It is no secret that the UK economy is going through a rather tumultuous period. With so much change coming at us from every which way, the knock-on effects have been vast and sometimes surprising. For example, the current cost of living crisis which is seeing grocery prices and energy bills skyrocket. If we had predicted this, we might have assumed that the nation’s workforce would hold tight to their jobs in fear of layoffs caused by a recession. But for many, this isn’t the case.
Many UK adults have chosen the last couple of years as the perfect time to seek new jobs, but why is this? And how can you prevent your staff from joining the great resignation?
What is the Great Resignation?
Firstly, we need to understand what this is and why you should be concerned about it.
The great resignation is the name given to the recent period in which record numbers of UK adults have chosen to quit or change their jobs. First started in 2021, the great resignation has been put into effect by the lifestyle changes brought about by the global pandemic.
In fact, a survey of 200 workers found that more than half of the respondents aged 18-34 actively sought a new role. So, why has the nation collectively decided now is the time for change and how does it impact you?
What has Caused the Great Resignation?
Many factors may have contributed to the great resignation. Still, the effects of Covid-19, in particular, have had a massive impact on our lives. As we entered the national lockdown, it turned our everyday lives upside down, and the nation’s workforce could no longer go to work as they normally would.
The Work From Home Team
Firstly, office workers were encouraged to take their laptops and work from home. This was to avoid germ-spreading commutes on public transport and packed office buildings circulating the same bacteria-filled air. So, once the initial change had settled in, as working from home was encouraged, many employees began to dread the thought of their routines returning to what they once were. Many members of staff preferred the solitude of working from home, the comfort of their homes and relaxed work-from-home attire. It also helped them keep up with washing and dog walks on their breaks without coming home to a list of chores after a long day.
This encouraged many office workers to seek employment at companies with indefinite flexible and remote working to maintain their newfound lifestyles and routines.
The Furloughed Staff
Unlike office workers, many customer-facing roles were deemed unnecessary and unsafe to continue during the pandemic. For these people, furlough was introduced. The government-backed scheme funded employers to continue paying their staff while they stayed home, unable to work. This free time at home allowed many people across the UK to discover new hobbies, unlock their real passions in life and put their minds towards starting new and diverse career paths.
Just look at the rise of small businesses founded during the pandemic.
The Key Workers
Finally, there were the employees that were suddenly slapped with key worker titles that ensured they would keep working as normal to keep the country going. But many of these employees felt overworked, underappreciated and unrewarded for their sacrifice, while many other employees stayed safe at home. Their loyalty to businesses that disregarded them dwindled, and many key workers questioned whether the grass would be greener elsewhere.
What Does the Great Resignation mean for Employers?
So clearly the great resignation is not just a buzzword used to generate clicks online. It’s time to take a step back and analyse its impact on your business and team.
Let’s be clear that it is not an expectation that your staff will be lining up to walk out of the door, but now is the time to be cautious. Since early 2021, a record number of people have been leaving their jobs worldwide. In 2022, 4.3 million US employees alone quit their jobs. Previously, finding a job had been a challenge in itself. Still, for comparison, there are now around 5 million more open jobs in the US than unemployed people. So, employees can afford to be decisive about their employers, just as businesses usually are about their staff.
The impact of the great resignation is not one to be feared as you assume you will lose all of your best staff. Instead, it should be considered a ‘reshuffle’, as many across the nation are now reaching towards jobs that they are passionate about. This will result in any vacancies you have getting filled by motivated individuals who will help you take your business forward.
But there are bound to be some top-performing team members who are pivotal to your business’s success that you simply do not want to lose. Keep reading to find out what you can do to retain staff through the great resignation.
What Can You Do to Retain Staff?
As we have discussed, many UK workforces are leaving their current roles in search of bigger and better opportunities. But all is not lost, and you can change your current company culture to retain your staff. Here’s how.
Improved Salaries
Due to the current cost of living crises and inflation, 3 out of 4 workers in the UK are considering moving jobs to get a higher salary. So, one of the first moves you should consider when trying to retain staff is to increase the salaries of your existing team members.
You may have even had some team members request an appraisal and pay review, as a recent YouGov survey found that 40% of respondents had asked for a pay rise,though only a quarter of this number succeeded.
It is true that employees will often leave a company if they think they can be paid more elsewhere. With the cost of living crises, it is important that you offer a pay rise that at least offsets this increase. This will go a long way in decreasing the staff turnover rate in your business.
Better Benefits
Increasingly, benefits included in the company culture are becoming just as important to staff members as their salaries are. So, now is the time to look at your business’s benefits and areas to improve.
Benefits should be offered in a varied range with just as many little perks as there are more significant bonuses. These will set your company apart from the other teams looking to poach your staff. This could include small benefits like free food and drinks, professional subscriptions and training packages, and wellness packages like gym access.
But the larger benefits will make the difference between your staff deciding to leave or stay. Some of the most appreciated benefits include life and health insurance packages and flexible annual leave. This may come in the form of unlimited holidays as long as your staff meet targets or even the ability to buy or sell holidays to suit your employees’ lifestyles.
More Flexible Working Options
Suppose you do not already advertise your company as a flexible working environment. In that case, you are already behind, which is likely one of the bigger motives causing your team to leave. To be able to compete with other businesses vying for your staff’s attention, you must ensure that your roles truly are flexible.
This means offering remote working opportunities for your staff that allow them to work from their homes, coffee shops or anywhere they have a stable internet connection. Some companies may limit the number of working-from-home days employees can use or even set a schedule on work-from-home days with no opportunity for last-minute changes.
If you impose rules like these on your team, they will question how ‘flexible’ the working environment really is. This goes hand in hand with having trust in your team and removing a micro-managing atmosphere. If your staff feel they are untrusted by their managers, this will push them towards looking elsewhere for opportunities.
This ties in with the need for better work-life balance, which has become essential since the lockdown.
More Business Coaching
If you’re still concerned about losing valued staff members, perhaps it’s time to take a deep dive into your business model and company culture. What can be fixed?
For more help and advice, don’t hesitate to contact Chris Kenber, and learn more about the expert business coaching courses online now. Designed to help your business grow, business coaching from Chris Kenber is delivered with years of experience and expertise that will kick-start your transformative journey.
Find out more about Chris Kenber and how business coaching works today.