An excerpt from Staying Power:
Who’s the Real Flight Risk?
Unfortunately, today’s younger workers have garnered a negative reputation for being job hoppers when, in fact, all new hires are a flight risk, regardless of their age.
New hires don’t have the “golden handcuffs” seasoned workers do, and most new hires have the confidence and courage to change jobs, or they would have stayed put.
Think of it this way. If someone was willing to leave their last company to come work for you, they are likely to leave you for the next opportunity that appeals to them.
Trees vs. Revolving Doors
The veteran group of dependable workers described earlier is what I refer to as the “trees” in our workforce today. They are deep-rooted in the organization and are not likely to go elsewhere anytime soon.
Now, the other part of the workforce is a completely different story. These less stable positions in the company are the “revolving door” roles, which rotate through new hires faster than managers would like, and that cost companies dearly in losses of productivity and profitability as they repeatedly rehire and retrain for these jobs.
At most organizations, I find the majority of positions fall into one of these two categories: trees or revolving doors. If you had to separate your entire workforce into only these two buckets, what percent of your staff falls into each? (There is no right answer. This is just to help you reflect on your current staffing situation.) Is it 70/30, 60/40, 50/50?
Now, project out five to 10 years and envision what percentage of your staff will fall into each category then. Scary, right? It doesn’t have to be!
The impending transition from a long-term workforce to a shorter-term workforce should not blindside any manager or company. We can see it coming, and can prepare for it now.
As more trees retire, they are not likely to be replaced by newer trees who will stay long term but, instead, those roles will become more revolving-door positions. This is already occurring in several industries and the trend will continue. I bring this projection to light as a way to jump-start your leadership team into discussions about the importance of understanding today’s new workforce and making retention efforts a priority. The costs associated with a lack of preparation will be detrimental to some organizations.
And keep in mind, the goal is not to stop the revolving door. The goal is to slow it down to a manageable pace that is sustainable.
Do you have a plan for the workforce transition?
Author: Workforce thought leader, speaker and author Cara Silletto, MBA, is the president and chief retention officer of Crescendo Strategies, a firm committed to reducing unnecessary employee turnover. Her 2018 book, Staying Power: Why Your Employees Leave & How to Keep Them Longer, helps employers better understand today’s new workforce and improve employee retention.