5 Lessons Learned: Programs

Reducing Staff Turnover Using A Benefit Statement Software Frequent employee turnover can set back the company a huge loss when expenses such as interview costs, training and separation pay are considered. The minimum estimate in replacing a single employee earning an hourly wage of $8, according to the Society for Human Resource Management, is a whopping $3,500. While turnover costs seem high now, many experts project that these turnover costs may even go up. Many are beginning or about to reach retirement. The new generation entering the workforce has less than 33 million individual so employers will have a smaller number of talent to choose from. A smaller number of people to choose from makes hiring more expensive for employers. By understanding why employees resign or look for other opportunities elsewhere, employee turnover count can be reduced. According to a survey done by the Society for Human Resource Management, employees were asked what factors can cause them to resign from their current position. To look for better compensation and benefits was the number one answer given by survey panelists.
Practical and Helpful Tips: Companies
A company may not have enough budget to increase their current employees’ salaries or improve the benefits provided.How will the staff turnover be reduced if there is no extra money?
If You Think You Get Options, Then This Might Change Your Mind
A company may not be able to prevent employees from leaving the company simply by raising their wages and providing more benefits. However, detailed employee benefits statements may make them think twice in accepting new job offers. A total compensation statement looks like traditional pay statements but puts monetary value to benefits such as 401(k), health insurance, leaves or time off, as well as additional perks like company-issued mobile phones and free parking. These statements can be generated using a compensation statement software at a very low cost. By informing them of the monetary value of their benefits, employees may realize that the grass in not necessarily greener at the other side. This will help reduce your turnover rate and also dramatically lessen your hiring budget. The money saved by the company from reduced staff turnover can be used to increase employees’ salaries and provide them new or better benefits. Using a compensation statement software will benefit both employee and employer. There are many compensation software vendors to choose from, but pick one that can provide your employees timely, relevant and important information. Providing a total rewards statement can retain existing staff, boost employee morale and even aid in recruiting qualified employees for the company.