3 Unique Ways To Get Employee Retention Right In A Tight Labor Market

Focus on the right cultural ingredients

As the CEO of a small business, I know the importance of retention. When employees aren’t committed for the long-term, you can’t reach your goals. Since 2010, only three employees have left our tight-knit team. That’s a stat I am proud of, especially considering it’s a job seeker's market.

 
Even in a tight labor market, you can create a dedicated team that stays for the long-term if you focus on the right cultural ingredients. 

Here’s how:

Infuse Culture Throughout the Hiring Process

Retention starts during the hiring process. Candidates who don’t connect with your culture will struggle to connect and succeed in their roles. 

At Berke, we gauge if someone shares our cultural values through behavioral interview questions. We believe that assessing cultural fit is two-sided. So we do our best to help candidates get to know our culture. We show candidates how our current employees live-out our three core values -- self-starting, empathy, and craftsmanship -- by sharing our history, stories of success, as well as areas for which we can grow. This allows candidates to determine if they’d be satisfied as part of our team. 

Build this idea into your recruitment strategy. Set the tone during phone screens and video interviews by keeping culture at the fore-front of conversations and by treating candidates the way you treat current employees. Use words in job descriptions and introductory messages that portray the culture and values your team lives by. Then, offer opportunities for candidates to actively engage with your employees during the interview process. 

Acknowledge Not Everyone Is a Good Fit

Just one ill-fitting employee can negatively impact the entire team. For example, we noticed a new hire wasn’t a good fit for our company after just a few weeks on the job. The person was fulfilling some of our core values, but not all. The actions that were in opposition of our core values caused other employees stress and wasted time. 

When leadership made the decision to let that person go, we communicated the specific reasons with employees. This decreased fear and increased trust. Our employees appreciated our commitment to our values. Through transparency, they saw we had their best interests in mind. 

When it comes to retention, culture trumps performance every time. 

Take a critical look at well-performing employees who clash with the culture. Look at how mismatched employees are impacting colleagues, customers, and overall business goals. If the effect of the mismatch is minor, provide feedback and help the person improve. If the effect is more severe, let the person go and provide information to help guide them to a company where they would be a better fit. 

Help Employees Find Their Place

When it comes to fit, there are two aspects for someone to be successful with your team -- company fit and specific job fit. Employees who don’t fit well with their role, but are a good culture fit, need to see that leaders are still dedicated to their future. 

When we had an entry-level new hire who wasn’t satisfied in their role, we worked together to find the job that was right for them. This person is now instrumental to the company’s success.  

Don’t use performance as a weapon to scare employees into improved work. Instead, work as a team to find them a new place where they’ll be successful. Employees who feel leaders are working with them will be more engaged and inclined to stick around.