3 Key Strategies to Improve Retention of Millennial Workers

The future is at hand and we already have generation Y in the workforce now. In fact, by 2020, a majority of the workforce will be the millennials. According to PwC’s Global Generational Study, this younger generation is versatile, tech-savvy, and creative. It is easy to view them as restless but with their unique qualities, they join the workforce with unique expectations.

For the older generation, a company that promised steady upward career progression, a fair compensation, potential financial security, and a prestigious title would be sure to attract and retain the best talent. However, things have changed and millennial workers have different demands and expectations. So, for an employer to attract and keep them working in their company, they need to make sure they are living up to these expectations.

For the older generation, a company that promised steady upward career progression, a fair compensation, potential financial security, and a prestigious title would be sure to attract and retain the best talent. However, things have changed and millennial workers have different demands and expectations. So, for an employer to attract and keep them working in their company, they need to make sure they are living up to these expectations.

What are millennial workers looking for?

1. Training and Mentorship

Based on a 2014 survey by The Hartford, 82% of millennials consider themselves leaders in different capacities. When asked where they lead, 61% said they are leaders among family and friends, 46% in their hobbies, 34% lead in business and workplace while 33% at school. Most importantly, 73% aspire to be future leaders in all the above areas.

Clearly, any aspiring leader yearns for training and mentorship to sharpen their leadership skills. The younger generation is also willing to learn new skills that could improve their stakes in the marketplace. These are go-getters who prefer a progressive work opportunity. Besides, these are people who have grown up in the age of information. They can easily access the information they need to achieve their personal and professional goals.

Now, here is the beauty of training at work. A worker may not see themselves as a future leader, but training can help them to begin valuing their job. It gives them an opportunity for career growth – another important factor influencing millennial employee retention.

2. Performance-Based Compensation & Benefits

Gone is the era where appraisals were based on the time spent in a company or who you know in the business. According to a 2014 Talent Trends report by LinkedIn, better compensation and benefits are among the top motivators in job selection for all generation groups. However, millennial employees have an interesting view of how a good compensation should look like. Based on The Hartford survey mentioned earlier, the younger generation wants their compensation evaluated at least twice in a year and pay raise done according to their performance.

3. A Business Model that Attracts Them

The Y generation seeks to be in charge of their work and life. This is why most of them prefer flexible jobs that will accord them the balance they so yearn for. Think of business models that allow employees to work from anywhere without the need for commuting every day. Another welcome idea is to have flexible work hours as long as workers reach the agreed targets.

Conclusion

Your business invests time and money in finding a suitable employee. You don’t want them to leave before they realize their professional potential. As your business ushers in millennial workers, prepare for them by implementing flexible work schedules as well as flexible compensation and reward programs. This way, you can improve their productivity and the chances of retaining them.