HUMAN RESOURCES: Fostering Employee Loyalty

You give them the world: 401(k) plans, telecommuting, profit sharing, mentoring, flex time and costly insurance, but they are moving up and out as quickly as you can train them. In this age of diminishing loyalty, how can organizations retain talented workers? One thing is certain, traditional rules do not apply. You must begin to think out of the box.

• Treat your employees like real business partners. Promote entrepreneurial vision by allowing employees to make decisions that impact the business. People gravitate toward pursuits in which they can exercise a measure of control over their lives – they want to make decisions on their own and control the outcome of a situation. Control is often what brings satisfaction in work. This is why so many people start their own businesses.
• Maximize job functions. Challenge employees constantly. Once boredom and mediocrity set in, their resumes go on the Web.
• Meet or exceed standard needs. Provide resources that enable superior job performance. If an employee spends 70 percent of the time writing, invest in current computer technology.
• Include tangible rewards. Sign-on and tenure bonuses are excellent, but must be followed by ongoing buy-in mechanisms. Remember, an employee will only give loyalty to the degree he or she feels loyalty is given.
• Promote a continuous learning curve. Think in terms of educating your employees; giving them knowledge for a lifetime vs. training them, which typically amounts to teaching them skills for a narrow function. Employee development must be a never-ending process of education. If conducted properly, education becomes an asset, not a cost. Keep employees involved in industry trends and changes. The more immersed they are in the business, the more likely they are to commit. 
• Clearly define the path to professional growth and development. Create programs for internal certification or promotions. Upgrade education for managers and employees. Initiate people  upon hire by means of unique, interesting and state-of-the-art orientation.
• Communicate continually by means of an employee handbook, personal notes, meetings and educational sessions. Instill culture, mission and philosophy every day. Consider an annual opinion survey to “take the temperature of the workplace” and identify gaps in quality, leadership, safety, morale and other important areas.
• Get rid of the jerks. Remember, good employees leave bad bosses, not good companies. If one of your employees ends up working for a jerky manager, the employee will be gone faster than you can say, “leadership training.” Managers who can’t respect and properly interact with their direct reports should be swiftly shown the door.
• Consider customizing the workplace. Offer a variety of benefits from which employees can pick and choose and, whenever possible, be more flexible. With several generations in the workplace, you’ll find that some want more time off and others want a cappuccino machine at work. Today, retention involves aligning the organization with the interests of employees.
• Review your compensation and benefits programs now. Total compensation must be competitive in today’s market. Gather reliable market data and update your ranges, if necessary. Review your benefits package. While your benefits may be generous, they may be outdated. For example, sick time is being replaced by “personal time off” and more of it so employees can take “mental health days” or care for their sick pets (believe it or not).

Money alone rarely keeps employees motivated and deeply committed. You must start by hiring the right person and then develop a culture of trust, enthusiasm and challenges. Support the system with strong leadership and innovative programs, and future success is imminent.