Trend of high turnover rates in Singapore companies

Is your company worried about a mass exodus of employees? Your concerns are not baseless—the expected turnover rate in Singapore is the highest in Asia, with nearly half of Singapore employees planning to leave their companies in the next year. The “Great Resignation” comes on the heels of the Covid-19 pandemic: employees are itching for a change after a stressful period of upheaval.

This trend of high attrition rates in Singapore is not confined to any specific industry. Yet it is especially prevalent in the public healthcare sector—approximately 1,500 healthcare workers in Singapore resigned in the first half of 2021, compared with 2,000 annually pre-pandemic.

Apart from the healthcare industry, the FinTech industry is likewise plagued with sky-high turnover rates. For example, FinTech professionals in Singapore only stay around 1.3 years in a company before switching to another firm. With these statistics in mind, what can your company do to reduce employee turnover and retain staff in the post-pandemic era?

Monetary measures to reduce employee turnover

There are several practical ways in which your company can reduce turnover of your employees. First, your company can offer competitive salaries and benefits to attract and retain employees. A 2021 Hiring and Retention Survey conducted by Mercer found that 56% of Singapore companies are offering substantially higher base salaries for new hires. 44% of these companies also utilise mid-year salary adjustments to retain talent while other companies resorted to providing retention bonuses and allowances.

Compensation matters a great deal; however, relying on financial incentives alone may not be sustainable for your company in the long run. Your company has to adopt a holistic approach towards employee retention. The value proposition of your company for employees must take into consideration their physical, mental and emotional needs.

Non-monetary measures to reduce employee turnover

Here are several non-monetary measures your company can adopt in order to maintain a low employee turnover rate. One simple but often overlooked measure is to ensure employees clearly understand their roles and responsibilities listed in their job descriptions. This is ideally done at the start of the hiring process, so that employees know what they’re signing up for. By communicating and aligning expectations early, hiring managers can maintain harmonious working relationships with their teams.

Another way your company can retain employees is by investing in their professional development and providing opportunities for career advancement. Besides on-the-job training, your company can help employees broaden and diversify their skillsets via a host of enrichment programs and mentorship opportunities. When your company is genuinely committed to the professional development and growth of employees, they will feel valued and thus are more likely to stay with your company.

Furthermore, internal promotions go a long way towards improving employee retention, as employees are concerned with career progression and mobility. They do not desire to remain stagnant. Your company should provide clear career pathways, such that high-performing employees who reach the requisite productivity targets can move up the career ladder.

Last but not least, your company should focus on ensuring a good work-life balance for employees through the provision of flexible work arrangements. According to a study by Achievers Workforce Institute, the top reason professionals gave for staying in their current positions is the ability to maintain work-life balance. Employees who enjoy a good work-life balance are also more productive and have lower rates of absenteeism.

In conclusion, be ahead of the curve! If your company implements these monetary and non-monetary measures, you needn’t be afraid of competitors poaching your talent.

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