With unemployment rates at a record low, and lack of the Millennial Employee mindset, the problems for small businesses are on the rise as they struggle to find, hire and retain valuable employees. For small businesses, finding small workers is already an issue, owing to the fact that a large majority prefer bigger employers that offer more salary, better growth opportunities and more benefits. What adds to this is that Millennial look upon first jobs as just ‘stepping stones’ for finding jobs in other companies, rather than the first step of their career in the same business/organization.
As per a survey, numerous employers have experienced the negative implications of this frequent job-hopping scenario of the employees. Over 34% of the employers have stated that a significant impact of job hopping is a reduction of morale in their current staff, while 22% also said that job hopping has serious implications towards their clients and customers.
53% of the Millennial who participated in the survey reported that they have held at least 3 jobs, with 33% of them planning to stay in their current employment for 3-5 years and 20% planning to leave within 1 to 2 years. Over 74% of the current Millennial employees are actively searching for new jobs, and 69% stated that looking for new employers is something that they do in their everyday routines.
Moving on to reasons of leaving current employers, 37% stated that they would be pursuing entirely different lines or career paths, while 25% would leave to join a competitor, 22% would change for relocating to a different city and 11% were switching to locate to a city with their significant others. Interestingly, 5% also said that they would be leaving to get some time for personal travel.
As per the statement issued by BrinMcCagg, who is the CEO & Co-Founder of RecruitFi, the Millennial generation is at the front of every hiring and recruiting decision. The survey took a dive into the major drivers of their career decisions, and illustrated how it is important more than ever for organizations to adopt a better strategy towards talent management and HR.
Millennial respondents, when asked about the factors that would encourage them to stay with their current jobs, stated things like an improve communication around their future and job expectations, financial and healthcare planning options, better work life balance and flexibility, more bonuses and compensation along with mentorship avenues. Obviously, large companies have the resources and position to provide these Employee Benefits for Millennial. It is the smaller employer who is at a loss, for many such expectations are not within their reach.
In the recent study “2015 Jobvite Job Seeker Study” which was released by Jobvite, it was found that the average employment tenure across organizations was 3.75 years in the year 1990, which came down to 2.25 in 2015. It is even lower in certain industries and sectors- 1.97 years for sales, 1.78 in IT and 1.54 for marketing.
Thus, for companies and businesses all over the United States, just the brand name is not enough- retaining employees will also require them to provide more opportunities, benefits and a better employee-employer interaction. Unless business owners realize this quickly, they will loose in the game of business.