By now, we’ve all heard the story of the Great Resignation.
Employees are quitting at record rates. The changes and upheaval of the last two years have led many employees to rethink their job prospects and pursue greener pastures.
Meanwhile, a lot of organizations have taken advantage of this mass exodus as an opportunity to poach talent.
But now reality is setting in – and regret is settling in on both sides of the situation. In fact, a recent survey reported that only 26% of job switchers are satisfied enough to stay in their new position! This is bound to cause a lot of pain for businesses as well.
The solution is to put people at the center of our businesses – but first we have to understand how we got in this situation.
Click here to watch a video from Steve on the topic!
When the Great Resignation Turns into the Great Regret
There’s no doubt the Great Resignation and the talent shortage has put a huge squeeze on most organizations – so I understand why a lot of companies wanted to do anything and everything in their power to hire talent.
Unfortunately, some efforts were a bit misguided here. Companies offered candidates everything they wanted, at least on paper. From higher salaries to the opportunity to work remote, companies have been offering anything and everything to boost hiring.
Money and perks are great, but it’s no secret that they really don’t lead to long-term career satisfaction alone. If new employees don’t mesh with the culture at the new job or clash with a leader, it’s no surprise that money won’t convince them to stay for long.
If You Live By Price, You’ll Die by Price
Have you ever heard the sales advice – “if you live by price, you’ll die by price?” It basically means that if you only win sales because of your price, you’ll lose sales as soon as the next lowest bidder comes along.
Employers need to hear the same advice when it comes to attracting top talent. If you only win top talent because you’re offering high salaries and great perks…you’ll lose top talent as soon as the next highest bidder comes along! Offering competitive compensation is one thing, but if candidates join just for the money, they’ll leave for money too.
Of course, candidates are partly to blame here too.
As a candidate, you must remember that money isn’t everything. It’s always great to earn more, but most people also want a healthy work-life blend and supportive leadership. Going a step further, most people want to work for a company whose purpose and values align with their own.
So before you accept a new position (or hire a new employee), ask yourself – is this really a good long-term fit for everyone involved?
What Employers Can Do to Avoid Getting Burned – Again
It’s clear that buying top talent with excessive compensation is NOT the answer. So what can organizations do instead to attract top talent and make great hires?
The key is to emphasize impact and culture. Everyone wants to make a positive impact at their job and be the person who makes a difference.
Your job descriptions are an opportunity to highlight how your organization impacts your clients and community. Going a step further, you can use your job descriptions to emphasize the unique impact each role has within the organization.
Younger generations in particular are highly drawn to purpose-driven organizations. Use your recruitment marketing to emphasize how your company makes a difference for other people.
Most people just want to know how their position contributes to the organization and your customers!
Treat the Disease – Not the Symptoms
At the end of the day, the main issue here is that companies are treating the symptoms of the Great Resignation, rather than the root cause.
They’re rushing to fill seats, without asking why those seats were left empty in the first place.
Instead of asking hard questions about why their leadership and culture drive resignations, they’re trying to paper over the problem with better compensation packages and perks.
But those are only short-term solutions and they only make the problem worse.
Now is the time to invest in your leadership and work on your culture. Strive to build a business where people are truly supported and given the room to grow toward their own personal goals. Build leaders that actually give a damn about each of their team members!
Stop Putting a Band-Aid on a Bullet Wound
It’s bad enough to lose great people. But replacing them with people who aren’t the right fit for your company is even worse!
If you’re serious about fixing the turnover happening at your business and hiring the right people, it’s time to dig deeper. Explore why turnover is REALLY occurring and look at unique ways your company can draw in talent. Anybody can steal your talent by offering more money…but nobody can steal your culture!
To learn about how our performance solutions and leadership development can help you boost retention and engagement, schedule a no-obligation call with our team today.