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Keeping good employees

Treat employees well to see a positive effect on your company’s success.


A recent article featured on titled, “How Do You Retain Employees in a Small Business,” discusses how to avoid the employee turnover difficulties which often occur in carwash business and offers a look into MetLife’s whitepaper, “Five Secrets of Employee Retention.”

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The article points out how difficult it is for small companies to keep “their best and brightest” and also how important keeping those employees is to a business’ success.

“A study from the Center for American Progress estimated that replacing an employee costs, on average, 20 percent of the employee’s annual salary,” author Anita Campbell explains in the article. “So if a worker making $50,000 a year quits, you’ll pay roughly $10,000 to cover the lost productivity costs and then recruit and train someone new.”

Campbell points to MetLife’s whitepaper, and lists five ways to establish greater employee retention:

  1. Put in the work to get the right people. It can be difficult when your company is down a worker and business is heavy to go through the steps needed to hire the right person for the job, but it’s essential to really investigate a potential employee rather than hiring the first decent person who comes along. “If you have 10 employees, by picking the wrong person for just one position, you’ve now negatively impacted 10 percent of your workforce,” Campbell adds.
  2. Add special perks. Consider what your competition might offer employees who switch allegiances and decide how you can compete if you’re offering lower pay. “Consider adding non-monetary benefits such as [a] flexible work schedule,” recommends Campbell. “Most employees will look at the total overall package.”
  3. Praise your quality Employee of the Month, thank-yous and simple recognition for “going above and beyond” can help create a positive work environment employees want to be a part of.
  4. Establish relationships with employees. Talk to your workers, interact with them, remember birthdays and hold simple celebrations to let them know you care if they stick around. Campbell says, “One thing I learned a long time ago is that employees like to work in a place where they like their boss and their coworkers.”
  5. Hear what your workers have to say. Simply listening to what your employees have to say, whether advice, complaints or praise, lets them know you consider them important to the business’ success. Adds Campbell, “No one like to feel powerless or like they don’t matter.”

For the full, original Small Business Trends article, please click here.

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