How Starbucks Beat Employee Turnover Issues

Free Online Recruiting SoftwareDo you have a problem keeping employees working within your company? Are you always trying to come up with new ways to keep them happy and engaged? If so, there many be some underlying problems you aren’t aware of. If this is the case, it’s time to consider other options when it comes to lowering turnover.

Reducing employee turnover can be hard at times, but Starbucks provides a good example and “how to.” Keep reading to learn now they did it. If you’re looking for high quality, free online recruiting software, be sure to check out Recruiteze. Keep reading to learn more.

How Starbucks Overcame Turnover Issues

High turnover within your staff can be detrimental to the overall success of your company. It not only affects the bottomline, but also causes problems with morale. Thankfully, there are ways to lower turnover.

Of course, hiring the right people is a good first start. Interviewing and vetting candidates should be a big part of your overall hiring process. They need to fit well with the company culture and the individual position.

Benefits and compensation is another part of making sure employees do not leave your company for another job. Do what you can to give them necessary benefits and flexible work schedules. Also try to incorporate bonuses and more.

Review their benefits and compensation at least once a year, if not twice a year, to make sure they are on the right track, work wise and compensation wise.

Pay attention to their personal needs and try to accommodate them as much as possible.

Starbucks is an extremely well-known coffee café who has a major success story when it comes to lowering employee turnover. Would you believe that between their more than 6000 branches all over America they only have around a 60%  turnover rate? Other national chain retailers have between 150% and 400% turnover rate.

Many wonder who to credit for this amazing retention plan. Ask Starbucks and they would say their CEO Howard Schultz. He started working there in 1987 with a plan to offer incredible coffee all over the US.

Free Online Recruiting SoftwareBy 2002, there were more than 5000 stores worldwide. In 2005, Starbucks was named the 11th best company to work for by Fortune magazine.

Below, you will find several ways Mr. Schultz and Starbucks continue to retain employees. If you need to replace employees due to turnover issues, consider using help from Recruiteze. Our free online recruiting software makes finding and hiring talent easy.

Offer as many benefits as possible. Taking care of employees is the number one priority for Howard Schultz, next to the customers. Offering insurance, vacation time and other basic needs not only helps the workers but also makes them feel appreciated. Without these, they can feel underappreciated.

Offer extensive training. Without the right tools, it’s hard to be successful. Be sure to train your staff so that they’re experts, able to work as efficiently and productively as possible with few issues. This is a great thing to incorporate into a retention plan, as well. If employees are constantly learning, along with training and maintaining their knowledge, they’re more likely to stick with your company.

Treat workers with respect at all times. Even when there’s a problem, respecting employees is key. Being kind and considerate of workers will help them learn how to properly treat customers, as well. The owner implements a respect pyramid process that works well for the entire company. Anyone he interacts with, he’s respectful and he expects others to do the same.

Set high standards and expectations. According to frugalentrepreneur.com, “One thing that facilitates retention is getting off on the right foot, bringing in people who stand a good chance of lasting a while.  From day one in a new employee’s life, Schultz makes it clear that he has a list of qualities he’s looking for in employees, particularly management.”

The CEO looks for someone who’s trusting, willing to share success and work towards it with others as well as someone who shows humility.

Taking note from Starbucks and their quest to treat employees well while lowering turnover would be a great idea for any company, no matter how large or small. We hope these tips help you create the perfect staff.

Related reads:

  1. Employee onboarding guide
  2. Personality tests for hiring
  3. How to create a good remote work environment
  4. Importance of food perks at work
  5. The pros and cons of having a paid time off policy
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