Rolle of HR on staff retention

Description

Employee retention is employees choose to stay on with their current company and not expecting other job prospect. For a company to succeed, employers need to keep their best employees on board. This is the goal of employee retention: an organization’s concerted efforts to retain their existing staff

Why staff retention is important for a business

1)     Sustained productivity flow

Professionals who work for long periods in an organization add significant value to the company. They understand the company’s vision at a deep level and know well how to fulfil their role’s expectations.

2)     Reduce company costs.

Retaining skilled and reliable employees is financially beneficial for an organization. Recruiting new staff is expensive and time-consuming with lower employee turnover costs, companies can invest to more other parts of the business.

3)     Reduce training time

Long-term employees are highly trained and feel confident to carry out their daily responsibilities. They have built effective communication channels with their manager and colleagues and know how to deliver their duty on time. New employees require training and time to adapt to the new environment and its requirements, which can strain team productivity temporarily.

How HR involve on the above matter

a.      Compensation and benefits:

Can attract a good candidate by offering them a competitive salary and basic benefits (e.g., health insurance, discounts for wellness programs), Rewarding employees based on their performance

b.     Training and career development:

Offering learning and training opportunities is also a huge motivator for employee retention. Employees can acquire new knowledge by attending interesting seminars and courses to develop professionally.

 

Figure 01

 What are the benefits of staff retention for employer & business?

·        Cost Reduction

·        Morale Improvement

·        Experienced Employees

·        Recruitment and Training Efficiency

·        Increased Productivity

·        Better Customer Experience

·        Improved Corporate Culture

·        Better Employee Experience

 

Figure 02

Conclusion

For an any organization staff retention is highly vital as it directly course to growth of the business. Hence, HR has major role to play in terms of growth of business.


References,

Marc Holliday - https://www.netsuite.com/portal/resource/articles/human-resources/employee-retention-benefits.shtml

QUANTUM work place - https://www.quantumworkplace.com/future-of-work/why-employee-retention-is-important

 

Comments

  1. Ruwan, its a good timly topic to describe.Actually retention of skilled good employees are worth than hiring new employees in an organization in every way. You have discussed nicely.
    Well done

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  2. Good start. Employees retention very important to an organization. You explained very well.
    All the very best 👍

    ReplyDelete
  3. Employee retention is most important part of HRM of and organization since it directly affected the productivity. You have clearly explained the role of HRM in this regards in your article. All the best

    ReplyDelete
  4. You have clearly point out the benefits of employee retention. As you mentioned employee retention is highly valuable for a company rather than requiting new employees. It will increase the productivity of a company. Wish you all the best.

    ReplyDelete
  5. Staff retention is better only for organisations who having skilled employees. Some organisation like life insurance are spending high value of cost for new recruitment due to the high employee turnover.
    But I m also agreed your article.

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  6. You clearly described HR's role in employee retention. I believe that motivating staff is really effective in terms of retention. Wish you all the best!!

    ReplyDelete
  7. The fact of retention employees is vital for an organisation. To the sustainable growth, in order to reduce the staff turnover we must use correct methods.
    All the best !!!

    ReplyDelete
  8. f you manage to maintain high staff retention rates, its quite beneficial. I am pursuing PGDM in HR
    Management and found this informative blog very useful for the same. Thanks for sharing.

    ReplyDelete

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