Businesses invest the most capital in two things: their real estate and their people. This means that physical office spaces and hiring/onboarding practices are not only top priorities, but their largest fixed costs, as well. Yet as the standard workplace shifts to a more flexible model, companies are beginning to change the way they view and address both.
How? By embracing remote work policies and downsizing their physical spaces – even going as far as ditching the formal headquarters – some companies are signaling an openness to modern concepts that can change the way business is run and how work gets done.
As the workforce changes, recruiting and retaining the right talent are only getting increasingly complicated. In response, companies need to get creative about how they attract and support their employees. Because, let’s face it, hiring new talent is expensive and time consuming. According to a Fast Company article, in 2011 companies spent $45 billion on recruiting, yet 46% of new hires still left the organization after their first year – 33% didn’t make it six months. And, according to a Global Workplace Analytics study, losing a valued employee can cost an employer $10,000 to $30,000.
Knowing that employees who feel connected to their co-workers and the company itself are less likely to switch jobs – increasing the organization’s retention rate and lowering costs needed to support heavy turnover – companies need to take a good look at the tools and practices that support employee connectivity, so that workers’ needs are still at the forefront despite nontraditional work spaces and policies.
Continue reading at… TLNT
by Nell Thayer Heisner