How Mindset Coaching Can Improve Employee Retention in the Time of the Great Resignation
Table of Contents
1. Why You Should Care About Employee Retention?
2. Why Does Employee Turnover Matter?
3. The Real Cost of Losing an Employee
4. The Great Resignation: Who's Driving it?
5. Why Are Workers Leaving Their Jobs?
6. How Can Employers Increase Employee Retention During the Great Resignation?
7. Does Coaching Improve Employee Motivation To Boost Employee Retention?
8. How Mindset Coaching Can Improve Employee Retention Rates
9. What Mindset Coaching Looks Like for a Team
10. How Mindset Coaching Affects an Employee's Career Path and Professional Development in Small Businesses
An organization's ability to make employees feel valued in today's job market is under the microscope. People are leaving jobs at a massive rate due to a lack of career growth opportunities and benefits like paid parental leave, monetary benefits, flexible work arrangements, affordable health insurance, a competitive salary, and flexible schedules.
To keep staff, many employers are utilizing employee retention programs that include numerous retention strategies. One such strategy, mindset coaching, is a terrific retention strategy that can help address the problem at the root of the Great Resignation movement we see today.
Why Should You Care About Employee Retention?
Employers should care about the business's employee retention rate because many people are feeling the effects of employee burnout. More than half of all U.S. employees are thinking of quitting their jobs, which means that 5 out of 10 of your staff members may be actively looking for new work.
Employees quit jobs daily due to employee dissatisfaction, which hinders the company's success.
Why Does Employee Turnover Matter?
You can undoubtedly replenish your depleted staff with new employees. However, funding employee turnover is expensive. According to Gallup's employee data, replacing a departing employee with new hires costs half to two times the previous employee's salary.
When employees decide to quit, you can't produce the same level of service right away. The loss of top talent will force you to increase other current employees' workloads, causing other team members to feel employee burnout, too. Sooner than later, they will look for a new job, leaving you with a high (and costly) turnover rate.
The Real Cost of Losing an Employee
Let's take a look at the numbers from Gallup as an example. If an ex-employee earned a $50,000 salary, replacing that team member with a new employee would cost between $25,000 to $100,000.
That price doesn't include the ripple effect that often occurs when employees leave, especially when they are long-term workers. If you don't want to pay tens of thousands of dollars to replace every employee who quits, you need a way to reduce employee turnover.
The Great Resignation: Who Is Driving It?
Workers are driving The Great Resignation. It isn't an industry problem or a role issue. Competitive pay isn't even a real factor.
The real driving force behind The Great Resignation is the typical work environment. Studies show that many employees are feeling disengaged.
Highly engaged employees are not quick to leave their jobs. The people who are resigning have no job satisfaction or connection to their work.
Why Are Workers Leaving Their Jobs?
Workers are leaving employers en masse because they are in survival mode. Consider what happened during the beginning of the COVID-19 pandemic.
Why do employees quit their jobs?
Due to government-mandated shutdowns and the uncertainty of the virus's effects on the public, people got scared. Daily life changed for most of us in a very short time. The events triggered people's sense of survival mode.
People want to stay alive, and survival mode activates the body's fight, flight, or freeze response. It's a stress mode that forces you to look for the threat that will kill or harm you.
Because of their disengagement, most people don't realize they're operating in survival mode in the workplace. The response may develop as a feeling of overwhelming stress, a lack of problem-solving ability, defensiveness, conflict, reduced creativity, and resignation.
How Can Employers Increase Employee Retention During The Great Resignation?
The best way to boost a company's retention rate during The Great Resignation has been to increase employee engagement. The happier and more engaged workers are, the more their satisfaction increases. Employers should work on shifting people out of survival mode and into thriving mode.
Studies show that engaging employees in their work is one of the most effective employee retention strategies. Even if you use a 20% pay increase to attempt to retain talent, it won't matter if they are feeling disengaged.
Does Coaching Improve Employee Motivation To Boost Retention?
Coaching undoubtedly helps to engage workers because it focuses on rebuilding their engagement. Shifting out of survival mode involves mindset work. Through mindset coaching, we can engage employees' mental and emotional energies to become more self-aware and engaged.
The coaching process boosts teamwork, collaboration, creativity, and problem-solving. It increases the happiness and stress management abilities of employees, resulting in greater job engagement and employee retention.
How Mindset Coaching Can Improve Employee Retention Rates
Here are a few ways mindset coaching can help your business retain top talent:
Work-Life Balance: Achieving a healthy work-life balance starts with building self-awareness and shifting your mindset from negative to positive. You boost your work performance and become happier and more present in your home life.
Employee Engagement: As all team members improve their engagement, they begin behaving from a place of calm, clear-headedness, and focused action. They are more aware of teammates and open to collaborations.
Company Culture: With mindset coaching, company values start to include team growth - not just numbers-based performance. Employee performance remains important, but engagement, stress management, and well-being are also company priorities.
Employee Morale: When employees learn to lead with their strengths, they become happier and more confident.
Employee Well-being: Mindset coaching improves employee well-being because workers have the tools to handle challenges positively in and out of the workplace.
What Mindset Coaching Looks Like for a Team
Mindset coaching is excellent for retaining employees within a team because each member can assess themself as part of a group, including their mental fitness and current state. They uncover the self-sabotaging behaviors that hold them back, hold the team back, and that may unintentionally sabotage the team's success. The self-awareness improvement allows them to understand each other better.
Mindset coaching for teams
The team coaching program gets the team to rebuild their mental fitness and turn negative emotions into positive ones while amplifying each team member's individual growth. Additionally, each team member feels more comfortable sharing their ideas and feedback, which reduces conflict and increases innovative thinking.
How Mindset Coaching Affects an Employee's Career Path and Professional Development in Small Businesses
Coaching benefits small businesses because leaders can see every employee's potential. With that knowledge, employers can set a growth plan for each worker to unlock their strengths and give them what they need to shift into high performance.
Mindset coaching is also excellent for career development. As employees become more self-aware over a given period, they unlock their next level of potential, putting them on a path toward leadership development and employee satisfaction that entices other employees to follow their path.
Try Mindset Coaching Today
At One Degree Shifts, we are here to help you grow employee engagement. We can develop a mindset coaching program with effective retention strategies to help your team reach its full potential within your organization. Connect with us today to begin!
