Employee Retention Strategies is uniquely designed to provide small- to medium-sized organizations (and business units of large organizations) with affordable, effective, fast and lasting solutions to improve employee retention,
satisfaction and commitment.

Hallmarks of Retention Superstars

10 Themes Define Retention-Rich Organizations and Healthcare Leaders

     In examining both the research and the practices of retention leaders, 10 themes emerge. These themes are core beliefs that govern decisions that affect employees, and, in turn, customers.
     Some of the leading stars are hospitals and nursing homes, which have risen to the challenge of what will be the greatest shortage of caregivers and technical professionals in our history. Keep in mind: Hospitals are also struggling with reduced reimbursement rates, greater levels of technology, an ever-increasing knowledge base for their employees and a more knowledgeable, demanding consumer. In spite of these challenges, hospitals are leading the way in building magnetic cultures employees rave about.

1. Value your employees, and you’ll have better business results.
     Independent studies of Magnet hospitals, designated by the American Nursing Credentialing Committee for high levels of retention and best nursing practices, show better outcomes for patients, lower mortality rates, shorter lengths of stay and increased patient and nurses satisfaction rates.
     Turnover rates are significantly lower than non-Magnet hospitals. When taking into account that it costs 150 percent of a nurse’s salary to replace him or her, the savings are substantial, indeed.
     Retention superstars also value their managers and supervisory staff, providing needed support for them to lead well.

2. Employees who contribute to how work gets done are more engaged and loyal.
     The 2007 #1 spot on Fortune Magazine’s 100 Best Companies to Work For is Google, which has a mere 2.7 percent turnover. Google allows its engineers to spend a portion of their time on projects they choose.
     One past winner, American Cast Iron Pipe Company, boasts the lowest turnover rate, at only 2 percent. At ACIPCO, a Fortune Best Company for multiple years, employees are represented on committees to ensure fair and uniform work rules, rates, apprentice training, seniority, medical service and the charity fund distributions. And, there’s more: Twelve employees are elected to a Board of Operatives, one is elected as clerical director, an employee-at-large advises management on employee relations and four elected employees are voting members on the ACIPCO board of directors. Visit www.acipco.com for more.
     From the healthcare arena, local decision-making is king at retention-superstar facility and Magnet Award winner St. Luke’s Regional Medical Center in Boise, Idaho: “We have shared governance in all hospital areas. People participate in decision-making, determining what kinds of education and training they need, patient-care issues and there’s self-scheduling in some areas.”

3. Pay and benefits matter. But you can’t “buy” true commitment.
     Scan the list of the 100 Best Companies (available at www.fortune.com) and you’ll notice a plethora of attractive employee benefits, from on-site medical/dental clinics to day care and fitness centers.
     However, it’s not the glue that holds top talent. Sixty years of research still tell us that the true motivating environment is based in the intrinsic motivators of choice in how work gets done, seeing results from the work performed, meaningful work and learning and growth opportunities. Yet there’s no denying the powerful message sent by management when it channels resources into benefits that impact the well-being of employees and their families. Duncan Aviation, a recent 100 Best, boasts a low 6-percent turnover rate and provides $8,000 in scholarship funds for each employee’s child.
     Healthcare had to face the hard facts that nurses and nursing aides were underpaid. Salaries have increased. However, Magnet hospitals also shine for their workplace cultures.
     At Boise’s St. Luke’s the belief has been: “You don’t have to pay the most. We don’t feel we’re going to get people to come and stay because of pay . . . We want people who want to take good care of patients.”

4. Layoffs are a last resort.
     Loyalty is a two-way street. An economic downturn is where the rubber truly meets the road. The no-layoff policy at semiconductor company Xilinx has remained intact in the historically bad technology downturn. Employees had pay cut 6 percent; the CEO chopped his pay by 20 percent.
     Yes, management often must use layoffs to save the company. However, employees always wonder whether there isn’t more management can do in marketing, product development and streamlining business processes. Credibility is on the line.

5. Learning and development are priorities.
     Edward Jones, which formerly held the Number One slot on the Fortune list, spends 3.8 percent of its budget on training, with employees averaging 146 hours. New brokers receive four times as much.
     “Grow your own” is how talent-short industries are bringing people into the field. Hospitals are leading the way, with nursing school programs located right on their campuses. Paid tuition helps lower-wage nursing assistants get their RN degrees and move to a higher skill level.
     European nations never let go of their apprentice programs, but here in the US we’ve slacked off in many industries. What better way to have employees skilled in exactly the methods and practices your organization needs than to train them yourselves?

6. Reputation breeds retention.
     Nurses seeking a new job look to the Magnet-designated hospitals. Word is spreading about the Eden Alternative concept of involving nursing-home patients and staff members in how their facility operates is bringing new vitality to residents’ lives. Some of these facilities even have waiting lists of prospective employees – in an industry with intense staff shortages..
     Magnet hospitals unabashedly promote their status. Hackensack Medical Center let the world know on roadside billboards. Cedars Sinai handed out free phone cards to its 1,200 nurses, suggesting they call their friends and brag that they work at a Magnet hospital.
     How does your organization stack up? How many job applicants are referred by current employees? How many people visited the “careers” section of your web site after publication in the media of an article about your company’s community-service deeds or workplace attractors?

7. Simple and lean allows people to do what they love. Work should make sense.
     Beware: Younger-generation workers have even less patience for tedious processes, unnecessary paperwork and needless bureaucracy. The key to improving productivity in your organization may be as simple as: Get out of people’s way! Learn about lean processes to explore how unnecessary paperwork and approvals can be eliminated.

8. The Golden Rule still rules.
     Respect for employees by management is a hallmark of organizations with low turnover. Treating employees no differently than managers expect to be treated is a cultural imperative at organizations truly committed to their workforces. These organizations have narrowed the traditional management-worker gap.
     Most noteworthy is that employees generally pass along how they’re treated to how they regard customers. We know, too, that losing a key customer-contact employee often means losing the customers who depended upon them.

9. Keep people “in the know,” not in the dark.
     A study at George Mason University found employees stated their three top motivators as appreciation, being well-informed and empathy. People care deeply about their work and want to know their efforts are helping the company and its customers.
     Baptist Health Care Corporation has a “no secrets” culture in which results of customer satisfaction, finances and employee satisfaction are shared with everyone.

10. Hire as if you could choose your family members.
     We’re talking more than reference checks here. Every person who joins your organization will impact others. Culture is a delicate thing; treat it with care. Keep current with the best learning on interviewing methodologies, and check for consistency of applicant values with corporate values and vision.
     Spend as much time as necessary getting to know candidates – and allow them to spend as much time in and around your organization as they’d like. Imagine you were stuck in a snowstorm or fogged in at an airport with this person. Would they give up their last quarters so you could get a candy bar out of the snack machine?

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