SMEs Failing to Conduct Employee Exit Interviews
Small Businesses are suffering because they are failing to carry out employee exit interviews with departing staff, recruitment outsourcing firm PPS has warned.
PPS managing director, Amanda Marques, said their research showed there was a “feedback vacuum” where employees are leaving jobs without businesses finding out why.
“It’s costing firms millions by greatly affecting productivity,”
“The CIPD recruitment survey in 2009 found that the average cost of recruitment is £6,000 per employee. Considering employees are the lifeblood and the biggest expense in the majority of organisations, finding out what they are thinking and keeping them happy has never been so important. Employers who keep their staff onside are always the most successful.”
Chartered Institute of Personnel and Development (CIPD) adviser, Claire McCartney, said:
“Exit interviews can be very valuable for small firms as long as they are done correctly. They can’t afford to lose people who they have already invested a lot of money in.”
“However, employers should also carry out regular performance reviews. If they do that, then some of the issues may arise earlier and staff may not end up leaving. It’s also important that the management act on the information from exit interviews.”
The research from PPS also highlighted that eight out of ten staff who leave their jobs do so because of dissatisfaction with their employer. Amanda Marques added:
“It means the disruption to organisations in the vast majority of cases is totally avoidable. As the economy recovers, talented people who feel they are not being given the correct channels for their skills will certainly jump ship in greater numbers.”