How Professional Development Affects Turnover Rates
If you’re searching for ways to lower your company’s turnover rate, look no further than professional development. According to a study conducted by LinkedIn, more employees quit their jobs due to a lack of professional development than any other reason. Researchers found that nearly half of all job exits are attributed to insufficient or nonexistent professional development. By understanding how professional development affects turnover rates, however, you can compel employees to stay with your company.
What Is Professional Development?
Continuing professional development, or what’s more commonly known simply as professional development, is the process of improving an employee’s work-related skills and knowledge so that he or she can advance to a higher-level position. New employees don’t start out at the top of the corporate ladder. When initially hired, most of them will have a lower-level position. Professional development involves helping employees move up the corporate ladder by providing them with all the necessary tools and resources.
Some of the most common processes associated with professional development include the following:
- Conducting assessments of employees
- Hosting seminars and classes tailored to employees’ jobs
- Assigning a mentor to employees
- Participating in industry conferences and events
- Continued education and training
- Conducting team-building exercises
Makes Employees Feel Accepted
Embracing professional development within your company’s culture will make employees feel accepted. In turn, they’ll be less likely to quit. Regardless of the job, all employees strive for acceptance. They want to feel like they are part of a team and not just a standalone worker. When you provide employees with the tools and resources they need to advance to a higher-level position, they’ll feel accepted by your company, which should encourage them to stay with your company for a longer period.
Professional development fosters confidence in employees. Confidence, or lack thereof, can influence whether an employee stays or quits. Employees who are confident in their work-related abilities are more likely to stay than their unconfident counterparts. They know that they can excel, so they desire to stay. With little or no confidence, on the other hand, employees may search for a different job. You can foster confidence in employees by embracing professional development. Professional development centers around helping employees advance to a higher-level position. As you train and educate employees, they’ll become more confident in their work-related abilities, thereby lowering the risk of them quitting.
Boosts Employee Engagement
Another way that professional development can impact turnover rates is by boosting employee engagement. Research shows that employees are approximately 15% more engaged when given professional development opportunities. Engagement, of course, is an underlying factor in turnover rates. Employees who are engaged are less likely to quit than those who are disengaged. Highly engaged employees are more active — both physically and mentally — in their respective jobs. Therefore, they have a stronger desire to stay. Although there are other ways to boost employee engagement, embracing professional development is one of the most effective.
Creates New Goals for Employees
It’s also worth noting that professional development creates new goals for employees. When you give an employee the opportunity to advance to a higher-level position, he or she will have a new goal. The employee will then have something for which to work, knowing that he or she can secure a more favorable position. The employee will likely stay with your company while working to achieve this goal. In comparison, failure to embrace professional development within your company’s culture means employees won’t have a clear and attainable goal. Some employees may still stay with your company, but without a goal, others will quit.
You can show appreciation to employees by providing them with professional development opportunities. When employees feel appreciated, they’ll inevitably be less likely to quit. Far too many employers neglect to show appreciation. They assume that employees will stay with their company regardless of whether they are appreciated or not. The reality, however, is that lack of appreciation is a driving factor in high turnover rates. The good news is that you can show appreciation to your company’s employees by offering professional advancement opportunities. Employees will feel more appreciated knowing that they can advance to a higher-level position.
Provides a Monetary Incentive
In most cases, professional development provides employees with a monetary incentive to stay with your company. While employees work for many reasons, one of the most influential reasons is money. Everyone needs money to cover essential expenses. With professional development, employees can progress to a higher-level position where they can earn more money than their current position.
Professional development is intrinsically connected to turnover rates. It makes employees feel accepted; it fosters confidence in employees; it boosts employee engagement; it creates new goals; and it provides a monetary incentive for employees to stay with your company.