Staying Ahead of the Great Resignation & Retirement: How Business Leaders Can Prepare for the Future

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The number of open positions is climbing, and the unemployment numbers are plummeting. Why? Because of two phenomena: the Great Resignation and Great Retirement. This shift in the employment market is causing many organizations to find themselves in the midst of an employment crisis.

Now more than ever, organization leaders are having to reevaluate the measures needed to retain valuable employees and prepare to fill gaps. Here are a few of the questions leaders should consider when planning for their organization’s future:

What team members are critical to your organization’s success? 

One of the best ways to strengthen your organization’s future success is to recognize team members that contribute to it and make sure you don’t lose them. Sit down and look at your team members, which team members are the ones you can’t lose?  

What should I do to keep critical team members?  

A great way to find out what it will take to retain a critical team member is to ask them what they need. Schedule a meeting with the employee to find out what they value and then think about how your organization can meet those values.  

Are any team members planning to retire in the next 2 years? Are they key leaders in the company? 

Most people over 58 have a planned retirement date. Do you know when your team members are planning to retire? If not, the first action should be to find out. It’s important to remain aware of your employees’ retirement plans so that you’re not caught off guard and can plan to fill their roles.  

If you do have any key leadership employees that are planning to retire, do you have a succession plan? A succession plan is a strategy for passing on leadership roles—often the ownership of a company—to an employee or group of employees. If not, now is the time to create one. When you are creating the succession plan, evaluate whether you can groom and promote an existing employee from within the company to fill their role or if you will have to bring on a new team member. If you can fill it internally, mark this person as someone that is critical to retain.  

What do we need to do in order to attract team members? 

According to a recent study, 81% of employees in the workforce are considering leaving their current jobs, which means they will be on the hunt for new ones. There are several factors that can influence a person’s decision to join a company. Here are a few of the most relevant right now:  

Work Location & Flexibility  

This is one of the biggest factors affecting the current employment climate. After a season of remote work during the lockdowns, employees don’t want to go back to the office full-time and value remote/hybrid jobs more. It could greatly benefit your organization to evaluate the feasibility of remote work versus hybrid work and in-office roles.  

Employee Benefits 

Employee benefits packages are the next greatest influencer for those in the job market. Start by evaluating the current benefit packages you offer and see if any areas could be improved to provide a greater incentive to work for you.  

Company Culture  

Company culture has become a driving force for employees to stay or leave positions in the current economic climate. In fact, 69% of employees said they would work harder if they were better appreciated at work. Employees also want a company culture that is authentic—meaning they practice what they preach. If a company says they value its employees but implements large layoffs, that’s inconsistent. As an organization, do everything you can to prioritize that authenticity.

Questions? 

Have questions about planning for your organization’s future? Our business advisory experts are here to help. Contact us.