Welcome to The Big Squeeze! This edition highlights essential trends and strategies to enhance your approach to supporting employees with professional development and retirement planning. Our focus is on improving preparedness and transparency for your employees.

3 Reasons Why You Should Invest Time (and Money!) in Your Employees

Investing in your employees is one of the most impactful strategies for business growth and retention. As the workplace continues to evolve, companies that prioritize professional development and support see measurable improvements in engagement, productivity, and retention. Here are three compelling reasons to invest in your team.

1—Increased Employee Retention and Lower Turnover Costs: Employee turnover is costly—not only in terms of recruitment expenses, but also in lost productivity and morale. According to Gallup, the cost of replacing an employee can be up to two times the annual salary of the position, factoring in the time required to recruit, hire, and train a replacement. Investing in employee growth through professional development and learning opportunities not only helps retain talent but also shows commitment to employees’ long-term success, which 86% of Millennials find essential when considering job stability.

2—Enhanced Productivity and Engagement:

Engaged employees are significantly more productive. Research from the Workplace Research Foundation shows that highly engaged employees are 38% more likely to perform at above-average levels. Training, skill development, and mentorship improve competencies and foster enthusiasm by giving employees the tools to excel in their roles. By dedicating resources to employee development, companies not only ensure a more skilled workforce, but also create a culture where employees feel valued and motivated to contribute their best.

3—Building a Positive Company Culture and Brand:

A company that visibly invests in its people builds a stronger brand reputation and attracts top talent. A LinkedIn report found that 94% of employees would stay longer at a company that invests in their learning and career development. This commitment translates into a positive work culture and becomes a distinguishing factor in attracting prospective employees. With a strong culture of growth and support, your company becomes a magnet for skilled professionals eager to join a workplace where they can thrive.

Investing in your employees’ growth is a win-win. Not only does it reduce costs associated with turnover, but it also fosters a more productive, engaged, and loyal workforce while solidifying your company’s position as a leading place to work.

Money Matters

Retirement plans are increasingly viewed as crucial by employees, with 90% considering them a key part of their benefits package. Here’s why greater transparency in retirement benefits is vital.

1—Enabling Informed Decision-Making By Employees:

Employer retirement plans are often complex and varied, with differences in eligibility, employer contributions, vesting schedules, and withdrawal options. Without clear and accessible information, employees may not fully understand the potential value of their benefits, making it challenging to make informed decisions about job offers and career changes.

2—Combating Misinformation:

Presenting and clearly explaining standardized disclosure rules is critical when it comes to avoiding misinformation as well as confusion among employees. Additionally, employees often rely on informal and potentially inaccurate sources of information, such as peer discussions and online reviews. Mandatory, standardized disclosures could provide accurate data, helping employees and job seekers make better-informed decisions.

3—Advancing Gender Pay Equity Disparities:

Women and female identifying folks fall into a minority group that often earns less and has more interrupted career paths, and those individuals are more likely to be negatively impacted by complex vesting schedules and lower employer contributions. Transparent retirement plan disclosures could help address these inequities by enabling women to make more informed employment choices that maximize their retirement security. It's important that employees can access plain language, standardized, detailed 401(k) plan disclosures on company websites and in job postings.

Ultimately, an investment in people is always time and money well spent. Professional development and training support along with retirement and benefits transparency make for happy employees. And happy employees produce better work product, are more dedicated, and are less likely to bring stress over these issues to the workplace. Plus, when you implement any of the strategies discussed in this article, you are sure to stand out as a top employer in your space, as not all companies offer this level of support and transparency.

Thank you for your continued partnership. I’m excited to assist with your hiring needs and support your company’s growth with top talent. If you have any questions or need help, please don’t hesitate to get in touch!​

Best regards,

April Starlight | CEO & Sr Recruiter 🎃