According to a recent research about recruitment and human resources, almost all interviewed top executive believe that the new hires retention is a great issue currently in their organization.
It is a common knowledge in the recruitment market that recruiting talent requires a large amount of time and effort, especially in the case of top talent acquisition. Therefore, it is crucial that you have a strategy to keep the talent that the team had worked hard to search for and hire. The issue turns out to be more serious, while approximately 25 percent of new hire will quit working within their first six month joining the company.
In addition to the wasted time you cannot get back, there are also a big cost along with the high turnover. Based on the survey by the Society of Human Resource Management (SHRM), top executives have to spend an average cost of $4,129.00 and an average time of 42 days to fill a positions required talent, not to mention the intangible cost of letting a job open for a long time of 42 days.
There are many other factors to generate extra costs for a quitted position, especially if the role is directly generating revenue for the organization. Moreover, you have to take into consideration of overtime scheduling cost to fill in the vacancy, onboarding and training new employees cost.
As for your new hires, it is obvious that they just accepted your offer, highly likely with some degree of gratitude and excitement. So why they quit within 6 months?
1. Not fitting to the job
Staff who perform well in their position are generally open for new job opportunities. On the other hand, unsuccessful staff sometimes choose to move on because they lack the feeling of being accomplished and competent. Providing management and training support is crucial to enhance the employees’ self-esteem and happiness.
It is advised that top managers should set appropriate KPIs and expectations for candidates about their task, which will guild both the candidate and the organization towards better success.
2. Not fitting to the organization
It is understandable that a staff will quit if they show up at a new company just to realize that there is something wrong with the company fit. Statistics show that a normal employee spend an average of 30 percent of all his life at the workplace, thus highlighting the big impact of the working environment to the wellbeing and satisfaction of the staff.
Therefore, it is important to allow highly potential candidate to meet with various people during the interview process informally such as office tour, lunch gathering. These options can help both the company and the candidate to determine whether if your company has the work culture that they will fit.
According to the newest research from Faro Recruitment Vietnam, new hires are likely to be still receiving career notifications and alerts from HR and company websites that they were interested in before accepting your job offer. It is of great important that top leaders to setup new hires and your organizations for together success in the long term. Our professional team from Faro Recruitment Vietnam suggest that you give the full support in order for your new hires to be successful in their relationships and work, as well as giving a clear view into the company tasks and environment.