Retaining top talent is a key priority for businesses aiming to maintain a stable and productive workforce.
However, many companies struggle to understand what truly motivates their employees, leading to ineffective retention strategies.
A recent survey conducted by talent acquisition specialists Talos 360 offers insightful data on the most impactful retention tactics that businesses can implement immediately.
By gathering perspectives from over a thousand employees and hundreds of hiring managers in the UK, the survey highlights the factors that matter most to today’s workforce.
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Basic Salary Increases (55%)
Unsurprisingly, a competitive salary remains the most significant factor in retaining employees. Offering regular salary increases demonstrates a commitment to recognising and rewarding employees’ contributions.
How to implement: Review current salary structures and consider adjustments to ensure competitiveness within the industry. Implement regular performance evaluations and salary reviews to reward employees’ efforts.
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Increased Flexibility on Hours (30%)
Providing employees with greater flexibility in their work hours can improve work-life balance and enhance job satisfaction. Flexible scheduling options accommodate diverse lifestyles and personal commitments, fostering loyalty and retention.
How to implement: Assess the feasibility of flexible working arrangements, such as flexible start and end times or remote work options. Communicate clear guidelines and expectations to employees while maintaining productivity standards.
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More Perks (28%)
Additional perks beyond salary, such as gym memberships, wellness programs, or child care assistance, can significantly enhance the overall employee experience and contribute to retention.
How to implement: Explore cost-effective perks that align with employees’ interests and preferences. This could include offering subsidised gym memberships, hosting wellness workshops, or providing discounts on local services and amenities.
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Increased Holiday Allowance (27%)
Offering more generous holiday allowances provides employees with opportunities for rest and fun, contributing to improved well-being and job satisfaction.
How to implement: Review and update existing leave policies to provide employees with additional vacation days or options for paid time off to retain top talent. Consider offering flexible holiday schedules to accommodate diverse needs and preferences.
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More Recognition and Appreciation (27%)
Acknowledging and appreciating employees’ efforts and achievements can boost morale and motivation, fostering a positive work environment and increasing employee loyalty.
How to implement: Implement a formal recognition program to acknowledge employees’ achievements and milestones. Encourage managers and peers to regularly express appreciation through verbal recognition or small tokens of appreciation.
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Performance-Related Bonuses (26%)
Performance-related bonuses incentivise employees to achieve their goals and exceed expectations, promoting retention.
How to implement: Establish clear performance metrics and goals aligned with organisational objectives. Develop a bonus structure that rewards employees based on individual and team performance, ensuring fairness and equity.
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Increased Flexibility on Homeworking (24%)
The option for increased flexibility in remote work arrangements can accommodate employees’ preferences and lifestyle needs, promoting work-life balance and job satisfaction.
How to implement: Assess the feasibility of expanding remote work options or implementing hybrid work models. Provide employees with the necessary resources and technology to effectively work from home while maintaining team collaboration.
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Private Healthcare (17%)
Offering private healthcare benefits demonstrates a commitment to employee well-being and can be a valuable retention tool, particularly in competitive job markets.
How to implement: Explore options for offering private healthcare benefits, such as partnering with insurance providers.
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Learning & Development Initiatives (16%)
Investing in employees’ professional growth and development through training programs, workshops, and mentorship opportunities not only enhances skills but also fosters loyalty and retention.
How to implement: Invest in training and development programs to enhance employees’ skills and competencies. Offer opportunities for professional growth through workshops, seminars, online courses, and mentorship programs.
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Increased Pension Contributions (15%)
Enhancing pension contributions demonstrates a commitment to employees’ long-term financial security, contributing to employee loyalty and retention.
How to implement: Review pension plans and consider increasing employer contributions to retain top talent. Communicate the long-term benefits of these contributions to employees to reinforce the company’s commitment to their future.
Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.
