By Paul Bertrand
October 27, 2014
I
was speaking to an executive recently who shared with me their biggest concern being
excessive turnover. Not a good one. As we know the costs out of the issue are so detrimental
to profitability. When asked what might be causing it, compensation was given
as the factor.
Based
on my presentation and further discussions of key important factors of the
organization, we may have concluded something different at the end of our meeting.
What
the research1 tell us is that 70% of the
time someone leaves, or worse planning to leave (disengaged), is due to reasons
directly controllable by their managers.
Your
exit interviews from your departing employees tell you compensation is the cause. “Leaving for more money” they tell you. Is this correct? Be aware that the pay reason is an easy way
out of getting into any specifics.
Nobody wants to burn the bridge behind them.
Data from a study found
that 89 percent of managers believe that most turnover is caused by better pay.
Yet, 88 percent of voluntary turnovers, something besides money is the root
cause. This astounding disconnect between belief and reality allows managers to
deny responsibility for correcting and preventing the root causes of employee
disengagement.
The great news is that recent findings done by Effective Managers™ and the Telfer School of Management at the
Contact
Canadian People Management to learn more about this new solution and how you can be leading your
industry, your organization, your team, to greater results.
1.
Leigh Branham,
The 7 Hidden Reasons Employees Leave- The Saratoga Institute had a database of 19,700 exit and current employee
surveys
Paul Bertrand is founder of Canadian People Management Inc. which is based out of Pickering , Ontario . His company specializes in organizational effectiveness development through solutions tailored to strengthen his client’s cultures, leadership and teams.
www.cpeoplemi.com