Non-Financial Retention Tools

Pay is certainly a key element in employee retention; but more often than not, it is a “hygiene” factor – one that can be negative but does not have much positive effect. Non-hygiene factors that can have a positive effect on employee retention include the following:

• More flexibility: this can be in hours, work scheduling, ability to work at home periodically, etc.

• Public recognition: awards programs, company-wide recognition (via meetings, bulletins, monthly awards, etc. Could include recognition from other employees as well as managers/supervisors.

• Training opportunities: tuition reimbursement, on-site seminars, special conferences/courses, etc.

• Mentorship programs: seminars, individual meetings/lunch with senior managers/the CEO, etc.

• Exciting/Challenging Assignments: possible “stretch” assignments – IF they are interested, so it does not appear just to be additional work.

• Dedicated time for innovation: set aside time for high-performers to think of original projects (suggestion is around 20% of their time; Google Maps and Gmail both started in this way).

• Paid Volunteer Time: Fulfilling mentally and physically. Perhaps allow top talent to recommend beneficiary organizations.

• Experiential rewards: For larger budgets; better for measurable achievements (e.g., sales, etc.)

• Team celebrations: On-site or off-site informal gatherings for team-building.