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Writer's picturePayroll Services Germany

How Payroll Germany Boosts Employee Retention?

Updated: Jul 9, 2019

As per studies done in the past, employee turnover is very expensive to an organization and on an average cost 6 to 9 months’ salary. This is the reason, the Payroll Germany understands that keeping employees is more than just giving them paychecks at the end of the month.


A high turnover is always bad for the organization. However, certain turnovers are considered to be inevitable as there is a tendency in certain employees to always keep looking for a change in order to move to a better place in upward scales. But, if a business notices that there is a high number of people coming and leaving the organization, they should delve into the reasons why employees are calling the organization a quit. Let’s understand some of such reasons:

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Minimal Increase In Wages


Inadequate salaries and other benefits top the chart when it comes to listing the reasons for employee dissatisfaction in an organization. The cost of employee in Germany is measured by the business organization, but the salary paid is way less.

Management Issues


Employee engagement is high when the superiors are supportive and interested in making the employee achieve his/her career goals. But, if the scenario is the other way round, quitting seems to be a better option.

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Unsupportive Coworkers


Uncooperative co-workers and hostile work environment also make a lot of employees switch to another organization.


Unrealistic Work And Targets


The employees experiencing employee burnout tends to leave the organization at a higher pace in comparison to those who are content with the workload.

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Lack Of Flexibility


Employees look for flexibility in the workplace in terms of work and perk. As per studies, 72% of the employees leave an organization because of lack of flexibility.


Having understood the reasons which calls employees to quit the organization, it’s time to understand how organizations can boost employee retention and motivate their employees to stay with them. Here are some of the strategies for a happier and productive workforce. Read below:


Keep The Employees Motivated


Keeping the employees motivated is not just about loading them with cash incentives. Even a day off or a free lunch with fellow employees or family can play the trick. Such gestures make the employee feel motivated and excited to work on their job profiles in the company.

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Benefits


Gone are the days when cookie-cutter approach worked and a bunch of benefits was offered to all the employees. These days, each and every employee has his/her own set of choices, thus, the employer should ask the employees to choose the set of benefits they wish to avail.


Communication


There should be an ongoing communication among employees, supervisors and owners. Such interaction increases the personal touch and make the employee aware of the common goals that he/she is expected to achieve.

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Encourage Personal Development


The company should look for avenues to encourage the personal development of the employees. For instance, sponsoring education or offering reimbursement for education are some of the ways the company can show their willingness to invest in development of the employees.


Promotion Avenues


Regular promotion exercises being conducted by the business organization sends signals to the employees that the company is fostering growth among the present employee.


Key Takeaways :


Considering the high level of competition in today’s scenario, keeping the workforce happy and engaged is the only measure to increase the employee retention ratio.

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