Staff retention would be less of an issue for the North East technology sector if the only things that mattered for keeping good staff were high salaries, state of the art equipment, and perks like gym membership and free MacBooks for staff members. Of course, even when everything falls perfectly into line, and you’ve sweated blood to create the perfect workplace, even your best and brightest developers will move on from time to time. While that shouldn’t stop you striving to make your company the best place to work in the whole of the North East, there are a few hard truths about staff retention that we think you should know.
It doesn’t matter whether you’re a great boss or an evil one.
A recent article in the Harvard Business Review made the point, and this is especially accurate in the digital tech sector, that employees leave at just the same rate whether they have a good boss or a bad one. This does not give you licence to treat your employees badly, of course. It’s important, however, to remember why this is the case.
Good managers support their developers, offer opportunities for them to grow into challenges and learn new, emerging or valuable technologies such as PHP or .NET. All of this makes them more valuable to your business, but also to your competitors. Not only that, but it also gives them the confidence to put themselves out there and look for their next big break, outside the safety net of their current company.
Hiring developers is hideously expensive
There are many things you can do to keep the costs down, such as using one of the North East’s leading tech recruitment companies. Yet however hard you try, hiring developers in Newcastle is going to eat into your bottom line. Recruitment costs alone often total some 1.5 to 2 times the salary of a developer. If that’s not enough to make your eyes water, remember that you also need to factor in the costs of on-boarding, training, interviewing and all of the other sundries involved in the hiring process.
If employee retention is not high on your list of priorities, and you’re constantly having to hire new staff to replace disgruntled developers, it’s easy to see how these costs can quickly become a real burden for your business.
Staff retention should always be on your mind
Offering the best in your company canteen is a good place to start, but it’s not going to be enough by itself. When a competitor comes knocking at the door of your star .NET developer you’ll be glad about all that time, effort and money that you invested in staff retention.