I read a LinkedIn post recently from a bank employee who openly praised his organization. “Rarely will you find an organization with a handful of readily discernible components of a culture of quality,” said the employee.
How do you build such a sense of loyalty and engagement in an organization that drives employees to share such positive posts about their place of work?
Lack of employee engagement can be costly for an organization. In a recent article by business author Geoffrey James, he stated that it costs about 20 percent of an average employee’s salary to replace that employee, according to a study by the Center for American Progress.
Today and tomorrow, Promotional Consultant Today shares these seven tips from business author Geoffrey James for creating and increasing employee loyalty.
1. Understand what ’employee loyalty’ means. James says that to affect employee loyalty, you must first understand what loyalty really means and what behavior represents loyalty. Employee loyalty means an employee feels a personal or emotional connection to the workplace. To increase these positive emotions, you must understand what drives those deep-rooted emotions.
How can you find this out? Take a survey of your employees. Hold small focus groups. Ask for anonymous feedback. Is it special benefits? Is it the workplace setting? What drives the culture that makes your employees want to stay? Simply ask.
2. Offer competitive and fair compensation. The number one reason employees fee devalued is when they believe that their compensation is less than fair. If one employee feels that he or she is getting paid less than a colleague for the same work, they will feel slighted. James says that the best way to provide fairness regarding compensation is to publicly share this information. While most organizations aren’t bold enough to do this, one firm—Buffer—does this very successfully.
3. Hire more referrals. The best source for employees is through other employees. A referral typically means that it can be someone that people like and trust. An employee referral program can be a great motivator for getting employees to bring in talent and get recognized for it. James shares the success story of mobile security vendor Location Labs. He said that 60 percent of the employees at this company were hired as result of employee referrals, resulting in an astoundingly small five percent annual employee turnover rate.
Looking for more loyalty tips? Read PCT again tomorrow.
Source: Geoffrey James is a professional speaker, business author and award-winning blogger. His blog, Sales Source, appears daily on Inc.com.