In a recent survey, we found that 65% of respondents stated that talent retention was the biggest challenge facing their business in 2022.

This comes as no surprise as many people remained in their roles throughout the pandemic for fear of change during a global lockdown and economic uncertainty. The prospect of joining an organisation and onboarding remotely, only knowing colleagues virtually, led to low mobility in the market. The pendulum has now swung the other way and companies are struggling to retain their digital workforce.

The wave of attrition and digital skills shortage in Ireland has led to an employee-driven market. We are seeing an increase in counteroffers being made by employers in an attempt to retain their top talent which is consequently driving up the salary expectations for digital professionals.

What can we do to hold on to our most valuable assets?

Developing and implementing a robust talent retention strategy will minimise employee turnover and associated costs. There are many different strategies and models however, we believe The AON-Hewitt Model of Engagement stands above the rest and is the one we will be discussing below.

For context, here are some stats around employee engagement and retention:

  • 30% of employees worldwide feel inspired and engaged by their careers.
  • 48% of employees across the globe detest their jobs.
  • 18% of employees globally are actively disengaged.
  • Highly engaged employees were 87% less likely to leave their companies
  • 3 out of every 4 people who leave a job, do so because of their bosses.
  • Only 40% were aware of their company’s goals, tactics and strategies
  • Organizations with greatly engaged employees accomplish double the annual net income of those who don’t

The Model of Engagement

There are three types of employee; engaged, not engaged and actively disengaged.

Engaged: An engaged employee is one who is passionate about their role and identifies with the values and goals of the business. They will actively speak positively about the organisation with peers, drive innovation and will not leave the business easily.

Not Engaged: Not engaged employees are on autopilot. They will show up and do their work to a satisfactory level without passion or enthusiasm. They will not be promoting the organisation with peers, but they will not be actively tarnishing it either.

Actively Disengaged: Actively disengaged employees aren’t just unhappy in their work but they’re actively sharing their negative feelings throughout the organisations and with peers. They will undermine the work of engaged employees and detract from the business.

So how do you get your employees more engaged? In essence, there are 6 engagement drivers that are within every company’s control.

Foundation Engagement Drivers:

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1. The Basics

This is the minimum people are looking for from their company. A fair salary, good working conditions, job security and a good working environment. If an organisation is failing at the basics, then employees will be discontent and will easily leave for a more comfortable and secure role.

2. The Work

The work itself! Does the person enjoy their daily tasks or gain a sense of purpose/meaning from their work. Are they given responsibility and autonomy as well as the opportunity to collaborate with other members of the organisation? People want to enjoy their work and feel as though they are part of a team accomplishing something.

3. The Company Practices

This describes the initiatives, systems and actions the company has in place. An organisation that is diverse, inclusive, has a good work-life balance and offers quarterly check-ins and a monthly social event will keep their employees more engaged.

Differentiating Engagement Drivers:

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1. Brand

The company’s brand reputation and employer value proposition play a pivotal role in employee retention. What do previous employee say about your business? Were they treated well and receive any unique opportunities or bonuses? Is the brand name well known and received?

We all have a little bit of an ego, and to be able to say that you work for Dell, Google, Facebook, EY, Deloitte or any other well-known brand carries some weight.

The actions of the company directly affect their brand image so they must pay attention to their corporate social responsibility and ensure that the attractive image isn’t tarnished and they are seen as a responsible, ambitious and progressive brand.

2. Performance

An awareness that your individual performance and the quality of your work matters and directly impacts the overall business performance will give people a sense of meaning. An organisation that frequently assesses and their employee’s performance and rewards the high achievers will drive productivity and engagement.

3. Leadership

Employees leave managers not companies works both ways. If an organisation has strong leaders that are involved, empathetic and support their employees then employees will be less likely do become disengaged. If the leadership team embody the values and vision of the organisation than this will trickly down the hierarchy and give employees a clear sense of purpose and meaning, thus driving engagement reducing the risk of attrition.

The Three Engagement Outcomes

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According to this model, organisations should be aiming for 3 Engagement Outcomes: Say, Stay and Strive.

Say: Employees will become ambassadors of the company and share their positive experience with peers both internally and externally.

Stay: Employees will stay with the organisation and greatly improve talent retention and thus decrease employee turnover.

Strive:  Employees that are highly engaged will go the extra-mile and have a connection to the organisation.

Get in Touch

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As always, if you would like to learn more about the art and science of talent retention then we would be more than happy to help whether that’s a quick phone call, a chat over a coffee or something more structured.

Graham Morris

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