The recruitment process can be exhausting, time-intensive and frustrating — not to mention costly. In an ideal world, we’d avoid it altogether, simply retaining our valued employees, ensuring they were happy, engaged and motivated every day of their worklife. But to keep voluntary turnover rates low and in order to improve employee retention, a lot needs to go well. You need a solid plan in place to keep employees driven and loyal.
As we look ahead to 2025, we want to share 15 proven strategies that can help organisations improve employee retention, backed by relevant facts, insights and, of course, our extensive benchmark data.
But first – here’s a fun ten-question employee retention quiz that will help to give you an idea as to how well you’re doing and where you could improve.
One of the most impactful ways to enhance employee retention is by giving employees autonomy in their roles, along with the flexibility to work when and where they feel most productive and comfortable.
Employees like to feel trusted and respected. When you give employees the freedom to work in a way that suits them, you clearly demonstrate that trust and respect. This can include remote or hybrid working, of course, but it’s not all about where employees work — how you let them work factors in, too. Micromanagers can really kill engagement, as can managers who instil a ‘my way or the highway’ mentality. Employees who feel constantly monitored are understandably more likely to look for opportunities elsewhere. Thankfully, our benchmark data paints a pretty picture in this area, with 82% of employees across sectors stating that they have the freedom they need to get on with their jobs in their own way.
When it comes to promoting long-term employee retention, supporting employees’ mental, physical and emotional health should be top of your list. The World Health Organisation (WHO) reports that workplace stress costs the global economy $1 trillion annually in lost productivity. Our own data shows that across sectors, 35% of employees feel their company isn’t doing enough to support their health and wellbeing at work, which indicates there is still work to be done.
In 2025, more organisations will need to take holistic approaches to wellness, integrating mental health days, therapy support, gym memberships and meditation programmes.
A case in point is Unilever’s holistic wellness initiative, which provides resources ranging from physical fitness to mental health counselling. By addressing both the physical and emotional needs of employees, the company has seen enhanced engagement and reduced staff turnover.
Read more: Trends in employee wellbeing for 2025
When it comes to employee turnover, burnout is a real killer. Put simply, employees who feel consistently overworked are more likely to quit. Today, only 64% of employees feel they can comfortably cope with their workload, and 68% feel they are able to strike a healthy balance between work and home life. While we’re heading in the right direction, more still needs to be done. In 2025, smart businesses will focus on preventing burnout by promoting work-life balance and managing workloads effectively.
Implementing strategies like structured workload management, regular breaks and encouraging time off can go a long way to introducing more balance.By implementing manageable workloads, companies like Microsoft have seen a decrease in burnout. Microsoft’s adoption of a four-day workweek in Japan resulted in a 40% productivity boost, demonstrating that reducing employee stress can lead to both improved performance and retention.
Related: How to spot stress in the workplace
If you want to create an environment and company culture your employees love, you need to understand how your employees feel about their workplace. You need to ask them for their insights and you need to know your company’s strengths and areas for improvement. This is where listening strategies and tools such as employee surveys come in. Surveys give employees a voice in shaping the company’s future and listening to feedback can create a sense of belonging and increasing loyalty, thereby reducing turnover rates.
We know that employees who feel stagnant in their roles are more likely to leave. Providing ongoing training and development opportunities ensures that your workforce remains engaged, motivated and upskilled, making them less likely to seek growth elsewhere. Our data shows 32% of employees don’t feel they are getting the appropriate training and development to do their jobs well.
According to a LinkedIn report, 94% of employees say they would stay at a company longer if it invested in their career development. Amazon, for instance, offers employees a programme called ‘Career Choice’, which pre-pays tuition for courses in high-demand fields. This investment in professional growth not only equips employees with new skills but also creates a sense of loyalty to the company.
Poor communication is often cited as a major cause of disengagement at work. Effective company-wide communication ensures employees feel connected to the organisation’s goals and values, reducing the risk of feeling isolated or misinformed. Organisations that prioritise open communication see higher engagement and retention rates. Despite this, communication appears to be a struggle for many businesses across sectors, with only 41% of employees thinking that communication is good across different teams within their company.
Companies like Zoom have embraced transparent communication, using frequent all-hands meetings and internal communications platforms to make sure everyone is on the same page. This openness leads to better alignment across teams and improves employee trust in leadership.
Building strong team relationships is incredibly important for employee retention. Encouraging collaboration through projects, team-building activities and social events helps employees feel part of a supportive community.
Companies like HubSpot host regular ‘team fun’ days where employees participate in events from board games to outdoor adventures. These activities create a real sense of belonging, reduce stress and strengthen workplace relationships, all of which contribute to long-term retention.
If you want to keep your employees around, and you want them to be engaged and productive, you need to give them the right tools and resources to do their jobs well. If employees constantly struggle with outdated equipment or inadequate software, frustration can quickly lead to disengagement and. ultimately, increased turnover.
Companies like Facebook are known for offering state-of-the-art resources to ensure their teams can work effectively. By equipping employees with cutting-edge technology, Facebook boosts employee performance while reducing frustration, leading to higher overall levels of employee retention.
Employees are more likely to remain at companies where leadership is accessible and transparent. When senior leaders are visible and approachable, employees feel more connected to the organisation’s mission and values. When senior leaders take the time to engage with employees, they show that the workforce is valued at all levels of the organisation.
A study by Glassdoor found that CEOs with high approval ratings typically lead companies with higher employee retention rates. As an example of great leadership, Salesforce CEO Marc Benioff is known for his open-door policy and regular interaction with employees at all levels. This visibility has built a culture of trust and transparency, which is/ key when it comes to retaining top talent.
Related: The Goleman leadership styles; which one suits you? (+ quiz)
A clear company vision gives employees a sense of purpose. Your team members want to know that their efforts matter; that they contribute to a bigger mission. When employees understand and align with the company’s vision, they are more likely to stay long term. Take the time to not only communicate your company’s mission to your employees, but also to help employees understand how their individual roles make a real difference to the mission and direction of the business.
Regular feedback helps employees grow in their roles and understand where they stand. It provides a platform for continuous improvement and reassures employees that their contributions are noticed.
Companies like Adobe have replaced the traditional annual review with continuous feedback systems, improving communication between managers and employees. This real-time feedback has led to greater employee engagement and, ultimately, improved retention.
Discrimination and inequality can quickly drive employees away from an organisation. What’s more, a report by McKinsey highlighted that companies with greater diversity are 33% more likely to outperform competitors. Companies like Accenture, which has robust diversity and inclusion programmes, have seen significant benefits in retention, as employees feel respected and valued regardless of their background.
Watch our webinar: How to develop your Diversity and Inclusion strategy
Recognition is one of the simplest yet most effective ways to improve employee retention. Employees who feel appreciated for their hard work are more likely to stay committed to their roles. And something as small as a quick ‘thank you’ can make all the difference.
In a study by OC Tanner, 79% of employees who quit their jobs cited a lack of appreciation as a key factor. Companies like Zappos have mastered the art of recognition, incorporating frequent praise and rewards into their culture, which has led to low turnover rates and high employee engagement. This just goes to show not all rewards have to come at a real cost — there are some really effective non-financial employee rewards you can use.
Though we all like to be comfortable at work — we don’t want to be too comfortable. That is, we want to be stretched and challenged. We want to be given opportunities to develop our skills and advance our knowledge and abilities — this is a great way of boosting employee retention at any company.
When employees are given tasks that push them slightly beyond their comfort zone, it encourages personal and professional growth, giving them a deep sense of satisfaction and achievement. The key, however, is to assign challenges that are within their capabilities, so they remain motivated rather than overwhelmed.
Finally, and unsurprisingly, compensation plays a significant role in retention. Offering competitive salaries and comprehensive benefits packages is key to not only attracting, but retaining, top talent. It’s worth taking time to look at the salaries paid to your employees to ensure they’re competitive. But you should also be checking out the benefits you offer — are they things your employees care about, or are they largely unused? What could you be offering that would actually make a difference to their employee experience?
In 2025, employee retention will hinge on a company’s ability to create a supportive, flexible and growth-oriented environment. From providing autonomy to ensuring effective communication, organisations must take deliberate steps to keep employees engaged, content and healthy. Companies that embrace these strategies will not only reduce turnover but also create workplaces that employees are excited to turn up to every morning.
To boost employee retention, you first need to understand how your employees feel about your organisation. To truly understand employee experience at your company, get in touch today for an employee engagement survey.
