High employee turnover can be one of the more expensive challenges to organizations. Left unresolved, it can negatively affect a business’ bottom line. (A “silent profit killer”- so to speak.) Experts estimate it can cost as much as 
twice an employees salary to find and train a replacement. Not only can it cost companies in training and replacement costs, it can result in lost productivity as well.
What are some ways to lower turnover in the workplace? Here are a few suggestions:
Recruitment- Hiring the right people from the start is the single best way to reduce employee turnover. Screen and interview candidates carefully, not just to ensure they have the right skills but also that they fit well with the company culture and co-workers.
Compensation- Setting the right compensation and benefits package is important. Don’t pay your employees a lower salary than what is appropriate for the type of work that they perform. Review compensation and benefits packages at least annually. Pay attention to trends in the marketplace.
Feedback- To produce a high-performing employee, it is important to give the employee clear and direct feedback on their work and to offer constructive criticism.
Recognition- Recognizing employees with some type of award such as "Employee of the Month" can go a long way towards reducing turnover and increasing overall job satisfaction. Awards, recognition and praise are a cost effective way to maintain a happy, productive work force.
Work life Balance - Work life balance is critical to employee retention strategies. Pay attention to employees’ personal needs and offer flexibility where you can. Consider offering telecommuting, compressed schedules or on-site or back-up day care.
Career Path - Outline challenging, clear career paths. Employees want to know their growth potential and how they can get there. Annual reviews, midyear check-ins, as well as encouragement to ask career questions are all important.
In today’s economy, businesses not only compete for customers, but also for top talent. Evaluate your company against competitors regularly. If you consistently lose key employees and see a trend in their reasons for leaving, you may need to adjust your salary and practices to be more competitive in the marketplace.