With the unemployment rate at 4.2% in Massachusetts (April, 2016) and fewer professionals available for hire, it is becoming increasingly important for companies to retain employees and insure the success of their newly hired employees.
Studies have shown that companies lose an average of 25% of all new hires within their first year. This turnover can cost 1.5 to 2 times the employees’ annual salary or more due to investments in training, interviewing and screening as well as lost productivity, lost engagement, and a variety of other factors. With executives, these numbers are considerably higher with approximately 40% of executives failing in new jobs within the first 18 months. This 40% failure rate for executives has been consistent for the past 15 years.
Given the importance of retaining new employees, companies need to facilitate an onboarding strategy which helps the new employee learn their way around their environment so they are clear regarding both what needs to get done and how things get done.
HR professionals understand the importance of successfully integrating new employees into the organization, as well as the challenges of implementing an effective onboarding program. Such programs are important for all levels of employees. ClearRock coaches and consultants have decades of combined experience working with individuals and organizations in the areas of onboarding and coaching new leaders. Based on their experience, a successful program will establish the following:
