Should I Stay or Should I Go? The Secret to Millennial Employee Retention | Seattle Interactive 2017

SHOULD I STAY OR SHOULD I GO?THE SECRET TO MILLENNIAL

EMPLOYEE RETENTION

BY AMANDA TOWNSEND

71% OF MILLENNIALS ARE ACTIVELY SEEKING A NEW JOB.

60% OF MILLENNIALS PLAN TO STAY WITH THEIR EMPLOYER FOR LESS THAN 3 YEARS.

Sources: iCIMS, COMPETITION FOR TALENT IN THE U.S .

MILLENNIAL TURNOVER COSTS U.S. BUSINESSES $30.5 BILLION PER YEAR.

Sources: Gallup, Inc.

87% OF U.S. COMPANIES REPORT A COST OF BETWEEN $15,000 AND $25,000 TO REPLACE EACH LOST

MILLENNIAL EMPLOYEE.

Sources: Millennial Branding, Career Network.

ONLY 30% OF EMPLOYERS PAY ATTENTION TO WHAT

MILLENNIALS NEED IN A WORKPLACE.

Source: Oxford Economics

ENGAGED EMPLOYEES = INCREASE IN PROFITS

WITH ENGAGED TEAMS:

- PROFITABILITY INCREASED BY 21 PERCENT- SALES PRODUCTIVITY BY 20 PERCENT

- OUTPUT QUALITY BY 40 PERCENT- ABSENTEEISM DOWN BY 41 PERCENT

Source: Gallup, Inc.

BY 2025, MILLENNIALS WILL BE 75% OF THE GLOBAL

WORKFORCE. Sources: US Bureau of Labor Statistics

6 STRATEGIES TO RETAIN

YOUR MILLENNIAL EMPLOYEES

DOES WORK-LIFE BALANCE REALLY EXIST?

WORK/LIFE INTEGRATION + FLEXIBILITY

61% OF MILLENNIALS THINK THEIR EMPLOYER COULD HELP PREVENT BURNOUT BY PROVIDING A MORE FLEXIBLE SCHEDULE.

38% SAY A FLEXIBLE SCHEDULE CONTRIBUTES TO THEIR LOYALTY TO THEIR ORGANIZATION.

Sources: Fortune Magazine.

45% OF MILLENNIALS WILL CHOOSE WORKPLACE FLEXIBILITY OVER COMPENSATION.

Sources: Millennial Branding Report

44% OF MILLENNIALS HAVE AT LEAST TWO JOBS OR INCOME SOURCES.

Sources: Career Builder, Forbes

ENABLE WORK/LIFE INTEGRATION THROUGH FLEXIBLE WORKING AND

PAID TIME OFF POLICIES.

RECOGNITION: FINANCIAL &

PERFORMANCE

ANNUAL PERFORMANCE

REVIEWS ARE DEAD.

65% OF MILLENNIALS SAID THEY DID NOT

MAKE ENOUGH MONEY TO COVER EXPENSES OR ARE

LIVING PAYCHECK TO PAYCHECK.

Sources: Ernst & Young study

52% OF MILLENNIALS WHO HAVE CHANGED JOBS IN THE LAST 12 MONTHS HAVE DONE SO FOR A

SALARY INCREASE.

Sources: Staples Business Advantage

PROFESSIONAL DEVELOPMENT

AVERAGE ANNUAL TRAINING & DEVELOPMENT BUDGETS:10,000 EMPLOYEES: $13M

1,000-9,999 EMPLOYEES: $3.7MUP TO 1,000 EMPLOYEES: $290K

Sources: Brandon Hall Group

THE NO. 1 REASON WORKERS LEFT THEIR JOBS WAS BECAUSE THEY WANTED

GREATER OPPORTUNITIES FOR ADVANCEMENT.

Sources: LinkedIn

CONNECTION & TRUST WITH MANAGERS

62% OF MILLENNIALS WHO FEEL THEY CAN TALK WITH THEIR MANAGER ABOUT

NON-WORK-RELATED TOPICS PLAN TO BE WITH THEIR CURRENT

ORGANIZATION ONE YEAR FROM NOW.

Source: Gallup, Inc.

44% PERCENT OF MILLENNIALS WHO HAVE REGULAR MEETINGS WITH THEIR

MANAGER ARE ENGAGED.

ONLY 21% OF MILLENNIALS MEET WITH THEIR MANAGER ON A WEEKLY BASIS.

Source: Gallup, Inc.

50% OF EMPLOYEES LEAVE THEIR JOB BECAUSE OF THEIR

MANAGER.

Source: Gallup, Inc.

SOCIAL IMPACT

76 PERCENT OF MILLENNIALS CONSIDER A COMPANY’S SOCIAL AND ENVIRONMENTAL COMMITMENTS WHEN

DECIDING WHERE TO WORK.

