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Beyond Salary: Communication and Training as Retention Tools
Jill K. Bishop, PhD, Workforce
Language Services
For many industries, one of the biggest challenges is hiring
and retaining good workers. Annual turnover in the foodservice
industry averages well over 100%, and given that the costs
associated with replacing just one hourly worker average $2400,
turnover is a serious problem with serious financial consequences
for your club.
The direct and indirect costs of employee turnover include:
» Pre-turnover
costs (low productivity, absenteeism)
» Separation
costs (administrative tasks, unemployment claims)
» Vacancy
costs (increased overtime, temporary employment)
» Replacement
costs (advertisements, interviews, administrative costs)
» New hire
training costs (company policies, job-specific training)
» Productivity
differential (lower initial productivity)
Replacing workers takes money, time and energy – all
of which can be put to better use by focusing on retaining
those workers instead. And it’s not only salary that
influences whether workers will stay or go; communication
and training are key elements to employee satisfaction.
Communication
Immigrants of various backgrounds comprise 1 out of 7 of all
US workers, and 25 million adults are considered among the
LEP (Limited English Proficient) population. With a high percentage
of native Spanish-speakers in the foodservice industry –
a majority in the back of the house – finding ways of
communicating effectively with your workforce is crucial.
Some suggestions:
»
Consider offering an onsite job-specific Spanish course
or half-day “Survival Spanish” workshop
for your managers. In just a few hours, participants
can learn how to compliment employees, conduct basic
training and respond to medical emergencies in Spanish,
as well as learn about some of the cultural differences
that often underlie tension and conflict in the workplace.
While this leads to increased efficiencies, perhaps
even more important than that is the potential for relationship-building.
If employees feel their managers respect and value them
enough to learn about their language and culture, they
will reward them with increased loyalty.
»
Provide incentives for your club managers that take
the initiative to learn Spanish on their own
»
Ensure that all employee manuals, recipe guides, training
materials and other internal documents are translated
into Spanish.
»
Encourage your hourly employees to learn English. Whether
you provide onsite job-specific English training, offer
a bonus for improving their English or simply recognize
them for completing a community-based English class
(for example, bring a “graduation” cake
to an employee meeting or celebrate this accomplishment
at shift change), do whatever you can to support them
in their efforts to learn English. |
Communication is not just about learning one another’s
language. Whether there’s a language barrier or not,
communication involves educating employees about the company
and its expectations, answering their questions and making
them feel part of the team – and being willing to hear
their honest feedback about how you, as an employer, are doing.
New hire orientation presents a perfect opportunity to make
employees feel welcome and educate them about club’s
expectations, culture and opportunities for advancement. Don’t
make it just about the employee manual and paperwork; get
them excited and set them up for success at your company from
day one. Studies show that the more time companies spend doing
orientation, the lower the turnover rate. According to People
Report, companies that conduct 1-2 hours of orientation average
close to 120% annual turnover, while those that do 2-4 hours
average 105%. What about companies that spend over four hours
on orientation? Their annual turnover rate averages only 86%.
At $2400 to replace one employee, assuming 30 employees, the
difference between 120% and 86% turnover adds up to almost
$25,000 per year. Why watch that money walk out the door every
year?
There is also a correlation between turnover rates and the
frequency with which companies conduct job satisfaction surveys.
Companies that never conduct such surveys average 117% turnover.
Those that conduct them annually experience 108% turnover,
while those that conduct them twice a year experience only
89% turnover. Of course employees need to feel that their
concerns are truly being heard and acted on, so follow up
– and work together to find solutions that will benefit
both sides.
Be sure to have a bilingual staff member available when
conducting orientation for Spanish-speaking employees, and
show them that their opinions matter by providing a translation
of employee surveys, as well as any results you may post.
Employee Training
You have a talented pool of loyal, hard-working employees
that know you, know your club and know your members. Why go
outside to look for supervisors and managers, when you can
tap your current employee pool?
Lack of growth opportunities (or perceived lack of opportunities)
can be a major contributor to employee turnover. Are your
employees aware of the potential career paths available to
them? Do they know what is expected of them in order to move
up? Are you facilitating this process by identifying high-potential
employees, cross-training them in different roles and helping
remove any barriers to advancement? If you’re not, you
should, or you’ll see these employees looking for growth
opportunities elsewhere.
Employee orientation is a key first step in training, but
on the first day, when everything is new and unfamiliar, employees
don’t yet know what questions to ask, despite being
given the opportunity. Days or weeks later, however, when
concrete questions arise, they may feel uncomfortable approaching
a manager to ask. And if there’s a language barrier,
they will likely be even more hesitant to ask. Be sure to
set aside time a few weeks into a new employee’s tenure
to follow up and see what questions he or she has. This offers
you an opportunity to answer questions, clarify procedures
and develop a sense of trust with that employee. Again, have
an interpreter with you if you don’t speak the employee’s
language.
Aside from orientation, there are numerous training opportunities
for employees of all levels. Whether for a few hours or a
few days, show your commitment to them by taking employees
out of their roles and into the classroom to train them in
new procedures, new policies and new tasks. Make explicit
what they need to learn to be promoted, and also make explicit
your commitment to promoting internally when possible. If
English is the only thing holding them back, offer to hire
a tutor or help them pay for a community college class. Internally
promoting your people raises morale and loyalty and saves
you recruiting time. You may feel the financial pressure of
this additional training, but the investment will come back
to you many times over in the long run. Many people worry
that if they invest money in training their workers, they’ll
take what they’ve learned and use it to get a better
job. This may happen for some, but not for most. And think
about the consequences of not training them: less engaged,
unproductive employees who you’ll either end up terminating
or who will leave regardless. Focus on the long-term goals
of your club, as well as the goals of your people.
Retaining good workers is not just about paying them more
than your competitor; it’s about creating relationships
and building loyalty through investing in them and their professional
development. Of course pay is important, but it’s just
one element in the decision-making process of whether they
will invest back in you as an employer.
Jill K. Bishop, PhD is President of Workforce
Language Services, LLC, which offers onsite, industry-specific
English as a Second Language and Spanish training, cross-cultural
training and translation services. A Linguistic Anthropologist,
she has taught English and Spanish around the world and has
researched, written and lectured extensively on the subject
of language and culture. Workforce Language Services is dedicated
to bridging language and culture in the workplace, thereby
enhancing overall business profitability, creating opportunities
for employee advancement, increasing respect across cultures
and strengthening our communities. More information is available
at www.workforcelanguageservices.com.
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