Retention is a top concern for most organisations as they struggle to keep their best talent as retaining top talent is crucial for organisational success. Companies invest significant resources in recruiting and onboarding employees, but often overlook the importance of keeping existing talent engaged and satisfied. As companies look for ways to get ahead of attrition and retain talent, stay interviews have emerged as a valuable strategy. Employee retention is a real concern for many companies and studies by Gallup have revealed that 40% of employees are considering quitting their current job in the next three to six months and it takes 44 days and two times an employee’s annual salary to replace a single employee.
Stay Interviews equip leaders to have transparent conversations around employee motivation, improvement and change where they can assess engagement and well-being, support succession planning and increase retention while building trust with employees. Rather than waiting until the exit interview to understand what a valuable colleague was struggling with, stay interviews empower managers to build trust and get ahead of disengagement by understanding the person’s strongest felt need. One effective tool for achieving this is the stay interview—a proactive approach to understanding and addressing the needs of employees to ensure they remain committed and motivated.
What are Stay Interviews?
Stay interviews are structured conversations between employees and their managers aimed at identifying factors that contribute to job satisfaction and, conversely, potential reasons for dissatisfaction. Unlike exit interviews, which are conducted when an employee decides to leave, stay interviews are conducted while the employee is still with the organisation. These interviews are not performance appraisals and should be carried out separately. The primary goal is to gather insights into what makes employees stay and what improvements can be made to enhance their work experience.
When it comes to motivation, it is critical to understand and address someone’s key motivators to enable their best performance. Stay interviews provide opportunities to share these without judgment, then build responsibilities around them. They serve as a powerful way to retain valuable employees and equip them to thrive in your organisation.
Stay interviews should be led by the employee’s direct manager. This helps cultivate a strong relationship founded on trust and open communication and an employee’s relationship with their manager significantly influences their decision to stay.
Key Benefits of Stay Interviews
Employee Retention: The most obvious benefit of stay interviews is their impact on employee retention. By proactively addressing concerns and recognizing achievements, organisations can create a positive work environment that encourages employees to stay and grow within the company.
Increased Job Satisfaction: Stay interviews provide a platform for employees to express their thoughts, concerns, and aspirations. By addressing these issues, organizations can enhance job satisfaction, leading to higher levels of motivation and productivity.
Identifying Engagement Drivers: Understanding the factors that drive employee engagement is essential for creating a workplace that fosters commitment and passion. Stay interviews help identify these drivers, which can vary from flexible work arrangements to opportunities for professional development.
Tailored Employee Development: Stay interviews provide valuable insights into an employee's career goals and ambitions. This information can be used to tailor development plans, ensuring that employees feel supported and are given opportunities to advance their skills and careers within the organisation.
Regular Communication: Regular communication is vital for maintaining a healthy employer-employee relationship. Stay interviews create an open dialogue between employees and managers, fostering a culture of transparency and trust.
Organisations should support their managers to train them on how to carry out a stay interview. The quality of the interview is of utmost importance as the stay interview is a great way to make employees feel like they matter. They want to be seen, heard and valued.
Stay interviews are a powerful tool for organisations looking to promote employee engagement and retention. By proactively addressing concerns and recognising achievements, organisations can create a positive and supportive work environment that encourages employees to stay and contribute to the organisation's success. Incorporating stay interviews into regular leadership practices can lead to increased job satisfaction, improved communication, and a more motivated and productive workforce. Ultimately, investing in stay interviews is an investment in the long-term success and sustainability of any organisation.
Konrad Cassar Naudi is a training and management consultant. He recently returned to Malta after 38 years abroad occupying different management positions in UK, France, Ireland, Switzerland and Sweden. Konrad has also worked as a management consultant in Sweden with global clients amongst others Volvo Car Corporation and Sonoco and as a lecturer and examiner in Business Management Programmes at two Swedish universities. Konrad studied Business Management at Glion Institute of Higher Education in Switzerland and Digital Leadership from Boston University.