By Jack Ruffer

Most economists would agree that an unemployment rate of 4.1% (about where we are now) comes very close to constituting “full employment” and in such an environment, recruiting and retaining good people becomes even more problematic. There are a number of programs and processes which, successfully implemented, can ease the dilemma, help you keep those good people and reduce your recruiting effort. And, by the way, it’s not simply a $$$$$$ issue.

The work environment (remember the Hawthorne Studies I wrote about several issues ago) is a major factor in retention. What do your turnover rates look like? Do you want to change them for the better? Do you want to keep those highly productive and valuable staff members? Here are some topics that deserve your serious consideration and open-minded review:

1. Do you have valid job descriptions for each of your employees?

2. Do you have a meaningful and strictly followed periodic performance appraisal process? Are those appraisals given on time (as far as I’m concerned there are only two valid reasons for failing to give on-time appraisals; You died; your employee died)?

3. Do you assign verb-oriented, specific, reasonable, attainable, quantifiable and measurable goals and objectives to your employees as a part of that performance appraisal process?

4. Do you practice effective coaching/mentoring of your employees? Rule #24 of Ruffer’s Rules for Leaders reads:“If you think of yourself as the ‘boss,’ you probably had a lousy role model. Think of yourself as your people’s coach, their mentor, their teacher. It fosters a very different attitude/ mind set.’

5. Do you lead by example or do you set one standard for yourself and a different, higher standard for your employees?

6. Do you practice “open, two-way communications” with your staff?

7. Do you have a well-thought out compensation strategy for your organization? Are all of your employees aware of that strategy?

If you can answer all of the above in the affirmative, chances are you’re not having a retention problem. For the rest of you, I strongly recommend you make a concerted effort to put these programs/processes/policies in place.