COVID-19 lockdowns pushed many to the brink but the newest challenge of severe staff shortages and poaching has many at their most desperate point.
From offering salary increases of upwards of $30k to creating roles with more money and less work, big organisations are leaving small-business employees with the obvious decision to jump ship to a more cashed-up role at a time when cost of living spikes.
The impact of losing staff on a small business is much bigger than that of a large organisation – these businesses can lose lifeline revenue projects down to lack of staff or struggling to get new junior staff up-to-speed.
One of our small-business members said that one of their teams had gone from 10 staff members to three and recruiting was near impossible – meaning her small business couldn’t grow and the big guys were only getting bigger.
A survey conducted by Di Tapp from World Class Teams found only 12 per cent of people actually change jobs because of their salary and there was a lot more at play than money alone.
We all know small-business owners are some of the most resilient and adaptable people out there and The CEO Institute of Australia’s top SME business owners have shared their best kept secrets in retaining key staff at a time when it feels impossible.
Genuine care for your staff goes a long way
Everyone has a different purpose to getting up each morning and going to work. As a manager, understanding your staff’s why is everything.
Find out their personal and professional ambitions and the reason they come to work in the first place.
In order to retain staff, you have to look at them like a whole person – having a one-to-one relationship with them is fundamental and fosters honest discussions around their employment path.
Enough of the one-size-fits-all progression plans
One thing that small business does have over big business is the ability to have less rigid employment plans. They can offer multi-faceted roles with major development opportunities for staff well before they would be offered at a big organisation.
Employment plans are individually-based, not a one-size-fits-all approach. Look at your staff’s strengths and weaknesses and tailor their employment journey to suit you both.
Throw out Gen-Z bias and get that intern
A final tactic that small businesses are finding useful throughout this difficult patch is creating new internship pathways.
Business owners have never been more keen to train people from the ground up, making graduate interns an attractive option.
From three-month intern stints rolling into full-time employment, many are finding this pathway is creating loyalty and in effect, long-term employees.
Small-business owners should make connections with their local TAFE or university and start graduate programmes to give keen local talent their first shot in the job market.
Final thoughts
These tips can take small-business owners’ a long way, but in some cases, you will still lose that staff member to the big organisations. The key to ensure you don’t lose any more winks is acceptance.
As one of our members once said, “It’s like a smaller football club that knows it ain’t going to retain quality players – the biggies will come and snatch them.”
If you see it as a positive, you can attract the right staff early on and impress upon them that you are a gateway for their career progression.
