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By Karen Gentry | MiBiz
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WEST MICHIGAN — Gone are the days where the vibe from an employer suggests to employees that they’re lucky to have a job. More employers are seeing the need to step up efforts to retain top talent amid an improving job market.

Scott Anderson, managing partner with OI Partners Anderson Keegin & Associates Inc. in Grand Rapids, said the number of workers voluntarily leaving their jobs has surpassed those being laid off for eight out of 10 months, including February to November 2010, according to the U.S. Department of Labor. OI Partners is a global talent management firm that helps individuals find new careers and employers to improve the performance of their employees and organizations.

“Companies have adjusted to the recession and the economy. Workforces have shrunk with fewer employees doing as much work as what was being done before,” Anderson told MiBiz. “As the economy stabilizes and hopefully begins to turn around, companies are beginning to experience employees voluntarily switching.”

Anderson said it’s becoming more expensive to replace departing employees. It costs an average of 2.5 times an executive’s salary and two times a manager’s pay, including costs for recruitment and training, lost business, severance pay and benefits, according to an OI Partners survey.

There are many strategies employers can adopt to retain valued workers including internal and external coaching, finding more ways to say thank you, training and employee development and better employee communication.

“More companies are concentrating on their ‘A-team’ players and those they want to develop into their top-tier employees,” Anderson said.

External coaches can help individuals figure out what they’re good at and identify their passions and analyze where and how an employee would like to see their career progress.

“Where would I like to be in this company in five years time? What kind of experiences do I need in order to prepare myself to assume that role?” are questions that could be asked. Employee training and development may be centered on skills or how to lead a more effective work team.

Anderson noted often individuals may not be employed in the wrong company, but may be in the wrong job.

“We want to make sure everybody is in the job they should be,” Anderson said. “When an individual isn’t fully engaged with the work, they know intuitively they are not in the right job.”

Anderson said companies are beginning to restore some of the wages and benefits that were taken away during the economic downturn.

“Companies that had put freezes on increases are beginning to do increases again — as long as they’re showing profit they’re beginning to do that.”

Nancy Ayres, general manager of Flexco in Grand Rapids, said her company continually works to retain top talent at all levels of the company from the shop floor to technical and management.

“You have to challenge your employees and provide them opportunities for advancement,” Ayres told MiBiz. “You have to know your employees and know what motivates them and create a culture that allows them to thrive.”

Flexco uses a private resource for coaches and often pays for continuing education. Group sessions are offered on topics such as managing people. Some employees will seek out career development while Flexco will “self select” individuals who, for example, may have done really well on a project.

“We’re always looking for the next level of people skill management or technical skill management,” Ayres said.

Because Flexco is a global organization with three U.S. locations and seven in foreign countries, some employees have the opportunity for career growth in other countries. One Grand Rapids employee helped start a new division and set up a manufacturing operation in China and is now setting up a manufacturing operation in South America. An employee working on a global team on a marketing or engineering project may have the opportunity to live and develop themselves in another location.

Flexco uses an Intranet site to inform employees about what’s going on with the company in the next 12-16 months and what skill sets or courses may be needed to be a good candidate for a position when it becomes available.

Lisa Sabourin, president of The Employers Association of West Michigan on the lakeshore, said many association members use career pathing and mentoring programs. She said career pathing involves determining where employees’ interests are and what projects and responsibilities best suit them.

“A lot of times they use outside consultants to help them train their top performers so they can mentor and train other employees,” Sabourin told MiBiz.

The Employers Association of West Michigan includes 170 members with about half of the membership in the manufacturing sector. The association holds monthly meetings and provides multiple avenues to share best practices. Along with career pathing and mentoring programs, evaluating compensation programs and healthcare are top-of-mind for HR professionals, according to Sabourin. Members are still very cautious coming out of the recession.

Flexco may have 600 apply for a position, but it still takes a while to find the right fit for the organization, Ayres said. With the piles of resumes, hiring doesn’t go more quickly. Ayres said Flexco aims to hire lifelong learners and uses the National Career Readiness Certificate to make sure applicants have basic skill sets. Job seekers interview with a wide variety of people in the organization including human resources representatives, management and representatives from the primary department where they will be working. Flexco’s involved interviewing process includes measuring communications style, reference checking and drug screening.

Anderson said employers look for capability, chemistry and motivation when looking to fill positions. Can the person do the job, do they fit within company culture and do they really want the job, are questions to consider.

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TAGS:

• flexco
• human resources
• lisa sabourin
• nancy ayres
• oi partners anderson keegin & associates
• scott anderson
• the employers association of west michigan
• west michigan