With employers still reeling from the Great Resignation, the last thing they want to hear is things will only get worse.
But according to some industry experts, you may see a fresh wave of employee resignations come January.
Here’s why HR pro and author of Evil HR Lady blog Suzanne Lucas thinks so.
Prepare and plan
At a lot of companies, the end of the year comes with holiday bonuses and annual pay increases. So, Lucas reasons, employees who want to leave are likely going to wait until that money is in their pockets. The pay increase could also help them negotiate a higher salary at a new job.
So what can employers do to try and prevent workers from walking out the door in the new year?
Lucas obviously wouldn’t suggest not handing out bonuses or raises — that would lose you employees anyway. The best thing you can do now is to plan.
3 strategies to try
Here’s what Lucas says employers can do to try and prevent more employees from leaving:
- Do more than cost of living raises. Inflation has had a huge impact on everything — salaries included. It’s important to do research and make sure any raises you give are in line with competitors. If you only do the bare minimum, employees won’t stay long.
- Think about long-term incentives. If you don’t want your people walking out after they receive their bonus, give them a reason to stay for a while. By offering compensation options that take longer to accrue (a generous 401(k) match, for instance), employees will feel a greater sense of loyalty and stick around.
- Examine your management styles. No matter how good the money is, an employee isn’t going to stay if they don’t like their managers. To encourage higher retention, focus on making your managers the best they can be. Consider offering more training, and try to pinpoint any specific issues workers may have with managers.
And what happens if you really don’t have money for raises or bonuses? Lucas says honesty is the best policy. Communicate clearly with your people what they can expect compensation-wise, and brainstorm alternatives before January comes around.