War for talent: How employers win the battle for the best employees

To stay – or not to stay? That is the question here
Two people find each other, fall in love and start spending more and more time together. They have initially decided on each other. The big question: does the deep commitment come after the infatuation – or does it fail to materialize and you leave? The question is similarly important in today’s job market. Because a „deeper bond“ between company and employee is more important than ever and is therefore comparable to a partnership.
Why is employee retention so important?
In times of a shortage of skilled workers, the battle for qualified talent is fierce. Those who find suitable candidates must therefore not only be able to win them over, but above all retain them. At the end of 2021, the Federal Employment Agency announced that there was a shortage of around 1.2 million workers in Germany. This affects around 70 professions. The warfortalent is therefore fierce. If applicants decide to join a company, they soon have to ask themselves the question: Do I stay? Or should I go to the competition?
What influences employees‘ decisions?
In war and in love, as is well known, „everything“ is permitted. At least that is what Napoléon Bonaparte is said to have believed. At the moment, various means of retaining employees are not only permitted, but urgently required. In the battle for suitable young talent and qualified specialists, companies cannot sit back and relax. They have to fight and get stuck in. But what is really important here and what means are suitable for making a position attractive enough to retain the right staff?
The following factors, among others, play a role in employee retention:
- Remuneration
- Working atmosphere
- Promotion opportunities
- Working time regulations
- Company childcare
- Work-life balance
- Areas of responsibility
- company pension scheme
- Chance to have a say in decision-making
- Additional benefits that set the company apart from the competition
What are the secrets of sustainable employee retention?
Let’s assume: After the initial love phase of a couple, marriage comes at some point. It is the sign of a long-term commitment, loyalty, an obligation and a promise. The relationship between a company and its employees should be similar – but on a professional level.
In order to achieve this long-term and stable commitment, the following requirements must be met:
1. research causes and find solutions
Find the root of all evil in your company. Because employees have certain reasons for leaving a company. If you research the causes, you have the opportunity to make a real change. Not only will you attract talented people to your company, but you will also get them to stay with you. According to a 2019 analysis by the online job platform StepStone, the following are some of the reasons why companies are unable to retain their employees:
- a poor working atmosphere, for example unfriendly superiors
- No opportunities for advancement
- poor pay
- poor work-life balance
2. retain employees emotionally
It is not for nothing that emotional attachment is referred to as the „glue“ of a relationship. Managers should therefore focus on the emotional attachment of employees so that they do not resign before they finally leave the company. Neuroscientists from the Dana Alliance for Brain Initiatives (DABI) have already shown in their publication on stress that our brain perceives stressors particularly quickly. As a result, we develop fears and the relationship of trust is disturbed in an emotionally unstable relationship.
In scientific theory, this means:
In order to influence bonding behavior in the brain, favorable conditions must prevail. Under unfavorable conditions, it is not happiness hormones (including dopamine, endorphins, oxytocin) that are released, but stress hormones that signal danger (adrenaline, cortisol).
In practice, this means
- Ensure positive emotions through active listening, empathy, praise and appreciation.
- Involve employees in discussions and don’t leave them out of important decisions.
- Convey a feeling of security, togetherness, transparency and sincerity – because these basics are part of a stable and trusting emotional bond.
3. offer attractive working conditions
Flexible working time models, fair remuneration for all, flat hierarchies: attractive working conditions should not just be empty promises, but common practice. Because demand exceeds supply due to the shortage of personnel. Skilled workers, who are particularly sought after today, will therefore stay longest where their rules are played by – not the other way around.
4. conduct appraisal interviews and ask for feedback
Do your employees feel comfortable? What bothers them? What can the company improve? A conversation at eye level between bosses and employees can work wonders and help to retain key employees in the long term. People in authority should therefore not just have a conservative management style that leaves no room for the opinions of their employees. Quite the opposite: those who involve young talent and listen to qualified specialists secure the advantage of getting to know the needs of their counterparts. In this way, companies know what their employees want – and how they can meet these needs so as not to lose employees to the competition.
5. not a „quick number“, but a genuine relationship
Back to the love affair: partnerships are not a foregone conclusion. The same applies to the relationship between companies and their employees. Anyone who expects new employees to stay without doing anything themselves is wrong. Relationships and marriage mean work. And it’s the same with employees. After a euphoric first phase of getting to know each other, everyday life will come. But right now is the chance to prove yourself as an employer: Show that it wasn’t about winning the potential candidate’s heart in the short term – or about a „quickie“. It’s about building a long-term relationship. Small gestures, friendly greetings in the morning, a box of ice lollies for employees on a hot summer’s day. Everything is allowed. But long-term and consistent, please.
Conclusion: If you want to win the battle in times of staff shortages, you have to step on the gas
Companies that want to outdo the competition in times of staff and skills shortages need to bring out the big guns. After all, the battle not only to attract qualified employees, but above all to retain them, is a difficult one. In addition to good remuneration and company benefits, which we all appreciate, the emotional component is particularly important. It has long been known how important it is, for example, to be approachable as a boss. After all, line managers can be the reason why employees leave. An outdated and purely conservative management style is considered outdated. Positive emotions, regular discussions with employees and an appreciative approach strengthen loyalty in the long term. After all, it’s like marriage: saying „yes“ to each other is a big step. But only then does it become clear who is really prepared to stay for the long term. Source: https://arbeits-abc.de/