2014 Performance Management survey reveals that more frequent feedback is key to employee retention in new economy.
Franklin, TN -- (SBWIRE) -- 07/31/2014 -- According to the Society for Human Resources Management, the price of replacing a valued worker can cost as much as 50 to 60 percent of an employee’s annual salary. The challenge to retain employees is an ongoing issue for many human resource professionals.
And while using annual reviews has long been seen a main tool to evaluate employee satisfaction, a surprising new survey sponsored by PerformanceReviews.net indicates that this may no longer be enough.
The site, a leading provider of performance management support materials, interviewed 2,800 employees from various industries about their overall satisfaction with their company’s current employee review practices in terms of frequency and effectiveness.
The majority of respondents (63%) indicated that they were not planning to stay with their present employer. Among the reasons provided by them, most suggested that a lack of consistent feedback and encouragement was a key factor in their decision to leave. In fact, 60% reported the performance appraisals had little impact on their job.
“We definitely see this as a wake-up call for human resources departments,” said Performance Reviews founder Jeremy Reis. “The results indicate the standard paradigm of annual reviews no longer meets the needs of today’s business climate. Employees are looking for meaningful interactions with their management team more often than once a year.”
Replacing employees is costly for employers. Creating an employee retention plan combined with the performance appraisal process can help retain key employees and decrease turnover. Read more about the 2014 Performance Management survey at http://performancereviews.net/survey/.
PerformanceReviews.net is a site that teaches about the performance management process and how to create a great performance review. Our tools help you quickly create professionally written performance reviews in a fraction of the time. Learn more about us at http://performancereviews.net.