The U.S. job market has recently undergone mixed trends. The “great resignation” of 2021 and 2022 elevated voluntary departures and then morphed into what some labor economists call the “great stay,” a job market with low levels of hiring, quits and layoffs. In this current state where it’s harsher than historical standards, people feel stuck where they are even if they want to move somewhere else.
Companies have been aware, as the recent LinkedIn Learning report found that 90% of organizations were worried about employee retention. Employees seek motivation to stay at their current company, but the uncertainties (security and stability) appear to push them away rather than keep them close.
The key to employee retention is engagement. Companies can build the foundation for a shift from a great resignation to a big stay with three actions: investing in learning and development, changing workplace culture, and being career champions.
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Learning Journeys
The modern employee is hyper-focused on career advancement. Learning and development is no longer a nice-to-have but rather a must-have from employers. When creating a development program, the first step is to consider your employees or learners. This means working with employees to lay out expectations for career development and providing the materials they need to grow.
Employee engagement hit 31% in 2024, an all-time low in the U.S. Even more, the correlation between engagement and development is undeniable – only 30% of employees believe that someone at their job encourages their development.
It’s important for organizations to recognize the benefits of investing in the growth and development of their employees. When prioritized, learning and development (L&D) programs can increase motivation and engagement from their teams, which translates into better productivity and performance. Time and again, development programs are proven to retain employees, reduce turnover, and help to accomplish business goals.
Trainings and Workplace Culture
On top of addressing employee engagement, it’s critical to have leadership bought in and setting the tone for the workplace culture. Studies show a strong learning culture leads to 57% more retention.
Companies have a responsibility to facilitate the development and growth of their employees as they continue to gain experience in their roles. Employees, in turn, are eager to enhance their skill sets. An employer of choice distinguishes itself by providing employees with the necessary tools to meet expectations and sustain progress in upskilling.
The most effective approach to achieving this is through learning that is tailored to fit the specific skillset and needs of each employee, focusing on the progression of those skills and offering actionable feedback.
There is a substantial demand for such L&D opportunities, as many employees now regard these opportunities not as privileges but as fundamental rights of employment. Employees seek programs that provide clear milestones, allowing them to visualize and feel the accomplishment of advancing their development. Offering a standout L&D program is crucial for both company success and employee satisfaction and should therefore be a primary focus for any reputable organization.
Guidance from Career Champions
Leaders have a dual responsibility to both their organizations and their employees: not only to retain top talent but to also foster an environment where skills and knowledge transfer easily. By facilitating the movement of people and their expertise, leaders can reduce the stress of quitting, while simultaneously empower their employees to commit and pursue new opportunities at the company. According to LinkedIn’s Rise of Career Champions Report, 47% say they’re working more closely with talent acquisition teams this year compared with 36% for non-champions, and 55% of champions collaborate with talent management compared to 45% of non-champions.
Raising the bar for learning outcomes requires closer collaboration and alignment with the overall business strategy. By ensuring that L&D initiatives are directly tied to the organization’s goals, leaders can be more impactful with guidance and customer satisfaction. This alignment helps in identifying the critical skills and competencies needed to drive business success, allowing L&D teams to focus on developing these areas.
Communication between L&D and other departments fosters a deeper understanding of the challenges and opportunities within the business, enabling the creation of targeted learning solutions that address specific needs. Organizations can enhance employee performance and boost engagement to stay and work with purpose and ultimately achieve better business outcomes.
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