If you’ve ever wondered just how important employee onboarding is, consider this: It takes an average of eight months for a new employee to become fully productive, yet 22% of staff turnover occurs in the first 45 days on the job. This is a potentially pricey issue, as the cost of losing an employee in the first year can be up to three times that person’s salary!
Now, consider the proven benefits enjoyed by companies that implement an effective and engaging onboarding program, according to the Society for Human Resources Management:
- 91% of first-year workers retained after the 12-month mark
- New employees are 69% more likely to remain at a company up to three years
- 60% year-over-year improvement in revenue
- 63% year-over-year improvement in customer satisfaction
- ROI improvement by more than $79,000 per year
To help your payroll software and service clients maximize their employee onboarding program, make sure they’re aware of these four common mistakes:
- Not preparing a clean and ready workstation: Making sure that a new employee’s desk, office or other work station is clean and operational is a simple but impactful gesture. It helps workers feel welcome and better find their bearings in a new work environment. It also boosts their confidence in the company overall.
- Failing to provide comprehensive training: One Gallup poll found that 23% of people who left a new job within six months of starting, reported simply receiving clearer guidelines about their job responsibilities would have helped them stay. But just instructing an employee about their daily tasks won’t cut it! Comprehensive training should also include an understanding of precisely how those tasks complement their coworkers’ efforts and affect the company’s overall operations and profitability. Another must-do is providing a clear understanding of a company’s culture, history ethics and goals, to help assure that employee ultimately will prove a good fit for the company.
- Failing to make the introductions: On their first day, an employee should be greeted by their direct supervisor who spends at least a half-hour with them to begin building a solid working relationship. New hires also should be connected with their co-workers and filled in on what each team member does and how they’ll interact with them. This goes a long way in opening lines of communication from the start, which can help accelerate training and minimize rookie mistakes.
- Starting too late: A recent study by The Aberdeen Group, a Boston-based international market intelligence company, reveals that 83% of high-performing companies begin their onboarding process before an employee’s first day. That’s where taking a significant portion of your onboarding program digital can help! Apex HCM’s paperless employee onboarding platform allows new hires to access, complete and submit all the basic HR, payroll and legal forms before they report for their first day. This is a valuable time save and maximizes an employee’s earliest days on the job.
Offer your payroll clients a solid employee onboarding solution with a call to Apex HCM at 877-750-2739 or request a consultation and product demo online, here.