---
title: Reduce Turnover Re-Recruit Your Best Employees | Inside FM
description: By re-recruiting employees and taking the initiative to reward their service, you can help reduce turnover and improve the company’s bottom line.
image: https://ifm.flagshipinc.com/hubfs/Blog/Recruiting-Manager-Shaking-Hands-Employee.jpg
---
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# Reduce Turnover by Re-recruiting Your Best Employees
Category: [Facilities Maintenance](https://ifm.flagshipinc.com/tag/facilities-maintenance)
Tags: [Employees](https://flagshipinc.com/category/employees/), [Business and Industry](https://flagshipinc.com/category/business-industry/), [Coronavirus](https://flagshipinc.com/category/coronavirus/),
[The Great Resignation](https://ifm.flagshipinc.com/reduce-the-impact-of-the-great-resignation) is affecting almost every single company, which is causing a decrease in productivity and an increase in employee stress.
This can also cause quite a downward spiral if leadership does not step in and make positive changes for the loyal employees still on the floor.
The trend tends to go like this:
- Employee A leaves the team for a better job opportunity and increased compensation
- Team A takes on the work and stress of Employee A
- Team A’s manager works to fill Employee A’s position but since the employment market is employee-driven and more expensive, finding a good fit takes a long time
- Team A becomes stressed with the additional work
- Employee B leaves Team A for a new opportunity and less stress
- Team A becomes even more frustrated and stressed
- A replacement for Employee A is finally found – but due to the market, the new Employee A is paid at a much higher rate
- During casual conversations, some employees on Team A learn about the new higher salary for Employee A
- Now disgruntled and feeling taken advantage of, Employees C, D, and E all leave the team
- Now Team A and fellow teams are not able to produce like they were before – Teams B and C try and help, but similar situations are happening on those teams as well
- Production and profits fall, and customers are upset and look to your competitors
- Because of the profits falling, there is a hiring and promotion freeze
- More employees become disgruntled and leave, continuing the downward spiral
## Understanding Employees
While there is a number of factors that lead to an individual seeking new employment, currently the [number one reason is compensation](https://ifm.flagshipinc.com/hubfs/Achievers-Workforce-Institute-2021-Engagement-and-Retention-Report.pdf).
Many employees understood that there was a lot of uncertainty for business during the pandemic. They were willing to go with reduced, or even without raises and bonuses. According to the business, it helped save the jobs of fellow teammates and helped the business not go under. But it’s now been almost two years. And even though that uncertainty still looms overhead, employees have experienced surges in prices for rent and everyday goods. They have also watched how the business was operated.
If sales decrease and profits fall, employees are trying to save themselves and leave a business that may not have a strong future.
## Why Employees Leave for Better Compensation
Employees are told that “The best way for an employee to get ahead is to actually quit their job and go to another company for compensation reasons,” Brian Kropp, Vice President at research firm [Gartner](https://www.gartner.com/en/human-resources/role/human-resources-leaders) tells [CNBC Make It](https://www.cnbc.com/make-it/).
“Companies are willing to pay about 15% more for new employees, but they’re only willing to give their current employees about a 2% or 3% annual raise,” he explains, citing Gartner’s research. “So, to get ahead financially, what a lot of employees have realized is that in today’s tight labor market, the best thing to do is to go to another company to get more money rather than trying to get more money by staying at your current company.”
When employers continuously pay more for new employees rather than rewarding existing employees, employees get the message quickly. And with a current inflation rate at over five percent in the U.S., employers should find ways to not only help employees keep up with the current market but also show them that they are valuable and appreciated.
## Re-Recruit Your Staff
One way to help overcome a company’s previous stigma for paying more for new talent is to re-recruit current staff members.
- Create a job analysis with employees to showcase their responsibilities and duties
- Focus on the positive instead of the negative
- Have HR complete an external salary review of the position and its responsibilities
- Offer employees their current job (or a new title if necessary) at the new market rate
This method can help employees understand that you are championing for them to ensure they are paid market value for their skills. They will feel more appreciated and valued for everything they’ve accomplished.
## Review Your Budget
Naturally, paying employees more will affect your salary budget.
However, continuing to compensate higher for new employees rather than promote and distribute raises is likely to cost more in the long run.
Hundreds of [studies](https://www.gallup.com/workplace/247391/fixable-problem-costs-businesses-trillion.aspx)show that it costs two to three times of the current employee’s salary to find, recruit, hire, and train their replacement. And in the current market, it can be four to five times more expensive to fill a position.
