Click this link to see the National Debt Clock tick: https://usdebtclock.org/. In southern Indiana, a well-known fabrication company was struggling keeping fitters, welders, and painters on the job. At first the supervisors and team leads were blaming the applicants. They believed new hires just did not want to work. They could not handle the kind of work they were asked to do. Management and supervisors thought people just weren't trained well enough in schools to work in difficult environments. Sometimes you had to weld lying down in tight spots in damp wet areas or high in the air. Most people just wanted easy work standing at a table to weld. This was the attitude of the veteran workforce regarding new hires. Don't help, wait to see who makes it. Unfortunately not many people were making it. This is disengagement extraordinaire. This was their mind-set and it was the culture new hires were working under. Transactional workforces complain, blame and sabotage new hires. Transformational companies, engage, learn, grow, and teach.
Less than 25% of companies have a written employee engagement plan. Why? It requires time to develop one (engaging with your employees to develop one is a prerequisite). Leadership sees the time employees will need for meetings and discussions and engagement with the workforce to develop this plan as "spending time" rather than "investing time. They are looking at the cost of today rather then the payoff for tomorrow. The cost of not having an active Employee Engagement Strategy:
Turnover costs according to SHRM (Society for Human Resource Management) states the cost of hiring an entry-level person is; $4,129 and the cost of turnover per person is an additional $3,328 for a total expenditure of just under $7,500 per person turned over in a year
The investment of having an Employee Engagement Strategy:
A 10% increase in employee engagement investments can increase profits by $2,400 per employee per year. (Source: Palmer Morrel-Samuels at Workplace Research Foundation)
Companies with engaged employees outperform those without by 202%. (Source: Dale Carnegie)
Leadership would better serve their companies and their employees by having a written engagement strategy and focusing on daily implementation of that strategy. If you don't have a written engagement/retention strategy click on the debt clock link https://usdebtclock.org/ and get an idea of how fast you are losing money without a good written strategy. See this clock tick, tick, tick. Your financial picture, your morale and your turnover will improve when you increase your employee engagement. I hope the imagery of this clock will move you into action to develop an Engagement Strategy. Let us know how we can help.
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