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6 Top Reasons Why Employees Leave Their Jobs · Enhance.training

• 0:00
  SPEAKER_00: There are lots of reasons why employees leave their jobs.
• 0:04
  SPEAKER_00: I'm sharing the top reasons employees quit their jobs backed up by multiple employee surveys.
• 0:10
  SPEAKER_00: The first three of these reasons are always in the top five, no matter when the survey was carried out.
• 0:16
  SPEAKER_00: Interestingly, over the last few decades, with increasing globalization, employees have had the upper hand, which has meant less focus on keeping staff happy and paid fairly.
• 0:27
  SPEAKER_00: With globalisation currently retreating, a shakeup of many employment markets in Western countries is happening.
• 0:33
  SPEAKER_00: And there's been lots in the press on the Great Resignation, with 43% of employees thinking of quitting and moving to better jobs.
• 0:41
  SPEAKER_00: So here are the six top reasons why employees leave their jobs.
• 0:46
  SPEAKER_00: Firstly, lack of career progression and lack of development opportunities.
• 0:50
  SPEAKER_00: Second, bad bosses and toxic company cultures.
• 0:54
  SPEAKER_00: Third, lack of appreciation.
• 0:57
  SPEAKER_00: Fourth, low pay.
• 0:58
  SPEAKER_00: Fifth, too much work or burnout, and sixth, lack of job flexibility.
• 1:04
  SPEAKER_00: With each reason, I am sharing the stats from various surveys and from the manager's perspective, tips on how to reduce staff leaving for each reason discussed.
• 1:13
  SPEAKER_00: My name is Jess Coles and I've had a 25-year management career in corporates and household names through to SMEs.
• 1:20
  SPEAKER_00: Keeping your good staff members is critical to your team performance, to your career prospects as a manager and for the company's performance.
• 1:28
  SPEAKER_00: If you're new to this podcast, Enhanced.training shares business and people management expertise to help you improve your performance and that of your team and business.
• 1:37
  SPEAKER_00: And do visit us at enhance.training and take a look at the courses and resources for you to improve your management skills and the outcome your team delivers.
• 1:46
  SPEAKER_00: The first reason why employees leave their jobs is lack of career progression.
• 1:51
  SPEAKER_00: Lack of development opportunities and lack of career progression is cited consistently when employees leave their jobs.
• 1:58
  SPEAKER_00: Taking a look at a couple of different surveys.
• 2:19
  SPEAKER_00: Lack of development is a top reason for leaving in pretty much every survey.
• 2:24
  SPEAKER_00: The stats shared indicates that the vast majority of team members want to learn and progress their careers.
• 2:30
  SPEAKER_00: The pace of that development will vary considerably by individual employee.
• 2:34
  SPEAKER_00: There are so many ways that you can provide new challenges and development.
• 2:39
  SPEAKER_00: For instance, invest time in mentoring your direct reports.
• 2:43
  SPEAKER_00: Secondly, rotate tasks and projects around the team periodically.
• 2:47
  SPEAKER_00: Third, provide on-the-job training.
• 2:49
  SPEAKER_00: Fourth, put a buddy system in place.
• 2:52
  SPEAKER_00: Fifth, send team members on training courses.
• 2:55
  SPEAKER_00: And sixth, ask members themselves to put on mini training courses to share their knowledge around the team.
• 3:01
  SPEAKER_00: And there are so many more options.
• 3:04
  SPEAKER_00: Work out what is practical for your team, situation and budget.
• 3:08
  SPEAKER_00: Whatever you do, put in place the mechanism by which you can develop team members at a pace suited to their interests, ability and ambition.
• 3:17
  SPEAKER_00: As a general rule, the higher performing team members are, the more challenge, development and career progression opportunities you're going to have to provide for them if you want to keep them.
• 3:28
  SPEAKER_00: And that said, don't forget about the rest of your team either.
• 3:32
  SPEAKER_00: Any time and effort you put into development planning will be payback many times over with less employees leaving, or you benefit from them staying in their roles longer.
• 3:41
  SPEAKER_00: A Robert Half survey found a strong learning culture led to 30-50% higher retention rates than the companies that put those in place.
• 3:52
  SPEAKER_00: The second reason why employees leave their jobs is having a bad boss or working in a toxic company culture.
• 3:59
  SPEAKER_00: Here are stats from various surveys demonstrating how much bad bosses contribute to employees leaving.
• 4:07
  SPEAKER_00: 50% of 7,000 employees surveyed left to get away from their manager.
