Workers ditch bosses who don't offer flexibility

Workers ditch bosses who don

By Mike Toten on 8 November 2018 Lack of flexible work arrangements is a key reason behind employee resignations, according to a new survey.

The 2018 Staff Retention Report, released by the Institute of Managers and Leaders (IML), found lack of flexible start and finish times was a key reason to throw in the towel. 

It aslso revealed the percentage of resignations increased among small businesses (up to $10 million annual turnover) while falling among larger businesses. 

For all businesses, the percentage of all separations due to voluntary resignation increased from 63% in the 2017 report to 75% in the 2018 one. As the overall volume of separations fell during the same period, this indicates fewer dismissals and redundancies.  

What’s driving the trends?

The IML suggests that employees are placing a higher importance on flexible working arrangements as a retention factor. Out of 12 factors listed as reasons for resignation, it was the only one to show an increase in 2018. Lack of flexible start and finish times increased the most as a reason to resign, followed by flexible work arrangements generally. This contrasts with declines in regularly-mentioned other reasons, such as remuneration and conflicts with managers or other employees. 

An interesting finding is that organisations that have retained formal employee performance reviews had higher resignation rates than those who have abolished or never had them. 

Lack of career opportunities or advancement also remains a common reason for resignation, across the board. 

What it means for your business

Commenting on the results, IML’s CEO David Pich said that the key to a good retention strategy was “understanding your people beyond the workplace”, and that employees would show genuine commitment if their employer “shows they care” about them. 

Copies of the 2018 Staff Retention report can be purchased from the IML.


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