Employee Retention rate
A company’s employee retention rate is highly relevant for both the employer branding, employee experience, employee satisfaction and the bottom line (Link). Therefore, let us dig deeper into what Employee Retention exactly is.
What is employee retention?
In short, employee retention is the rate at which a company can keep consistent, long-term employees. Thereby, employee retention is the opposite of employee turnover, which describes how many employees which have left the company. To give an example, fast food chains such as Burger King usually have a low employee retention rate, but a high turnover rate, due to that people are often more wiling to leave low paying jobs than high ones.
What are the benefits of a high employee retention?
There are many benefits of a high employee retention rate. However, with the cost of recruit and train new employees growing year after year, many companies are working on ways to increase and ensure a high employee retention to keep the most talent employees.