• 4:12
  SPEAKER_00: 75% of workers who voluntarily left their jobs were due to bad bosses, and that's a Gallup survey of over a million employees.
• 4:21
  SPEAKER_00: 56% of levers cited poor management in a Forbes survey of 2,200 workers.
• 4:28
  SPEAKER_00: And 92% of employees said that they would be more likely to stay with their job if their bosses would show more empathy, and that's per a business solver survey.
• 4:39
  SPEAKER_00: With the cost of recruiting, the time taken to recruit, to train and for new employees to create more value for the company than their salaries, the cost of replacing employees can quickly equal the annual cost of their salaries.
• 4:52
  SPEAKER_00: If you have high staff turnover, this becomes a very significant cost to the business.
• 4:58
  SPEAKER_00: To tackle the problem of poor managers, companies should invest more time and energy in training those managers and giving them better tools to manage more effectively.
• 5:08
  SPEAKER_00: Too few companies provide management training, mentoring or coaching.
• 5:12
  SPEAKER_00: The benefits may be more difficult to assess but are no less valuable than technical training.
• 5:18
  SPEAKER_00: There are lots of ways management teams can improve their understanding of their junior and middle management capabilities.
• 5:25
  SPEAKER_00: Some of these include anonymous 360-degree feedback exercises.
• 5:29
  SPEAKER_00: Secondly, managers making more effort to assess and understand the management capabilities of managers in their own teams.
• 5:37
  SPEAKER_00: Third, a company focus on management ability for promotion purposes, and fourth, leadership teams making management skills and competence a priority in their company.
• 5:48
  SPEAKER_00: The company culture is heavily influenced by the leadership team.
• 5:52
  SPEAKER_00: Do your part to ensure your company culture is focused on developing good, effective people managers if you want to lower staff turnover in your business.
• 6:01
  SPEAKER_00: The third reason why employees leave their jobs is a lack of appreciation.
• 6:06
  SPEAKER_00: Employees not getting recognized for the good work they do is commonplace and can be so easily and quickly fixed by the managers of those employees.
• 6:16
  SPEAKER_00: Here are some stats to demonstrate how widespread the lack of appreciation is.
• 6:22
  SPEAKER_00: When surveyed, 76% of employees don't feel valued at work and are seeking other job opportunities, and that's per a life work survey.
• 6:31
  SPEAKER_00: 82% cite lack of recognition leading them to consider switching employers.
• 6:37
  SPEAKER_00: 57% surveyed by the Pew Research Centre felt disrespected at work.
• 6:43
  SPEAKER_00: As a manager, showing appreciation is first and foremost about praising employees for good work, good behaviours and good choices.
• 6:51
  SPEAKER_00: There are so many ways to praise.
• 6:57
  SPEAKER_00: Or you could praise public in front of the whole team in your team meetings.
• 7:00
  SPEAKER_00: Or you could send an email, or you could award the person a prize, etc.
• 7:04
  SPEAKER_00: There are loads.
• 7:05
  SPEAKER_00: Most of the surveys confirm managers regularly saying thank you and praising their staff is more effective at increasing the feeling of appreciation than paying more money.
• 7:16
  SPEAKER_00: Make the time to look for good work, behaviours and choices and praise them.
• 7:21
  SPEAKER_00: The fourth reason why employees leave their jobs is low pay or not being paid fairly compared to market rates.
• 7:29
  SPEAKER_00: Not being paid enough as a reason for employees leaving their jobs has differing levels of importance depending on when the survey was undertaken.
• 7:37
  SPEAKER_00: As individuals and families come under increased financial pressure with increasing levels of inflation being felt by everyone, the level of pay is quickly increasing in importance.
• 7:47
  SPEAKER_00: When times are good, pay drops back down the priority list in favour of other factors such as development and working conditions.
• 7:55
  SPEAKER_00: Here are some of the conflicting surveys.
• 7:58
  SPEAKER_00: Low salary was cited by 59% of leavers in a Forbes survey of 2,000 workers conducted post-pandemic.
• 8:05
  SPEAKER_00: Low pay was cited by 63% of workers in a recent Pew Research Centre survey.
• 8:12
  SPEAKER_00: Older pre-pandemic surveys tell a different story.
• 8:16
  SPEAKER_00: For instance, money is not the problem.
• 8:18
  SPEAKER_00: In fact, only 12% of employees actually leave their job because they want more money, according to CareerBuilder.com.
• 8:25
  SPEAKER_00: 89% of bosses wrongly believe their employees quit because they want more money.
