Are your employees like a pit crew or an Olympic sailing team? The pit crew helps for a time, while you alone continue to the finish line. The Olympic office teammate approaches the finish line with you.
Most of the employers who come to my jewelry store like the Olympic model. They prefer keeping good employees to looking for new ones. Many bosses are shocked by seeing so many turnovers (unless they are bakers). So, how do you get employees to file away their resumes and stay for a while?
First, there are the basics: paying them well keeps them away from the want ads and discourages side jobs.
Do you want your employee falling asleep in front of your biggest client after two people called in sick to his night job?
• Don’t make a tough job harder. A good work environment keeps an employee happy and present. Most accountants don’t enjoy balancing the books in the middle of a machine shop.
• Avoid workplace drama. To get long-lasting employees, hire people who play well with others.
• Make goals clear and attainable. Constantly keeping employees on their toes may cause them to walk off. Like Sisyphus, no one wants a task that’s impossible to complete.
But there is another important factor in employee retention — whether or not they feel appreciated. Of course, appreciation comes in many forms, including “good job,” a pat on the back and gifts. I can already hear some of you objecting: Aren’t physical gifts a throwback to an earlier era, and wouldn’t employees prefer receiving cash instead?
There’s a difference between throwback and classic. Smoking in the office is a throwback, but physical gifts are a classic. Humans have been collecting and acquiring things ever since the beginning. Even small children are incredibly proud to own some small trinket, and this behavior doesn’t change in adulthood (just ask your neighbor about his new sports car).
Physical gifts are a tangible reminder of an accomplishment. Employees can look at them with pride and think fondly of the company. For items that are worn (like a watch) or placed in an office (like a sales trophy), other employees will see it and be motivated as well.
Some employees may express a preference for money, but be mindful that non-cash rewards punch above their weight in terms of perceived value. If you’ve got $75 to spend on an employee, he will compare a $75 check with the size of his paycheck — not an impressive matchup. On the other hand, he’ll remember a beautiful crystal bowl or a lobster dinner for years to come.
A recent study by Bersin & Associates, a human resources consultant, found that companies that recognize employees regularly have a better track record of retaining them. The same study found that recognition based on accomplishments is more effective than awards for length of service. According to Bersin & Associates founder Josh Bersin, tenure-based rewards systems have virtually no impact on organizational performance.
Different awards are appropriate for different lines of work. At any company it is a good thing to let your valued employees know you want them to stay.
Jay Seiler, co-owner of Security Jewelers in Duluth, Minnesota, provides employee incentives for several major companies and has been in the jewelry business for over 30 years. You can reach him at info@securityjewelers.com.
