Why Your Leadership is the Most Important Element of Employee Retention



When you hire a new employee, you are making an investment in your business. Over time, that person will not only receive a salary but will also receive training and experience at your expense. The best return on your investment happens when the employee stays in his or her position for some time. Employee retention depends on a number of factors, but your job as a leader is critical to keeping your staff invested in your company.

You Need to Know Your Team

Leadership is more than telling your team what to do. It is the ability to assign the right people to the right task. In order to do this well, you need to know about the strengths and weaknesses of each team member. If you routinely give tasks that play to employees strengths, your employees will thrive in their positions. If you give tasks that are not in an employee’s skill set, he or she may walk away in boredom or frustration.

You Need to Have Your Team’s Back

Your people will care more about their work if you care about them. They want to be treated as valuable people and not just another corporate asset. Making employee wellness a priority is an important way to feel safe and valued. If the team has to meet a stressful deadline, be sure to recognize the effort and give them some time to breathe before the next task. If a policy affects their personal well-being, it is important for you to step up as an advocate for your people. If you have the backs of the members of your team, they will have your back as well.

You Need to Communicate Clearly and Honestly

There is nothing more frustrating than unclear expectations from management. If your team is not clear about what you need to be accomplished, it is no wonder that they always seem to fall short. Unclear communication leads to stress and frustration. It is your job as a leader to organize the team in such a way that everyone is on the same page. When the lines of communication and the organizational structure are clear, your team can get things done.

Some people are naturally gifted leaders, but even natural leaders need to work on their leadership skills. By improving as a leader, you are improving the quality of life for your employees. Strong leaders produce productive employees for the long haul.

Here’s another article we think you’ll enjoy: How to Make Your Franchise More Effective and Profitable in 3 Steps

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