• 8:30
  SPEAKER_00: And that's from Leigh Branham, author of 7 Hidden Reasons Employees Leave.
• 8:36
  SPEAKER_00: In conclusion, levels of pay are always a factor.
• 8:40
  SPEAKER_00: In a low inflation environment, pay falls down the priorities list compared to the other factors listed.
• 8:47
  SPEAKER_00: And as one would expect, in higher inflation environments, pay levels rise quickly up the list of reasons employees leave their jobs to get better ones.
• 8:56
  SPEAKER_00: The fifth reason why employees leave their jobs is too much work or burnout.
• 9:02
  SPEAKER_00: Looking at the surveys burnout or overwork is an increasing reason why employees leave their jobs.
• 9:08
  SPEAKER_00: 20 to 50% of the reasons people quit is burnout, according to almost half of all HR professionals survey per Kronos.
• 9:17
  SPEAKER_00: Lack of healthy work-life boundaries are cited by 49% in a Forbes survey of 2,000 workers.
• 9:24
  SPEAKER_00: 33% of workers felt burnt out per a CV library survey of 2,000 people, which was also featured in the independent newspaper.
• 9:33
  SPEAKER_00: For many years, companies have increased the pressure on and the workload of staff to drive greater profitability or to maintain their profitability.
• 9:42
  SPEAKER_00: Partly company's success in doing this is the effect of globalization and the diminishing power of workers in general terms.
• 9:50
  SPEAKER_00: Technology and mobile phones have also played a part.
• 9:53
  SPEAKER_00: It is much harder to leave the office behind at the end of the day.
• 9:56
  SPEAKER_00: Always being contactable and the rise of home and hybrid working makes it harder to switch off from work and relax.
• 10:04
  SPEAKER_00: As a manager, it has become even more important to watch out for signs that staff are struggling with workloads.
• 10:10
  SPEAKER_00: Help them reduce their workloads to a more sensible level and increase the work-home boundaries so they are more able to relax and recharge.
• 10:19
  SPEAKER_00: The sixth reason why employees leave their jobs is lack of flexibility.
• 10:25
  SPEAKER_00: During the pandemic, many of us got a lot more used to working from home and working much more flexibly, both of which are seen as a big benefit by many.
• 10:34
  SPEAKER_00: Employees' priorities have also changed as a result of this period.
• 10:38
  SPEAKER_00: Flexible working has become a big priority for many workers, and until the number of unfilled jobs available drops, this is unlikely to change.
• 10:48
  SPEAKER_00: I have several recruitment consultant friends.
• 10:50
  SPEAKER_00: Many have been telling me that candidates simply won't apply to jobs that don't offer flexible working.
• 10:56
  SPEAKER_00: The surveys available support exactly this.
• 10:59
  SPEAKER_00: 37% of employees would quit and take a new job that allowed them to work remotely part of the time, and that's from a Gallup survey.
• 11:09
  SPEAKER_00: And 82% of employees said they'd be more loyal and less likely to leave if they had more flexible jobs per a flex job survey.
• 11:17
  SPEAKER_00: Offering flexibility in working patterns and working from home is a must at the moment to attract and retain staff in many sectors.
• 11:25
  SPEAKER_00: There are downsides in working from home.
• 11:28
  SPEAKER_00: It is harder to get promoted, it is harder to learn, particularly if you're starting your career, and it's harder to see when your staff are struggling.
• 11:35
  SPEAKER_00: As a manager, the importance of good one-on-one meetings with your staff members and monitoring their workload and their progress towards targets is really a highlighter when you don't have as much visibility of what they're doing day-to-day.
• 11:49
  SPEAKER_00: So, in summary, we have gone through six of the main reasons why employees leave their jobs.
• 11:55
  SPEAKER_00: There is a lot that you can do as a manager to address the issues that have caused employees to leave their jobs.
• 12:01
  SPEAKER_00: It does take a bit of thought, effort and time to address the issues, all pretty crucial to do to retain good staff and attract new talent.
• 12:10
  SPEAKER_00: As a quick recap, we've gone through firstly lack of career progression and lack of development opportunities.
• 12:16
  SPEAKER_00: Second, bad bosses and toxic company cultures.
• 12:20
  SPEAKER_00: Third, the lack of appreciation, fourth, low pay, fifth, too much work or burnout, and sixth, lack of job flexibility.
• 12:29
  SPEAKER_00: And if you have any questions, please drop me an email at support at enhance.training and I'll get back to you.
• 12:35
  SPEAKER_00: Thanks for listening, and I look forward to speaking to you again soon.