It’s no secret that turnover in your organization costs a lot of money.  Estimates on what those costs are vary widely from 50% of the employee’s salary to 400%, depending on the nature of the job.

The projection is that a turnover storm is on the horizon due to layoffs, cutbacks and stress during the economic downturn.  Have you spent time preparing for this?  Do you know what to expect? 

The impact of turnover has another result that you may not have considered carefully enough.  It is very difficult on the remaining employees – the ones you NEED to keep.  Many times these employees are the ones who have to take on the burdens left behind when a colleague quits.  They have to deal with staffing shortfalls and absorb more responsibilities.  They have to communicate with dissatisfied customers due to quality concerns, slower production, and reduced customer service. They have to manage the stress that comes with watching co-workers leave the company and questioning whether sticking with the organization is the right move for them.

These things can quickly lead to a mass exodus. This will leave you with a weak employer brand which means you not only lose many good employees, but you are unable to attract quality replacements.  The cost for this damaging scenario is impossible to calculate. 

How do you prepare for market conditions suggesting you are primed for this? What can you do to reduce the amount of employees who leave and to support the employees who stay?  What steps will minimize the damage?

Become more human. 

If you recognize that your employees have aspirations, concerns, needs, and wants you can direct your interaction accordingly.  You can become more appreciative, more communicative and ultimately be more connected to your workforce.  You will be amazed at the loyalty that can be generated just by approaching your employees as human beings.  In addition, as you try to replace those that have moved on, you can be responsive, respectful of candidates’ time and need for feedback, and just generally kind.  This will do wonders for your employer brand.

It is easy to forget during tough times that not everything boils down to dollars and cents.  You can get so caught up in the daily numbers needed to survive that you ignore the big picture.  Yes, your employees are either assets or liabilities, but they are also human beings.  If you would like to generate loyalty, have some consideration for the fact that they are much more than machines that simply produce or don’t produce and interact in a way that makes them feel valued.