and 137% for teams
- 22% of employees with a coach-like leader had thoughts of quitting, compared to 60% who did not
- 72% improvement in communication
If your leaders are equipped with fundamental coaching skills, they’ll understand how to build strong relationships with their team members, have effective coaching conversations, and most importantly make the people around them feel heard and valued.
Imagine if one of your top performers left and the main reason cited was they didn’t feel valued by their organization… Coach-Like Leaders ensure that never happens and that your top performers will not only stay, but be champions for your organization for years to come.
If you want to learn how Coach-Like Leaders use fundamental coaching skills to drive engagement and retention, book a call with me here.