It takes great employees to build an empire. Have you ever wondered why people start their careers and retire in the same company? It is because the company understands the unique ways to build employee loyalty.
What then is employee loyalty?
It’s the level of devotion your employees have for your company and their conviction that the company represents their best interest.
Loyal employees are invaluable assets in an organization. And their goal is to help your company reach its peak by working in the company’s best interest.
Of course, dedicated employees don’t just see their jobs as a means of living. They have a passion for building the company and are less likely to bail at the first glimpse of another opportunity.
Your loyal employees not only have a tremendous impact on your company’s growth, stability, and efficiency, they also decrease turnover and the inconveniences that come with it.
You’ll ask why it has become difficult to maintain employee loyalty? Well everyone is looking for a warmer place to nest their eggs these days. And employees are constantly searching for better opportunities elsewhere.
The recent economic downturn globally is not helping matters either; everyone is searching for a better chance to boost their career and financial well-being.
However, inspiring loyalty in your employees can be challenging. You have to put in the work and implement the necessary strategies to ensure a stable work environment.
If you can build employee loyalty, you may not have to worry about firing and hiring new employees or meeting production deadlines. So, discover the unique ways to build employee loyalty with these tips:
#1. Build Your Employee List Through Referrals
One of the best ways to build employee loyalty is hiring through referrals. First, create a friendly working environment where employees can be loyal to each other because they understand each other’s strengths.
Modern recruiting is no longer limited to placing ads and waiting for the perfect candidate. Instead, hiring managers now prefer to develop an employee referral program when hiring new employees.
An employee referral program is a program that allows your current employee to refer people in their network for an open position in your company. This not only gives your employees a voice during the hiring process, but it also helps to build loyalty as they would only recommend people they can work with.
Published data on Medium about employee referral statistics shows that 82% of employers prefer employee referrals over other sources of employee recruitment. That is because it generates a higher return on investment and reduces the turnover rate.
#2. Confidence in Leadership
Ownership or management of a company does not signify your leadership. Instead, it’s your confidence, expertise, and experience that positions you in a place of leadership among your employees.
One of the ways to build employee loyalty is through validated leadership. The 2003 Darwin Survey of mid-level management has revealed that confidence in leadership is a vital component of employee loyalty.
While business owners and managers are the overall authority over their employees, employees also want to be sure that the company knows what it’s doing and is trying to be the best in its field.
Your employees want to know that your company adds value to their careers. And you can make this happen when you build a reputation for expertise in your niche.
To develop your employee’s loyalty, ensure you exhaust every opportunity to become the best in your niche. When your company excels at every opportunity, then your employees become more enthusiastic about working for you.
#3. Invest In Your Employees
Inadequate resources and training remain one of the biggest sources of employee frustration. When you invest in your employee, you prepare them to meet goals and solve problems with the right equipment.
Remember that employee loyalty also includes the conviction that your company represents their best interest? Here’s a chance to prove it.
One of the ways to build employee loyalty is to show them that you care enough about them to invest in them. Boost their career development and expertise by providing education and training.
Start with basic training vital to their productivity and performance at work. Subsequently, you can invest in more challenging training courses as your employee’s experience increases.
#4. Employee Engagement
Half a century ago, the key to management and employment loyalty was delegation. However, it has evolved into empowerment over the past twenty-five years.
Today, engagement has become the key to building employee loyalty. These concepts fundamentally revolve around delegating decision-making responsibilities to your employees.
Companies that engage their employees and involve them in the decision-making process rather than giving orders have a 31% turnover rate.
Let your employees handle delegated responsibility without micromanaging them. And try to consider their inputs when making policies that affect them.
Building an authentic feedback loop is also part of employee engagement as it encourages open communication with your employees.
Get to know them by using analytical tools to measure their engagement, and keep your eyes and ears open. Additionally, watch who participates during training sessions and meetings. See who is the team player and who does most of the projects in each department.
When you understand your employees’ personalities and performance, you can give an unbiased view of how customers see your company. It will also help you evaluate your staff strength and productivity level.
The focus of employee engagement is to empower employees through delegation, ownership, and accountability. Once you can build a sense of ownership among your employees, it’s easy to sustain their loyalty to your company.
#5. Benefits and Rewards
Paying a salary on time is not the only determinant for building loyalty. The benefits you offer also matter. These benefits include employee stock ownership, health care coverage, and family vacation expenses. And they can go a long way to help you retain employee loyalty.
One of the ways to build employee loyalty is rewarding your employees appropriately. Of course, phenomenal employees deserve a reward.
However, you would be surprised at how little things such as celebrating work anniversaries in front of everyone motivates your employees. It shows that your company values long-term commitment.