How Your Company’s Culture Can Make Or Break Your Employee Retention Rate

Poor company culture leads to turnover

If you do not have a supportive culture, at times your workplace may look like this!

Corporate culture can play a significant role on how employees feel about their place of employment and whether or not they intend to stay. Recently, many companies have reviewed their corporate cultures to ensure they are appealing to younger workers, who demand a more open and interactive atmosphere that utilizes their individual talents. Both small, startup companies and large corporations can benefit from creating an atmosphere of creativity and personal enrichment. In many cases, the company culture is instrumental in an employee’s decision to stay, or look for more satisfying work opportunities. The following are a few examples on how your company culture can affect retention.

Open Communication Lines

The ability of employees to communicate freely with co-workers, managers and support teams is critical in creating a corporate culture that values the individual and believes that each employee has a significant part to play in the success of the company’s goals. When information flows freely through the organization, workers are able to provide more meaningful feedback on the progress of projects. In addition, employees are also more likely to be open and accepting of each other, when they know that each person’s opinion offers important value for the group’s success.

Opportunities for Development of Skills

Many studies have shown that providing employees with opportunities to learn new skills and take on new responsibilities results in greater work satisfaction and retention of workers for a longer period of time. Companies should be ready and willing to provide the training that employees need to perform their jobs more effectively, at company cost. This measure pays off in happier, more knowledgeable workers who are committed to utilizing their new skills.

Responsive Managers

Manager dynamics can make or break employees’ commitment to a company. When a manager is aggressive or manipulative, workers do not feel appreciated or emotionally comfortable. They tend to look elsewhere for a better work atmosphere. Managers today must be aware of younger workers’ need to provide input about the job at hand, allowing them to voice their ideas and communicate their difficulties. This back-and-forth communication may appear to be more time-consuming, but it provides a more favorable environment for retaining good workers.

Company culture quote

A quote by the head of a company renowned for its company culture.

Involvement in the Community

Many employees appreciate being valuable just as much as they do being valued. Providing company-sponsored opportunities to serve the community can go a long way towards cultivating employee loyalty. These opportunities can range from a highway adoption initiative to an employee race for medical research. Provide the employees who participate with custom t shirts displaying your logo to turn your community outreach into a great branding opportunity. If participation starts to lag, find a way to incentivize community projects–some employees just need the extra motivation to get involved.

Allowing A Good Work/Personal Life Balance

In past ages, being a good company man or woman required total devotion to company goals, regardless of how it impinged on personal life. However, today’s younger workers feel that success also means being present for their families, and this need for good work/life balance is reflecting in where they choose to work. When companies offer flexible hours, on-site amenities that allow employees to maximize their time, and the option to work from home so that they attend to family matters, employees are less likely to look elsewhere for a more amenable atmosphere. Employee retention increases, and company productivity rises.

Ensuring that your corporate culture fosters an atmosphere of positivity, teamwork and success can help ensure that employees feel they are important to the company’s goals and will be more likely to commit to their position over the long term.

About the Author:

Emma is a freelance writer from Boston, MA. She writes most often on education and business. Questions? Find Emma on Twitter @EmmaSturgis2