Why Ignoring the Relationship Between Recruitment and Retention is HR Suicide

Recruitment and Retention

The reasons why HR’s priorities when it comes to recruitment and retention are too asymmetrical in these turbulent economic times.

Why Ignoring the Relationship Between Recruitment and Retention is HR Suicide

Ignoring the factors of employee commitment will not only have serious ramifications for staff turnover and retention but for organisational health in general. Furthermore, not one of the top four factors can be addressed solely through improved recruitment and selection practices.

Read: Four Most Important Factors of Employee Commitment.

great{with}talent asked 1500 employees, across 19 different organisations. The results showed that the three most important factors for maintaining organisational commitment are ‘Personal Growth’, ‘Job Satisfaction’ and ‘Cooperation’. Whilst ‘Salary & Rewards’ is fourth.

It is encouraging that 49% of organisations tackle retention problems with training and development opportunities. Yet, some of the other percentages are a cause for concern.

Only 16% of organisations invest in job redesign to improve employee satisfaction and learning. Instead they favour improved selection techniques (38%) and increased pay (40%).

Of course each intervention technique should be evaluated in terms of its effect on retention using the appropriate metrics. For example, increasing pay may delay an individual’s decision to leave.

Although, it is unlikely to remedy the fundamental problem unless salaries are significantly below the industry benchmark. In fact it may simply increase continuance commitment, with all its more negative associations.

Understanding employee commitment requires the appropriate use of diagnostic and monitoring tools to identify key retention and turnover drivers within the organisation. Psychometric exit interviews and early engagement questionnaires can provide invaluable information on which strategies to employ. Similarly attitude surveys include variables on staff commitment and intentions to leave.

HR budgets are limited and as we know recruitment and selection processes already receive priority. As retention problems continue to rise, it is becoming increasingly apposite to invest more in employee retention strategies.

These help to monitor, maintain and increase organisational commitment. The economic rewards are not in doubt.

In addition, as the criteria for evaluating organisational contributions broaden to include societal and environmental impacts, the humanitarian benefits of a committed workforce cannot be ignored.

Contact great{with}talent and find out more about their TalentEngage staff engagement surveys.

[youtube http://www.youtube.com/watch?v=DvAF23qiSE8&w=560&h=315]

(Main image from Technology Review)

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