Top 3 Hidden Reasons Your Employees Quit and How To Solve Them
November 7, 2023
by Matt Cromar
Many retailers wonder why the best team members suddenly decide to pack up and leave. Do people quit their jobs for higher pay, to move somewhere else, because of childcare issues, or for their mental health?
While those reasons are certainly valid, there are even more specific reasons people quit just beneath the surface. We’ll delve into these hidden reasons why people quit their jobs—flexibility (or lack thereof), insufficient recognition, and inadequate skills & training.
We won’t stop at identifying these culprits, though. We’ve got you covered with actionable solutions and tips to turn things around, boost your employee retention, and create an environment where your employees thrive.
Hidden Reasons Your Employees Quit: Key Insights
- Our industry research demonstrates that a large number of hourly employees are planning to quit their jobs in the next 12 months, with many of them thinking of leaving their industry entirely.
- The main reasons employees quit are due to a lack of flexibility, rewards and recognition, and proper training.
- WFM software, like Legion WFM, is the solution businesses need to help keep employees satisfied and, ideally, prevent them from leaving.
The Top 3 Hidden Reasons Why People Quit Their Jobs
A surprising stat shows that 62% of hourly workers plan to leave their jobs in the next year. What’s more shocking? About two-thirds of these job seekers intend to quit not just their jobs but also their industries, including retail employees.
Many people think employees leave jobs for additional pay, issues with management, or relocation. Those reasons could prove true, but we often overlook other significant reasons.
Based on our State of the Hourly Workforce Report, here are three lesser-known triggers that push hourly workers to quit:
- Lack of flexibility in scheduling and pay
- Not enough recognition and rewards
- Inadequate skills training and guidance
The key to keeping employees happy is understanding why they leave and implementing the solutions that could help you retain them. Let’s dive deeper into each point to discover why people quit their jobs in the first place.
Lack of Flexibility
A key reason people quit their jobs is that there isn’t enough leeway in their schedules or wages. It’s not just about having more time in their workday, but also finding a way to balance job and life duties. Finding a good work-life balance is difficult, but a flexible schedule makes it much more doable.
A flexible schedule allows workers to manage multiple jobs or family obligations more efficiently. They can decide when they want to work and how much they need to earn each week.
The rise of gig economy jobs and the demand for remote work highlights this trend—these roles often offer high levels of flexibility that traditional employment does not match up with yet.
Additionally, employees value flexibility in payment, such as direct deposit or instant payment. Who doesn’t want more financial stability and less stress regarding money? If their current job doesn’t offer that, they may decide to move on.
Lack of Recognition and Rewards
Employees are also likely to quit if there’s a lack of recognition for good employees. When hard work goes unnoticed, it can leave workers feeling disrespected or unappreciated.
Rewards are crucial to employee satisfaction and a positive company culture for your team members. Without rewards for their efforts, staff can feel undervalued and unmotivated to perform at their best.
Managers should make an effort to recognize and reward their team members. This doesn’t always mean monetary incentives—even small gestures like an ‘Employee of the Month’ award or public praise can go a long way in boosting morale and employee engagement.
Lack of Skills & Training
Another of the main reasons employees quit is that they feel unprepared for their roles. Trying to do a good job without expertise and instruction is like being asked to cook without access to a stove: it’s frustrating. It’s not too surprising that employees leave their jobs if they haven’t been properly trained.
The fix isn’t complicated—invest in your team. When managers prioritize employee development through effective training programs, everyone benefits. Workers feel more competent and confident, which boosts morale and increases productivity.
A little investment goes a long way in employee retention. Remember that well-trained employees are satisfied, so ensure your staff has the tools they need to succeed at work.
What Can Companies Do to Keep Employees From Leaving?
Employees need more than just a paycheck. They crave recognition, flexibility, and opportunities for growth. So, how can companies meet these needs? Start by providing flexible work schedules and payment options. Allow staff to have power over their time and money so they can keep a healthy work-life balance.
Employers should also have a plan to reward hard work. Regular feedback and recognition make employees feel valued and appreciated in their roles which will likely increase their job satisfaction.
Finally, invest in your team’s development with ongoing learning opportunities. Everyone wants to feel like they know what they’re doing at their job. This also helps them improve and learn new skills that could perhaps lead to career advancement within the company someday.
If all of this sounds daunting, don’t fret. Now that you know why people quit their jobs and what to do about it, it’s time to put it into practice. Legion’s WFM software makes managing schedules, providing feedback, and tracking employee performance easy.
AI Helps Companies Retain Employees
Thanks to AI, companies can more easily offer flexible work schedules and payment options. Legion’s WFM software lets managers design adaptable shifts that meet employees’ skills and needs. And Legion InstantPay enables employers to pay their frontline employees more frequently than a standard biweekly paycheck.
AI-powered WFM also makes it easier to give employees the recognition they deserve. Legion WFM’s Performance and Rewards product enables managers to gain insights into employee performance and provide timely feedback and rewards to hard-working staff members. These data-driven findings also help guide necessary training adjustments so your team stays satisfied and skilled at their roles.
Communicating early and often with employees can be a key differentiator in keeping hourly employees engaged. Managers who use modern communications tools, such as Legion WFM’s Frontline Communications, that incorporate AI are better able to reach employees when schedules change or new shifts become available for team members. With 43% of hourly workers citing lack of control over their schedule as a challenging part of their job, managers need all the help they can get to keep their teams up to speed.
Take Care of Good Employees to Get Them to Stay
If you’re a retailer wondering why people quit their jobs, the next question is, “How can we keep our best people?” It’s simple: take care of their needs. This doesn’t just mean competitive pay or nice perks, but respecting and understanding their personal lives.
The need for flexibility, recognition, and training is very real and more important than many businesses may realize.
The bottom line: Proactively address your team’s needs with effective solutions like Legion WFM’s software . Retention is all about keeping the employees’ needs front and center. To learn more, schedule a demo of Legion WFM today.