Let’s analyze the numbers:
With an average annual salary of $51,000, a typical new-employee salary increase of 15%, and average replacement costs of three times the salary, each employee that leaves will cost the company $160,000. Multiply that by 50, 100, or even 1,000 for each new employee, and those costs quickly become monumental.
Salary costs will rise considerably in this employee-driven market. It is more beneficial to [retain your current talent](https://ifm.flagshipinc.com/4-strategies-to-retain-and-attract-top-talent), reward your employees, and encourage continual growth to help the company succeed.
Flagship's customizable approach to your facility's needs will help you incorporate solutions that will help you [stay open responsibly](https://flagshipinc.com/stay-open-post-pandemic-facilities-maintenance/) and protect the health and safety of your occupants during operations.
We have experienced and professional teams ready to assist your business with health and safety preparation, maintenance and facilities technology, as well as an assortment of other [integrated facilities management](https://flagshipinc.com/services/) solutions to meet your needs.
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The trend tends to go like this: Employee A leaves the team for a better job opportunity and increased compensation Team A takes on the work and stress of Employee A Team As manager works to fill Employee As position but since the employment market is employee-driven and more expensive, finding a good fit takes a long time Team A becomes stressed with the additional work Employee B leaves Team A for a new opportunity and less stress Team A becomes even more frustrated and stressed A replacement for Employee A is finally found – but due to the market, the new Employee A is paid at a much higher rate During casual conversations, some employees on Team A learn about the new higher salary for Employee A Now disgruntled and feeling taken advantage of, Employees C, D, and E all leave the team Now Team A and fellow teams are not able to produce like they were before – Teams B and C try and help, but similar situations are happening on those teams as well Production and profits fall, and customers are upset and look to your competitors Because of the profits falling, there is a hiring and promotion freeze More employees become disgruntled and leave, continuing the downward spiral Understanding Employees While there is a number of factors that lead to an individual seeking new employment, currently the number one reason is compensation. Many employees understood that there was a lot of uncertainty for business during the pandemic. They were willing to go with reduced, or even without raises and bonuses. According to the business, it helped save the jobs of fellow teammates and helped the business not go under. But its now been almost two years. And even though that uncertainty still looms overhead, employees have experienced surges in prices for rent and everyday goods. They have also watched how the business was operated. If sales decrease and profits fall, employees are trying to save themselves and leave a business that may not have a strong future. Why Employees Leave for Better Compensation Employees are told that The best way for an employee to get ahead is to actually quit their job and go to another company for compensation reasons, Brian Kropp, Vice President at research firm Gartner tells CNBC Make It. Companies are willing to pay about 15% more for new employees, but theyre only willing to give their current employees about a 2% or 3% annual raise, he explains, citing Gartners research. So, to get ahead financially, what a lot of employees have realized is that in todays tight labor market, the best thing to do is to go to another company to get more money rather than trying to get more money by staying at your current company. When employers continuously pay more for new employees rather than rewarding existing employees, employees get the message quickly. And with a current inflation rate at over five percent in the U.S., employers should find ways to not only help employees keep up with the current market but also show them that they are valuable and appreciated. Re-Recruit Your Staff One way to help overcome a companys previous stigma for paying more for new talent is to re-recruit current staff members. Create a job analysis with employees to showcase their responsibilities and duties Focus on the positive instead of the negative Have HR complete an external salary review of the position and its responsibilities Offer employees their current job (or a new title if necessary) at the new market rate This method can help employees understand that you are championing for them to ensure they are paid market value for their skills. They will feel more appreciated and valued for everything theyve accomplished. Review Your Budget Naturally, paying employees more will affect your salary budget. However, continuing to compensate higher for new employees rather than promote and distribute raises is likely to cost more in the long run. Hundreds of studies show that it costs two to three times of the current employees salary to find, recruit, hire, and train their replacement. And in the current market, it can be four to five times more expensive to fill a position. Lets analyze the numbers: With an average annual salary of $51,000, a typical new-employee salary increase of 15%, and average replacement costs of three times the salary, each employee that leaves will cost the company $160,000. Multiply that by 50, 100, or even 1,000 for each new employee, and those costs quickly become monumental. Salary costs will rise considerably in this employee-driven market. It is more beneficial to retain your current talent, reward your employees, and encourage continual growth to help the company succeed. Flagship's customizable approach to your facility's needs will help you incorporate solutions that will help you stay open responsibly and protect the health and safety of your occupants during operations. We have experienced and professional teams ready to assist your business with health and safety preparation, maintenance and facilities technology, as well as an assortment of other integrated facilities management solutions to meet your needs.",
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