During tough economic times employers tend to become complacent thinking they have the upper hand and that performing employees are happy as long as they have a job. This assumption can be dangerous. Research shows that as consumer confidence builds and unemployment rates fall, staff turnover increases. In this climate managers have to find ways to keep top performers even though the company may not be performing at its best. To keep top performers, managers have to discover what benefits they value the most. There are numerous ways to reward top performers besides monetary incentives.
In a Time.com article, Lisa Cullen states five main reasons why people change jobs:
- Downsize or restructuring
- Looking for new challenges or opportunities
- Ineffective leadership
- Poor relationship with manager
- Improve work/life balance
Most of these reasons relate to work satisfaction and not monetary reward – something every business can provide. Below are some cost-effective tips for rewarding and retaining top performers:
Praise achievement
This is an inexpensive and often overlooked people management tool. Praise demonstrates to top performers how much you value them. Make sure the praise is for a legitimate achievement and not just for doing their job.
Assign challenging projects
To keep top achievers engaged and motivated give them the opportunity to head new projects. This will provide them with the opportunity to develop skills and shine. Solo projects demonstrate your confidence in the top performer’s ability and competence.
Offer development opportunities
Create an internal development or mentoring programme where you can use the skills of senior staff with similar backgrounds or career interest to grow your top performers.
Offer non-monetary rewards
There are numerous rewards that are effective yet cost little:
- workplace flexibility (especially for young families)
- greater work-life balance
- more autonomy
Communicate more effectively
Communication with top performing staff is important especially in uncertain times when staff anxiety is high. Be transparent about your company situation and look towards the future. This has been a significant catalyst for the Total Recruitment Group (TRG). Open communication helped TRG push through difficult times – while being realistic about the current situation TRG has a long term strategy in place giving top performing staff the reassurance TRG has challenges and goals for them to reach.
Create a strong culture
A strong culture is important for retaining high performing staff. You need to be committed to creating a culture that reinforces company values in good and bad times. Examples include employee assistance programmes to help staff cope with stress and reducing the working hour week to lower expenses and avoid layoffs. Although a culture is sometimes difficult to control, managers have to lead by example in their interaction with top performers.