64 PERCENT WON’T TAKE A JOB IF A POTENTIAL EMPLOYER DOESN’T HAVE STRONG CORPORATE

SOCIAL RESPONSIBILITY (CSR) PRACTICES.Source: 2016 Cone Communications Millennial Employee Engagement Study.

75 PERCENT SAY THEY WOULD TAKE A PAY CUT TO WORK FOR A RESPONSIBLE COMPANY

83 PERCENT WOULD BE MORE LOYAL TO A COMPANY THAT HELPS THEM CONTRIBUTE TO SOCIAL AND ENVIRONMENTAL ISSUES

Source: 2016 Cone Communications Millennial Employee Engagement Study.

88 PERCENT SAY THEIR JOB IS MORE FULFILLING WHEN THEY CAN MAKE A POSITIVE IMPACT ON SOCIAL AND ENVIRONMENTAL ISSUES.

76 PERCENT CONSIDER A COMPANY’S SOCIAL AND ENVIRONMENTAL COMMITMENTS WHEN DECIDING WHERE TO WORK .

64 PERCENT WON’T TAKE A JOB FROM A COMPANY THAT DOESN’T HAVE STRONG CSR PRACTICES

Source: 2016 Cone Communications Millennial Employee Engagement Study.

DIVERSITY & INCLUSION

DIVERSITY: DIFFERENCES AMONG GROUPS OF PEOPLE

AND INDIVIDUALS BASED ON ETHNICITY, RACE, SOCIOECONOMIC STATUS, GENDER, EXCEPTIONALITIES, LANGUAGE, RELIGION, SEXUAL ORIENTATION, AND GEOGRAPHICAL AREA.

INCLUSION: PUTS THE CONCEPT AND PRACTICE OF

DIVERSITY INTO ACTION BY CREATING AN ENVIRONMENT OF INVOLVEMENT, RESPECT, AND CONNECTION—WHERE THE RICHNESS OF IDEAS, BACKGROUNDS, AND PERSPECTIVES ARE HARNESSED TO CREATE BUSINESS VALUE.

MILLENNIALS ARE THE MOST TRADITIONALLY DIVERSE GENERATION IN HISTORY -- ONLY 59% CAUCASIAN.

47 PERCENT OF MILLENNIALS BELIEVE THAT DIVERSITY AND INCLUSION IS

IMPORTANT CRITERIA THEY ACTIVELY LOOK FOR IN POTENTIAL EMPLOYERS.

Source: Weber Shandwick and KRC Research partnered with the Institute for Public Relations (IPR)

BUSINESSES IN THE TOP QUARTILE FOR RACIAL AND ETHNIC DIVERSITY ARE 35% MORE LIKELY TO HAVE FINANCIAL RETURNS ABOVE NATIONAL INDUSTRY

MEDIANS.Source: McKinsey & Company

RETENTION STRATEGIES SHOULD START BEFORE DAY ONE OF

EMPLOYMENT.

HOW WILL YOU MAKE YOUR EMPLOYEES INVESTED IN YOUR

COMPANY STARTING ON DAY ONE?

HOW ARE YOU COMMUNICATING

RETENTION STRATEGIES TO

YOUR EMPLOYEES?

ATTRACTING MILLENNIALS

WITH EMPLOYER BRANDING

48.9 PERCENT OF ORGANIZATIONS REPORT THEY WILL INCREASE

SPENDING ON EMPLOYER BRANDING NEXT YEAR.

Source: Entelo

Companies with positive brands get 2X as many applications as companies with unknown or negative brands.

62% of candidates research companies on social media before applying.

76% of applicants researched companies on LinkedIn by looking at current employee profiles.

70% say they trust what employees say about a company over brand ads.

70% of HR managers plan to use social media to build their brand, but only 1/3 have someone dedicated to social media. Sources: Career Arc, ERE

Media, SHRM, Harvard Business Review, LinkedIn.

MEASURING RETENTION PROGRESS

WORK/LIFE INTEGRATION & FLEXIBILITYFINANCIAL AND PERFORMANCE RECOGNITION

PROFESSIONAL DEVELOPMENT & TRAININGCONNECTION & TRUST WITH MANAGERS

SOCIAL AND COMMUNITY IMPACTDIVERSITY & INCLUSION

ONBOARDING

SHOULD I STAY OR SHOULD I GO?

PAY ATTENTION TO THE GENERATIONAL DIFFERENCES AND EXPECTATIONS OF YOUR

EMPLOYEES.

PUT YOUR PEOPLE FIRST,

AND ASK THEM WHAT THEY NEED TO FEEL VALUED.

THANK YOU

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