Safari Solutions Newsletter
Febrary 2008, Volume #38
Looking for ways to keep your prized employees happy? Top performers respond positively to non-salary retention strategies. And research has proven that the cost to retain talented employees is far less than the cost of turnover. Read on for tips and strategies on how to keep your best performers!
Ann Clifford
Dos and Don'ts
Can companies require new hires to sign non-compete agreements?
See answer provided below.
Golden Handcuffs Work!
"Golden Handcuffs" are monetary incentives that not only encourage employees to stay, but also make it difficult for employees to leave.
The most effective plans are customized to each key employee. Consider implementing the ideas below to retain your top performers.
Tuition Reimbursement - Set a specified period of time (# of years) that the employee must stay at your company, or they must pay back the tuition.
Car Leases - Lease a car in the employee's name. The company agrees to reimburse the monthly payment as long as the person is employed. If the employee leaves, the lease remains the employee's financial responsibility.
Equity - Create an equity plan that rewards key employees with equity if the company is sold or if they stay with the company for a specific time period.
(By Allison Witmeier, Safari Solutions, HR Consultant)
5 Low Cost Retention Tips
Employees are less likely to pursue career opportunities elsewhere if they feel cared about and valued. Incorporate these low-cost retention tips to make your company a place where employees want to stay.
Recognize personal events with get well cards, birthday cards, and wedding & baby gifts.
Celebrate employees' company anniversaries with a meal or gift.
Recognize positive performance with personalized thank-you notes, company wide acknowledgement, days off, or gift cards.
Offer flexible work schedules to accommodate a better work/life balance.
Employ company traditions such as dinners or parties for completion of large projects, conclusion of a busy season, or holidays.
(By Ron Giles, HR Consultant, Safari Solutions)
What Do You Think?
What incentive tools have you used to retain your top performers? Click below to join the discussion on our blog!
Safari Solutions Blog
Safari Interview Tip
Ask candidates to explain why they left each of their previous positions. Identifying why other companies have failed to retain them will give you clues on how to encourage them to stay with your company for the long term.
Safari Success Story
Separators Inc. recently engaged Safari Solutions to assist in hiring an entry level employee for their manufacturing facility. Safari Solutions' Tiger Eye Hiring Process identified a candidate with drive and initiative. This new employee, with his fresh perspective, has already implemented time saving process improvements!
Did You Know
The U.S. Department of Labor reported that 46% of those who quit their jobs last year did so because they felt unappreciated.
Safari Quiz
What is the turnover cost of an entry level position as a percentage of annual salary?
A. 10-20%
B. 30-50%
C. 50-70%
D. 70-80%
See Below for the Answer.
Answer to Today's Dos and Don'ts
Can companies require new hires to sign non-compete agreements?
Yes, however the primary benefit of a non-compete agreement comes not from enforcing the agreement, but from setting a standard of expectations for employees. Most states recognize some form of non-compete agreement. If you are considering drafting a non-compete agreement, be sure to consult with legal counsel in order to create the most enforceable document possible.
(By Allison Witmeier, HR Consultant, Safari Solutions)
Answer to Safari Quiz
What is the turnover cost of an entry level position as a percentage of annual salary?