I just read an interesting story in Forbes
, which noted that a common phrase included in the risk factors on 10-Q forms for public: “If we are unable to retain our existing senior management and key personnel and hire new highly skilled personnel, we may not be able to execute our business plan.”
Employee retention is a big enough issue, public companies list it as a significant risk factor that could prevent the organisation from reaching financial targets. Yet, organisation leaders do not see the primary problem
behind retention issues.
There’s some evidence that companies are starting to pay attention to the dangers of overworking employees. But many organisations, it seems, fail to recognise the risks. “Work-related stress” was the reason top-performing employees in the U.S. most frequently cited for why they would leave their organisation, according to a recent report by consulting firm Towers Watson & Co
. and professional association WorldatWork
That disconnect helps explain why more organisations are struggling to hold on to key talent. The percentage of U.S. companies that are having difficulty retaining critical-skill employees has risen from 16 per cent in 2009 to 31 per cent in 2010 to 36 per cent in 2011, according to Towers Watson’s report.
That mirrors results of our own Workforce Mood Tracker survey
from September 2011 showing 38% of US employees are actively looking for work (up from 36% in January 2011).
What can you do about it? Start listening. Read the tips I offered a few weeks ago on Compensation Café
Are your employees visibly stressed? What are you doing about it?
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