How Much is Employee Turnover Costing Your Company?
Employee turnover affects every single company out there, some more than others, and it is a problem that must be dealt with properly. Even if you don’t think it is happening, employee turnover is present simply because people come and go. Seasonal businesses deal with this issue on a regular basis, but they expect it to happen every season as their employees move to better jobs or return to school.
Remaining Staff is Overworked
Remaining staff will be assigned the projects of employees who have left your company, which ultimately leads to them being overworked. Not only do they have to complete projects they were already assigned, now they have to take care of extra work too. When this happens, your remaining employees might need to work overtime hours to complete the extra work. This will cost your company thousands of dollars in overtime if you pay on an hourly basis and not a salary basis.
Reduction in Productivity
This is unavoidable since at least one productive employee has left your ranks. Because productivity has dropped, your company will see an impact in profits. The less productive your company is, the less profitable it will be as customers/clients will know their work might not be completed in a timely manner.
Each time an employee leaves your company, you will need to spend time and money on training new hires. Employees new to your company will need to be shown the ropes and how to perform the job at an effective level. This means that someone in your company will be responsible for training the new employee.
Someone at the company must take time out of their day to interview job candidates, which means they will not be able to focus on their regular duties. This leads to lowered productivity, which leads to lowered profits. Once the interviews are complete, you will need to spend time conferring with management and others as to which candidate is the best for the open job.
Contact Smart Talent today to begin your company’s search for new employees.