As you think about this, we point out that you don't need a sticker to know that the unemployment rate is the lowest it has been in 49Ys. That can make people restless in their job, so it makes sense for community banks to invest more in hiring and training to meet this challenge head on.
Turnover rates in the banking industry have been steadily trending upwards for years, but particularly among younger workers, it seems. One Gallup survey found workers 21 to 37Ys old were 3x more likely to change jobs than older workers.
So, what's a community banker to do when trying to retain younger workers in an age when the allure of seemingly more glamorous industries like fintech beckon? When looking for answers, it can be helpful to check out companies that do a good job of retaining these employees, and one such source is the list of 100 Best Places to Work for Millennials.
Surprise: the top 10 are not all tech or lifestyle companies. In fact, most of them are not. Finance is well represented in the top 10 with a stockbroker, a boutique lender and an insurance company. Other sectors in the top 10 include home remodeling and hotels.
Companies that had good retention rates were those that created an environment in which workers reported having a "great workplace experience." Employees in these types of companies were 20x more likely to plan to stay in their jobs. That is a high level of job satisfaction to be sure!
Companies that create desirable environments tend to share several winning characteristics. Topping the list is a high-trust culture. The survey found younger employees are particularly sensitive to a company culture that trusts staff and is inclusive.
Other important characteristics include: workplace equity where all workers are treated and valued equally, emphasizing and promoting effective leadership, and providing meaningful work. These are all worth a quick review to be sure your bank is offering all of these across the company.
As is evident from this survey, the characteristics that can encourage employees to stay are loosely defined. Nonetheless, people know the right environment when they see it, so faking it is also not an option.
If you want to know if your bank is getting it right, the easiest way to find out might just be to ask your employees. Perhaps a way to start is to see if employees feel like they are in a trusting environment, respect management and feel they are engaged in meaningful work.
Ultimately you want to create an environment where the answers to all of these questions are positive, to create a workplace where everyone thrives.
