More than 90 Percent of Professionals Say Retention of New Hires Is an Issue– Less than Half Say Offering Extra Money to Dissatisfied New Hires Will Make Them Stay
– If Unhappy in a New Role, More than One Quarter Say They’d Leave, Even if They Didn’t Have Another Job
May 29, 2018 — LOS ANGELES–(BUSINESS WIRE)– Low unemployment means it is a job seeker’s market, and a new Korn Ferry (NYSE:KSFY) survey shows that if new hires aren’t happy, they’ll leave.
In the May 2018 survey of 361 professionals from varying industries, 93 percent agreed that the retention of new hires in their organization is an issue. On a personal level, 26 percent said they’d leave a job if it wasn’t a good fit, even if they didn’t have another position lined up.
The top reasons new hires leave, according to the survey, is their specific role isn’t what they expected and working for the company was different than they thought it would be. Respondents said a desire for more money was not a primary reason a new hire would leave.
A Clear Employer brand
“It is important that organizations have a clear employer brand to share with candidates that is true to the company and reflects the day-to-day culture,” said Neil Griffiths, Korn Ferry Futurestep vice president, Global Brand, Marketing and Communications. “Competitive benefits and salaries are table stakes to attract top talent, but creating an environment where employees are given interesting work and recognized for their efforts will give them a reason to stay.”
More than half of the respondents (55 percent) said that offering more money to a new hire who wanted to leave would not make them stay.
More than three quarters, (82 percent) said that if they personally accepted a job that they ended up not liking, even though it paid well, they would leave as soon as they found a new job.
“Unhappy employees will not go above and beyond the basic requirements of their job, even if they are well paid,” said Griffiths. “Our study found that the majority of respondents (70 percent) said challenging and rewarding work is what keeps them on the job. Clear advancement opportunities also create a positive environment that benefits both employees and employers.”
When asked which generation would be most likely to leave a new job if they were not satisfied, 82 percent said millennials.
“Even though respondents said millennials are most likely to leave a job, employers should go the extra mile to create a professional environment where all employees feel valued,” said Griffiths.
About the Survey
The Korn Ferry survey of professionals took place in May 2018 and garnered 361 responses. (note: due to rounding figures may not equal 100 percent).
To what extent would you agree with the statement that retention of new hires is an issue?
|Agree to a great extent||45 percent|
|Agree to some extent||48 percent|
|Not an issue||7 percent|
What percentage of new hires would you estimate leave within the first six months?
|10 percent or less||51 percent|
|Around 20 percent||29 percent|
|Around 30 percent||15 percent|
|Around 40 percent||3 percent|
|50 percent or more||2 percent|
What is the main reason a new hire would leave your organization within the first year?
|Their specific role isn’t what they expected during hiring process||44 percent|
|Working for the company is not as presented during the hiring process||17 percent|
|They don’t see a path for advancement||14 percent|
|They don’t like their boss||7 percent|
|Their skills and talents are not being fully utilized|
|They want more money||8 percent|
Would offering increased salary to a new hire who wants to leave the organization help in retention?
|Yes to a great extent||5 percent|
|Yes to some extent||40 percent|
In your experience, which generation is more likely to leave an organization shortly after joining if they feel the role is not a right fit
|Baby boomers||5 percent|
|Gen X||13 percent|
If you were hired for a role you found out was not a fit, would you leave even if you didn’t have another opportunity?
|Yes I’d leave without another job||26 percent|
|No I’d stick it out until I found another job||74 percent|
If you were hired for a role you found out was not a fit, but it paid well, what would you do?
|Stay and hope it gets better||15 percent|
|Stay while you actively look for a new job||82 percent|
|Leave even if I didn’t have a different position||3 percent|
What most makes you stay on the job after you are hired?
|Challenging and rewarding work||70 percent|
|Reputation of the organization||2 percent|
|Clear advancement path||16 percent|
About Korn Ferry
Korn Ferry is a global organizational consulting firm. We help companies design their organization – the structure, the roles and responsibilities, as well as how they compensate, develop and motivate their people. As importantly, we help organizations select and hire the talent they need to execute their strategy. Our approximately 7,000 colleagues serve clients in more than 50 countries.