The Cost of Turnover: Retain Employees with a PEO Partnership

Small- to medium-sized businesses can struggle to recruit and retain skilled employees. The cycle of recruiting, training, and then replacing employees takes a toll on the bottom line.PEMCO-Employee-Loyalty-sm.jpg

Turnover has a very real price. The Society of Human Resource Management estimates that average costs of replacing a full-time employee has grown to $4,129 in the U.S. There is help, though. Partnering with a professional employer organization (PEO) can provide the tools to help reduce turnover in your company.

The advantage of offering benefits

Looking for ways to retain employees? According to the 2016 Health and Voluntary Workplace Benefits Survey by the Employee Benefit Research Institute, offering health insurance is one of the best ways to entice employees to stay on the job:

Workers overwhelmingly consider health insurance to be the most important workplace benefit when considering whether to stay in a current job or choose a new job. Nearly two-thirds (64 percent) say this benefit is extremely important, while an additional 23 percent consider it to be very important.

Right now, you might feel your small- to medium-sized business is priced out of offering adequate health insurance for your employees, but that’s where partnering with Progressive Employer Management Company (PEMCO) can help. Our buying power means your company can access more competitive premiums. PEMCO’s experts can also help with plan design and administration.

Recruiting needs

Recruiting is the other side of the equation. Outsourcing recruitment services to PEMCO can help reduce the costs of finding quality employees. Our experts can help your business meet its recruitment goals by concentrating on finding untapped pools of applicants. Right now, that’s on social media — 44 percent of job referrals come from social professional networks, according to a 2016 report by LinkedIn, and that number is growing. PEMCO’s specialized HR services can make recruiting much more effective.

If you are interested in learning about how partnering with Progressive Employer Management Company can help your company meet its recruiting and retention goals, contact us today.