Employee retention stands at a critical crossroads, with Qualtrics’ survey revealing that nearly 40% of new hires entertain thoughts of job change within their first year. This concerning trend, backed by data from a massive 37,000 individuals, emphasizes the need for a robust onboarding strategy. Often overlooked as a routine task, onboarding should be viewed as a strategic investment in human capital.
The alarming $5,000 cost, according to SHRM, to onboard a new employee is a significant factor that can’t be ignored. As leaders, we need to shift our perspective and recognize onboarding not as a mere formality but as a pivotal step in the employee journey. It’s not just about paperwork and introductions; it’s about cultivating an environment where new hires feel valued and supported from day one.
Moreover, the survey indicates a startling revelation – less than half of our organizational leaders are giving due importance to the induction process. It doesn’t take a finance degree to understand the financial implications of this oversight. Onboarding is not an ancillary activity; it’s an investment in the long-term success and satisfaction of our employees.
Remember, it’s not just about hiring individuals for positions; it’s about engaging them, making them an integral part of the company culture. The phrase “People are more than their titles, companies are more than balance sheets” holds true here. Personalizing the onboarding experience, acknowledging individual strengths, and fostering a culture of trust and collaboration can significantly impact employee retention.
This is a call to action – a call to prioritize onboarding, recognizing its profound impact on employee engagement, satisfaction, and, ultimately, organizational success. The return on this investment is not just monetary; it’s in creating a thriving workplace culture where people want to stay and contribute their best.
Troy Ashby, CPA
President, Benchmark Search