When Good Employees Leave
General March 13th, 2010
When an employee leaves there are indirect costs in relation to the time and effort that is required to replace any employee as direct recruitment and advertising costs, there are also less tangible cost associated to losing knowledge and experience that is specific to an organization; Prevention is the best cure against the problem of losing good employees.
Employees leave their employers for many valid and unavoidable reasons but it is important that an employer knows the reasons their employees leave in case they are found to be reasons that if addressed and resolved could have been avoided.
Concerns of employees can be identified early by the regular use of well designed job satisfaction surveys, allowing for problems to be resolved and helping to minimize needless loss of staff. However, some problems, especially those that involve personalities, are not always brought to the surface until it is too late.
There are two very common reasons for employee dissatisfaction that can often result in personnel deciding to change jobs, a lack of career development and/or poor management. Both of these problems can be difficult to identify even for organizations that adopt regular 360-degree appraisals (i.e. where as part of the overall review employees are requested to appraise their line managers).
While still employed employees can be very reluctant to criticize their managers for fear of reprisal; they can however be more candid when completing an employee exit survey.
Once an employee has decided to resign it is very unlikely that an Exit survey will prevent them from leaving, however the survey may help identify areas that if not addressed could result in more preventable resignations.
Limited Career Development
Not all employees desire, nor can employers always provide their employees with a clear and long term career path. There are just as many people that find comfort and security in doing one job well as there are people that need to feel that they are continual being challenged, learning new skills and moving onwards and upwards with respect to the corporate ladder. A successful organization will maintain the balance of having high flyers and more modest and humble employees.
Having good records could prove to be very valuable long term and they also provide management with information that could help them improve the moral of an organization as well as productivity and the bottom line.
Sub-standard Management
Many managers achieved their position through promotion, but it does not always follow that a good worker will automatically make a good manager and often people are assigned management position without any formal management training.
Managers who perform poorly can be quick to discredit the views of disgruntled staff, ‘I am glad they went it saved me getting rid of them’ and ‘they were useless anyway’ may prove to be common responses to those managers being asked if there are any problems that might be causing people to leave the organization.
It is understandable that senior management would want to support their line managers by giving them the benefit of any doubt and a poor employee may not be averse to unfairly criticising their line manager. But by conducting exit surveys, if a man-management problem were to be identified early there is a good chance that it can be addressed and resolved with the appropriate formal training and guidance.
Records
It is not that unusual for a person to leave an employer and put in a claim for constructive dismissal at a later date. With ‘No win no fee’ legal representation this has become a real problem for even good employers. Exit surveys will at best, provide a valuable record of the employee’s reasons for leaving, and at worse, provide early warning that a possible claim might be expected.
A tribunal may not readily accept the word of an employer that when the employee left they did so without indicating any grievance.
Timing the exit survey
Exit surveys can be conducted as part of the termination procedures or they can be delayed for a few months if the employee is in agreement.
The advantage with delaying an exit survey for a few months is that after a period of reflection a former employee can be less emotional and more objective and if they have taken up another position they may be in a position to compare their previous role with their new role.
The advantages with conducting an exit survey as part of the termination procedure is that although emotions may be running high it is probably more reflective of the employee’s state of mind and therefore closer to the reasons they have decided to leave (justified or otherwise). If left until later any comparison between their old and new roles may be the result of them putting on a brave face, and if reasons are given that require action, the delay may well hinder the problem from being resolved.
Summary
By including exit surveys as part of the employee termination procedures organizations will generally benefit in multiple ways. Having good records could prove to be very valuable later and they will also provide management with information that can help them improve an organization’s moral as well as the bottom line.
See the following survey for sample exit interview questions.
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