Member Article

Retention rates nosedive as majority of businesses find it difficult to retain top employees

The majority (72%) of businesses are finding it difficult to retain top employees, with 22% admitting it’s very challenging, a new survey has revealed.

Alongside difficulties retaining top employees, almost two-thirds (64%) noticed an increase in employee turnover in the past 12 months. That’s according to a survey of 250 HR professionals, conducted by StaffCircle, the all-in-one Employee Success Platform, which found that 60% of HR professionals are restricted by lack of real-time data that drives better retention: performance, engagement and development insights.

Worryingly, performance management data is still logged on paper or spreadsheets for half (49%) of HR professionals, with a further 48% unconfident in the accuracy of their employee performance and engagement data. This suggests an inability to react or implement changes in real time to resolve issues or motivate key players.

“Without real-time data and insights, organisations simply cannot understand their workforce,” commented Mark Seemann, Founder and CEO at StaffCircle. “On average, HR teams are spending 3-4 days a month on performance management admin – time that could be spent on employee training or mentoring. Too many still rely on spreadsheets and paperwork. Something has to change.”

Only 28% of HR leaders are capturing, storing and viewing employee performance and development insights on an online platform. A further 21% of respondents have information siloed across different platforms, and, worryingly, 7% don’t capture, store or view these insights at all. When asked how long it takes to access employee data or insights, 60% have to spend up to a week or more to gain access. Ten percent have to wait more than a month to access this data, and 8% can’t view this vital data at all.

“With employee performance and development data inaccessible, HR teams are unable to strategise and plan accurately or effectively,” Seemann continued. “It’s time for HR teams to ditch spreadsheets and embrace technology for optimal employee performance management. The real-time, accessible benefits can’t be overstated. Otherwise, HR teams will remain in the expensive recruit-to-replace loop.”

This was posted in Bdaily's Members' News section by Lucy Jefferson .