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5 HR Dangers Every Company Faces and How to Deal with Them

Following are 5 people-related issues that some organizations can negatively impact your business.

1. Not Realizing the High Cost of Turnover and Working to Address It

According to most sources, turnover costs ½ to 4 times an employee’s annual salary. If you can even save a few employees from leaving the organization, there would be a financial benefit to working to improve your work culture.

A few suggested strategies:

*Conduct Stay Interviews – Read this blog post for more information.

*Identify and address employee pain points – Identify employee pain points by gathering their feedback and put a plan in place to address their concerns to elevate engagement and decrease turnover.

2. Not Know About or Addressing Bad Managers

Managers include 70% of an employee’s motivation and are the #1 reason that they leave.

A few suggested strategies:

*Leadership development opportunities – Offer Leadership Development opportunities such as training, coaching and mentoring to elevate their performance. Check out our FREE upcoming webinar to learn about 7 areas to consider developing your managers to maximize retention.

*Make difficult decisions when necessary - If they don’t improve after being provided development opportunities, move them out!

3. Not Managing Disengaged Employees Up or Out

Gallup estimates that 17% of employees in most organizations are actively disengaged, meaning they undermine what their engaged coworkers accomplish and can infect up to 7 other people.

A few suggested strategies:

*Hold employees accountable using the 5 C’s – Clarity, Collaboration, Courage, Consistency & Correction.

*Set and reinforce team ground rules – Have the team set ground rules on how they will interact which will help with team accountability.

4. Not Focusing on Compliance

Lack of compliance can cost your organization a lot of money in regulatory violations and lawsuits. Here are some of the HR compliance issues to consider:

• Employment laws that apply to your organization

• Background check process and documentation

• Posters

• Personnel files

• I-9 forms

• Payroll


• Records retention

• Benefits compliance by company size

• OSHA and other Safety requirements

Suggested strategy:

*An HR Audit – An HR Audit is a form of risk management to identify areas or processes that need to be corrected to be legally compliant and protect the safety and engagement of employees.

5. Not Dealing with Employee Stress and Burnout

88% report feeling stressed (ginger) and 75% of employees report feeling burned out (Spring Health). Gallup found that burned-out employees cost $3,400 out of every $10,000 in salary.

A few suggested strategies:

*Provide training and information on mindfulness – One of the best ways to deal with stress and prevent burnout.

*Conduct mental health support training – Educate leaders and employees on how to address and support employees who are struggling.

If you have any questions or would like additional information, please feel free to reach out to

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