Retention Continues to be a Management Issue not a Human Resource Issue

My “client” has a high end greenhouse operation. They hired a young lady “employee” on a part time at minimum wage. The employee had lost her job, was a single mom, homeowner and been in the community for several years. She took the job out of desperation, to feed her family. The client loved her work ethics, on time always there reporting, and first to offer to help. The employee was on a hunt for a full time job and met with the client owners, explaining her dilemma. The employee explained that she really loved working there. She enjoyed the co-workers, good working environment and was very comfortable but just couldn’t make ends meet.

So the client said, let us think about it and we’ll give you an answer tomorrow. Tomorrow came and they offered her full time work, and a whopping .25 per hour raise. TWO WHOLE DOLLARS PER DAY!

3 days later the employee gave a two week notice as she had interviewed and was offered an administrative position for $3.50 more per hour. The client responded by saying they would match it if she would stay, but the die had been cast and she turned them down. One well trained good worker gone and it didn’t have to be.

In discussing this with the client they revealed to me that they pay a temp agency almost $13.00 per hour for untrained help for a day or two of “warm body” work. I asked if they didn’t see the error in their judgment. Their turnover rate is very high, they don’t keep but a very few employees as core employees. The cost of training and retraining far outweighs the value of paying people a fair wage for a fair days work.

I asked, “…if you were willing to match the offer, why didn’t you just make it in the first place?” Answer, “…because we thought she’d stay and we’d save the money.”

This scenario plays itself out all over the United States in the workforce. From a financial standpoint this position is truly illogical. From a moral standpoint, it’s deplorable. And from a morale and retention standpoint, it’s the kiss of death.

Retention continues to be a management issue.

Call or write, I can help; Regards, George F. Mancuso CEO, CPC