the Peakon report
A data study of the survey responses from over 32 million employees of 125 countries, the Peakon report mentioned declining work engagement and loyalty as the key indicators of attrition along with work dissatisfaction, unsupportive management, and the lack of clear career opportunities in the company. Jon Christianse, a data scientist in his recent interview, revealed that it is easy to predict the employees who will stay in the organization and who will leave. But the highlights were consistently pointing toward the interpretation that employees will quit. It was stated that employees prefer to avoid conflicts and to face pressure at work.
Another report is by the Hay Group published recently concluded that the turnover rate from 2013 to 2018 was an average of 23%, with 192 million employees leaving their current employers. Maren Hogen, a talent acquisition marketing expert, stated that the new hires quit his job after six months, noted that an employee gets clear if they will stay with the company for a longer-term or not after their first week, and the most suffering industry is the technology industry.
LinkedIn’s analysis founded that the highest attrition rate come from the technology industry (software), followed by retail, media, and professional services after analysing half a billion professionals.
In the case of retention, Facebook recorded the highest retention rate, with an employee serving the company for an average tenure of 2.02 years, it is only one year at the Amazon, and 1.1 years at Google.
The report highlighted that high attrition could have a significant impact on the organization as its bottom line. 78% of global business leaders ranked employee retention as important or urgent. LinkedIn’s surveyed 10,000 job switchers and discovered that the top reason for a steady attrition rate is a lack of career opportunity, followed by poor leadership and unhappy work culture.
The technology sector showed a hike in employee attrition.
However, high attrition is entirely avoidable in the tech industry, as per the report. The proposal to scale down employee retention is the need for a robust strategy. It will ensure that employees have lots of career and advancement opportunities along with internal mobility, healthy professional relations with the management, and a healthy culture of the organization. Offering competitive compensation to an unengaged employee won’t cut it.
The companies enjoying low attrition rates have invested in employee retention. With regular mentorship, 360° performance analysis with real-time feedback, introductions to senior management, initiative invitations, and creation of the career advancement road map, they are able to control the employee turnover.