How to Use Learning and Development to Improve Employee Retention

As an employer, your employees represent some of your most valuable assets.

Tangible belongings, intellectual property and financial interests may all be irrelevant without the right talent to use and maintain them.

However, the current labor market is highly competitive, potentially making it necessary for your business to reevaluate how to improve employee retention measures, such as by offering learning and development opportunities.

What Is Employee Retention?

Employee retention refers to a business’s ability to retain its workers. When employees, particularly top performers, decide to exit your workplace, it can have far-reaching ramifications for your company’s financial interests and even culture.

For example, a CEO choosing to leave for another opportunity could invoke concerns about the company’s general welfare among other employees. Similarly, a top salesperson leaving your business could jeopardize client contracts.

Why Is Employee Retention Important?

Beyond the direct ramifications of losing valued employees, your company must also consider various reverberations.

For instance, hiring a new employee may require dozens, if not hundreds, of labor hours, as recruiters, talent scouts, interviewers and HR professionals seek out and vet the right candidates.

Additionally, poor employee retention could negatively affect your company’s reputation, as other possible applicants may observe such trends and decide to avoid applying for openings.

How Can My Organization Use Learning and Development Opportunities to Improve Employee Retention?

There are many strategies your organization should consider when seeking to improve its retention, with learning and development opportunities being one of the leading possibilities.

Studies have shown that many employees do not feel they are reaching their full potential with their current employer; by offering the right development opportunities, your company may see a significant increase in retention.

When revisiting or formulating practices related to learning and development, consider the following steps:

1. Analyze skills gaps. Upskilling your employees can help you fill openings or newly created positions from within your own ranks, potentially cultivating company loyalty and saving on costs related to hiring processes.
2. Survey employees. Talk to employees at all levels about skills that could enhance their abilities and improve efficiencies. Encourage managers and senior leaders to consider learning and development opportunities for themselves and their direct reports.
3. Consider cross-functionality. The traditional career ladder may be outdated in many workplaces. Think about ways you might offer employees opportunities to train in skills outside of their direct responsibilities and departments, such as through learning and development programs and mentorships. This can help staff members discover new passions and cultivate greater innovation.
4. Communicate opportunities. Your company’s efforts to enhance learning and development opportunities may go unnoticed if employees are unaware of them. Make sure you explain how and why certain prospects are being offered and make them available through various means, such as in-person sessions and webinars.

We’re Here to Help

At Lyceum Insurance Services, we work with employers to enhance the workplace experience for all members of your organization. Contact us today to learn more.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.