Love 'em or Lose 'em -- N -- the Numbers
July 10, 2012
By: Debra Fox, Corporate Trainer & President of IDG Speakers Bureau
Most recently I have been asked to facilitate a 6-series training on the topic of employee retention for the new generations by a Fortune 100 client in the Charlotte area. My training has been based on concepts taught in the book "Love 'em or Lose 'em" by Beverly Kaye and Sharon Jordan-Evans.
I love training on this topic -- and would like to share the 26 key points (based on the 26 letters of the alphabet) on our blog, starting with "N" -- the Numbers.
It is unfortunate that many companies still don't appreciate the true VALUE of great talent in the organization. But there is a price tag when you lose them.
I have to share this story that was in the book --
"John was one of our most talented engineers and was responsible for inventing some of our key technology. After a phenomenally successful year, he expected some kind of reward or recognition from his boss. When nothing was offered, not even a thank you, he met with his boss and aksed for a 15% raise (about $15,000). His boss immediately said - 'Forget it!' John did -- and he left the organization.
Here's what happened after he left:
1) Company hired a headhunter for $40,000 to steal a comparable talent
2) Found 5 good candidate and flew them in for interviews -- $5,000
3) Hired the new guy after wining and dining, paid him a $10,000 signing bonus and a moving allowance of $25,000 and paid him 25% more than John -- a $20,000 difference in the first year.
That cost to replace John came to roughly $100,000 --- keeping John would have been $15,000 --- PRICELESS!
Sometimes we just can't see the forest for the trees.
Further statistics show that replacing good talent can cost:
--- 50% of an annual salary for entry level talent
--- as much as 400% of an annual salary for high level or talent specific talent.
When you add that the #1 reason why good talent leaves is because of their manager, the time has come to invest in training your managers on how to keep good talent, because quite frankly the cost to replace them is off the charts!
Let me know if we can help you with this training!
Our next segment will be "A" --- Ask.
Most recently I have been asked to facilitate a 6-series training on the topic of employee retention for the new generations by a Fortune 100 client in the Charlotte area. My training has been based on concepts taught in the book "Love 'em or Lose 'em" by Beverly Kaye and Sharon Jordan-Evans.
I love training on this topic -- and would like to share the 26 key points (based on the 26 letters of the alphabet) on our blog, starting with "N" -- the Numbers.
It is unfortunate that many companies still don't appreciate the true VALUE of great talent in the organization. But there is a price tag when you lose them.
I have to share this story that was in the book --
"John was one of our most talented engineers and was responsible for inventing some of our key technology. After a phenomenally successful year, he expected some kind of reward or recognition from his boss. When nothing was offered, not even a thank you, he met with his boss and aksed for a 15% raise (about $15,000). His boss immediately said - 'Forget it!' John did -- and he left the organization.
Here's what happened after he left:
1) Company hired a headhunter for $40,000 to steal a comparable talent
2) Found 5 good candidate and flew them in for interviews -- $5,000
3) Hired the new guy after wining and dining, paid him a $10,000 signing bonus and a moving allowance of $25,000 and paid him 25% more than John -- a $20,000 difference in the first year.
That cost to replace John came to roughly $100,000 --- keeping John would have been $15,000 --- PRICELESS!
Sometimes we just can't see the forest for the trees.
Further statistics show that replacing good talent can cost:
--- 50% of an annual salary for entry level talent
--- as much as 400% of an annual salary for high level or talent specific talent.
When you add that the #1 reason why good talent leaves is because of their manager, the time has come to invest in training your managers on how to keep good talent, because quite frankly the cost to replace them is off the charts!
Let me know if we can help you with this training!
Our next segment will be "A" --- Ask.
Posted by Debra Fox. Posted In : Employee Retention
