How To Retain Your Best Staff in 2023
The Great Resignation is a term coined to describe the phenomenon of employees quitting their jobs in record numbers. While the pandemic has been a significant contributor to this trend, it is also a reflection of a broader shift in the way people think about work and their relationships with their employers. According to the US Bureau of Labor Statistics, in April 2021 alone, over four million Americans quit their jobs, a new record. This trend has been building for some time, with surveys indicating that over 40% of employees are considering leaving their current jobs within the next year.
The Great Resignation has also impacted the nonprofit sector which is not protected from these wider economic trends. Your organizations rely heavily on the staff to achieve their mission, and losing employees can have a significant impact on your ability to deliver services and programs effectively. According to a survey by the Nonprofit HR, a consulting firm for nonprofit organizations, more than half of nonprofit employees are considering leaving their current jobs.
This is a significant increase from the pre-pandemic period, where only about a third of nonprofit employees were considering leaving their jobs.
So, what has been driving this trend?
Pandemic Burnout: The COVID-19 pandemic has taken a significant toll on the mental health of workers. Long hours, increased stress, and the blurring of boundaries between work and home life have contributed to burnout, leaving many workers feeling depleted and disconnected from their work.
Desire for Flexibility: The pandemic also highlighted the benefits of flexible work arrangements, such as remote work and flexible schedules. Many employees have grown accustomed to the freedom and autonomy of working from home and are unwilling to return to the traditional office environment.
Career Advancement: The pandemic has forced many workers to re-evaluate their career goals and priorities. For some, this has meant seeking out new opportunities that offer better career advancement potential or align more closely with their values.
The Power Dynamic Shifts: The pandemic has also highlighted the power dynamic between employees and employers, with workers realizing that they have more leverage than they thought. This has emboldened some to take a more assertive stance in negotiations around pay, benefits, and working conditions.
Nonprofit organizations face unique challenges in retaining their employees however, given the often-limited resources available to invest in staff development and compensation. Nonprofits also face the added challenge of competing with for-profit organizations for talent. The pandemic has highlighted the importance of mission-driven work, and many employees are seeking out organizations that align with their values and offer meaningful work.
So, what can leaders do to address the Great Resignation and retain their top talent in 2023?
Beyond ensuring their organization is mission-focused, leaders of nonprofit organizations can take numerous steps to retain their top talent. Prioritizing employee well-being, offering flexible work arrangements, and investing in professional development opportunities are some of the strategies that your nonprofit can use to retain staff and continue to deliver your mission.
Prioritize Employee Well-being: Employers should prioritize employee well-being by offering resources and support to help employees manage stress and maintain a healthy work-life balance. This could include mental health resources, wellness programs, or flexible work arrangements. More simply, it could mean improving your workflow and ensuring there isn’t a culture of last-minute urgent requests, something smaller nonprofits are notorious for.
Create a Positive Work Culture: A positive work culture can go a long way in retaining employees. Employers should foster an environment where employees feel valued, respected, and supported. This could include initiatives like employee recognition programs, career development opportunities, and team-building activities. Most importantly, it means creating an environment where your leadership actually listen to the staff, and take action based on staff feedback and input. No amount of money, good coffee, or free entertainment, will compensate for staff feeling ignored, undervalued, or disrespected.
Offer Competitive Pay and Benefits: One of the main reasons employees leave their jobs is for better pay and benefits. Employers should ensure that they are offering competitive salaries, benefits packages, and clear opportunities for advancement. If your organization is really cash strapped, the other factors outlined above take on even more significance.
Embrace Flexibility: Employers should consider offering flexible work arrangements, such as remote work or flexible schedules, to attract and retain top talent. If you focus your energy on tracking outcomes and results, you’ll start to worry less about where your staff are sitting or what time they turn their laptops on.
When talking to clients about some of these strategies above, we sometimes get pushback, with leaders often sighting performance related issues as reasons for why offering extra flexibility or investing in employee well-being is not possible. The steps outlined above reward your hardworking and reliable team members and increase your chances of retaining them. If you’re having performance issues, you need to tackle them head-on. Forcing staff to come and work from the office, or micro-managing your teams, will not solve any underlying performance issues you have, on the contrary, such measures may even prolong poor performance.
Your 2023 Retention Strategy
If you’re serious about retaining your best talent this year, you must have a clear plan. Set up a meeting with your leadership team next week and talk about how satisfied your team members are. If you’re not sure about how content the staff are, there are a few easy things you can do to better understand how your staff are feeling. Here are some steps that you can take to measure staff satisfaction:
Conduct Employee Surveys: Employee surveys are a powerful tool for measuring staff satisfaction. Surveys can be designed to collect feedback on various aspects of the work environment, such as job satisfaction, workplace culture, and work-life balance. These surveys can be conducted anonymously to encourage honest feedback.
Hold Regular Staff Meetings: Regular staff meetings are an excellent opportunity to check in with employees and get feedback on their work experiences. Leaders should encourage open communication and actively listen to employee concerns. They can also use these meetings to share updates on the organization´s goals and successes.
Use Performance Reviews: Performance reviews can also be used to measure staff satisfaction. In addition to evaluating job performance, reviews can include questions about job satisfaction and professional development opportunities. This approach can provide leaders with valuable insights into how employees are feeling and areas for improvement.
Offer Exit Interviews: When employees leave the organization, leaders should conduct exit interviews to understand why they are leaving and how the organization can improve. This feedback can be used to identify patterns and areas for improvement.
Why all this effort?
Retaining good staff is essential for the success of any organization. There are several tangible reasons why it is important to retain good staff:
Continuity and Stability: Retaining good staff provides continuity and stability for the organization. Employees who have been with the organization for a long time have a deep understanding of the organization's culture, values, and mission. They are better equipped to navigate changes and challenges and can provide valuable insights to new employees.
Cost Savings: Retaining good staff can result in cost savings for the organization. The cost of hiring and training new employees can be high, especially if turnover is high. By retaining good staff, organizations can avoid these costs and invest in the development and growth of their existing employees.
Improved Productivity: Good staff who are satisfied with their job are more likely to be productive and engaged. Retaining these employees can lead to increased productivity, which can translate into better service delivery, increased revenue, and higher customer satisfaction.
Talent Development: Retaining good staff allows organizations to develop and promote their talent from within. This can create a culture of learning and development, where employees feel supported and invested in the organization´s success.
Reputation and Branding: Organizations with high employee turnover can develop a negative reputation, both among potential employees and customers. By retaining good staff, organizations can create a positive brand image, where employees are valued and supported.
Competent and hardworking staff are a nonprofit’s biggest asset. By taking these concrete steps, you’re ensuring that you’re doing justice to your important mission.
