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Lets talk about the 7 Reasons Why Companies Lose Good Employees. I have seen this time and time again while working in the garment industry. I know that there are a lot of companies losing good employees and are wondering where they are going wrong. Don’t worry I am more than happy to tell you exactly where you are going wrong.

According to kutv.com “57 percent of employees have left a job because of their manager. Furthermore, 14 percent have left multiple jobs because of their managers. An additional 32 percent have seriously considered leaving because of their manager. Office politics and a time crunch are chief sources of stress.”

I have worked my way from an assistant to mid-level management in the course of my career. I have seen many people come and go for various reasons. So let me give you the 7 Reasons Why Companies Are Losing Good Employees from the employee’s point of view.

A manager talking down to his employee

7 Reasons Why Companies Lose Good Employees

Bad Management

“Most people don’t quit their jobs; they quit their managers” 

Wendy Duarte Duckrey, vice president of recruiting at JPMorgan Chase.

This is a big one. I know management doesn’t want to hear this, but some of you are just bad at managing. You’re really big about demanding respect, but never giving it. Making unrealistic demands on your employees. Management has a habit of making decisions and not consulting the people who actually do the work. You are flying by the seat of your pants and expecting your employees to just comply. 

I get it managing a company can be hard. I manage a team and there are times I struggle to. Employees want to be heard, not dictated to. So, it is the managers job to listen, understand, and solve the problems their employees face at work. You are a team it doesn’t matter your what title you have everyone is supposed to work together.

When Managers come in with a negative attitude and stressed out that leaks to everyone around them. This leads to poor work morale. No one wants to go to a place where they are constantly being yelled at and talked down to and to be honest, they really don’t have to. Employees want to feel valued in a company and if they don’t feel it they won’t hesitate to find another job.

The indications of a poor manager are chaos, high tensions, and a toxic work environment that may make even the best employees want to leave.

Giving more criticism than praise is not going to make someone want to work for you.  All you are doing is creating a toxic work environment and that is how you lose good employees. If you are a manager you should check out How to manage a team.

When a manager is well organized and has a team work mentality a the workplace environment is enjoyable, and workers can complete their work with little frustration.

Toxic Work Environment

I wrote a whole post on How to be productive in a toxic work environment. Now let’s talk about why it is causing companies to lose good employees. Its Simple a toxic work environment can include everything from abuse, harassment and bullying to a negative atmosphere and overworked and underpaid employees. Let be honest this happens more times than any company cares to admit or even acknowledge.

The company culture is a very important factor in the success and growth. Company culture includes the company philosophy and beliefs, how the company operates, the management style, and the overall work environment. These factors may not be in line with the personality, skills, work ethic, or professional growth plan. Your employees may grow frustrated with the internal company culture and wish to leave to find a company that better suits their career goals and personality.

A woman sitting at a desk throwing her hands up in the air surrounded by paper work.

Lack of Growth

Employees are looking to learn and advance in their career so when they come to on board your company the point is to grow. The only question is will they grow in your company. If not, they will find it somewhere else. Do yourself a favor and don’t undervalue talent that is sitting right in front of you. When employees take on projects and work tirelessly to gain the knowledge to advance you better give them that opportunity.

It is a known fact that when you promote from within you save money in the long run. The reason for that is because when you hire from outside you have to pay for advertisement for that position. Then when you finally get the right candidate most employers wind up having to pay a higher salary. There are also times you have to hire two to replace the one person because of the work load. You should also take into consideration all the time it takes to get that new higher up and running independently.

When a position opens up in your company look within before you look outside. I promise you that there is someone who you already have that can fill that bigger role. For example, a management position opens you have an associate working directly underneath that manager that is leaving that can do the job. Providing your employees with opportunities to improve and grow your turnover will be minimal.

Little to no raises or bonuses

Money is always a factor of deciding whether to stay or go. So when there is little to no raises or bonuses in a company your employees have no incentive to stay. When your employees feel under paid for the work they are putting in it can cause tensions and lack of motivation. This is especially true when it comes to companies not keeping up with the industry standards.

There is this thing called google so everyone is well aware of what they should be making according to what industry they are in. When you don’t offer raises or bonuses there is only so long before you start to lose good employees to your competitors. Again this is just going to cost you money in the long run.

Undervalued and over worked

Oh… I know what it is like to undervalued and over worked. That was my life pre-pandemic working 12+ hours a day five days a week. No one cared that I was doing the job of 3-5 people that is the amount of people they would have had to hire if I decided to jump ship. When the pandemic hit everything changed. It was only me doing the work of and entire team from my house. That’s when I all of a sudden, I became valued. I am a very loyal person it’s a blessing and a curse.

When you undervalue and over work your employees they are going to get burnt out. There is only so long they can burn both ends of the candle before they call it quits. A simple thank you goes such a long way with employees. Encourage them to take brakes and to go home on time. Employees these days are looking for work-life balance and it is so important. They want to work to live not live to work

“Basically, “work to live” means you work so that you can allow yourself to enjoy other things in life, aside from your job. … On the other hand, “live to work” might be understood in two different ways. One is that your life is based around your work and nothing else, which could be pretty bad for you.”

A woman with a box filled with her personal things leaving a company after resigning.

Poor Communication

When there is poor communication within a company and between departments can lead to chaos. Communication is always key and when people don’t communicate expect things fall through the cracks. Which can get very costly to the company as a whole. If key information isn’t given to the appropriate people the job is not going to get done. Having secret meetings to make decisions that will ultimately affect your employees and their work load is not going to go over well.

When employees are caught off guard with a huge project and had input just leaves them feeling undervalued. They to know that their opinion matters. What you might not realize is your employees are just as invested in the company as you are. So, when upper-management doesn’t communicate it plays a part in why companies lose good employees.

Lack of Trust

If your employees can’t trust the people they work with or who they work for its going to create for a poor work atmosphere. Start with asking why they don’t trust their co-workers or management. You need to be transparent with your employees if they feel like you are hiding something or leaving them out of the loop that is going to cause going to cause them not to trust you.

Backing your team instead of throwing them under the bus creates trust. They have to know that you are going to have their back when situations arise. It is a work relationship, but it is a relationship non the less. Just like in any relationship if you don’t have trust you have nothing.

Final Thoughts:

If you are looking to keep your employees and thrive the best advice I can give is to grow and nurture the talented employees you have right in front of you. Because if we are all being honest you need them more then they need you. If you keep losing good employees and want to know why start by looking at the management. Because 57% of the time that is why companies lose good employees.

When you invest in your employees like you invest in your company you will come out on top every time.

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