“How do I manage the expectations of my employees after performance appraisals?” This question is likely looming on your mind right now. With global events such as the Russia-Ukraine war, high inflation and ongoing supply chain issues taking a heavy toll on the economy, your company’s profit margins may have been lowered.

Hence, your company may find it difficult to provide the amount of bonuses which would adequately satisfy your employees. Understandably, this can be a source of disappointment and frustration for them, particularly your top performers who expect a reward for their significant contributions to your company. You’re worried that some of your employees will ‘jump ship’ and leave once your company has paid the bonus.

In order to prevent employees from seeking greener pastures elsewhere, you have to deliberately ponder on how your company can retain key talent after the bonus season. Here are 4 ways to do so:

1. Establish Clear Channels of Internal Communication

First and foremost, you can manage the expectations of your employees via clearly outlining your company's financial performance—and how bonuses are being calculated—beforehand. When you transparently share about the present situation as well as the future plans of your company, you can create a sense of shared ownership and engagement.

This may seem like an overly simplistic solution, but the quality of internal communications has a direct impact on employee morale, and consequently turnover rates. Nip any rumours among your employees that your company is facing financial troubles in the bud. Be proactive; anticipate questions your employees will raise and address them. It will thus help your company to avoid the disastrous consequences of misguided speculation.

2. Create a Culture of Flexibility

Like it or not, the future of work is flexible work arrangements—in terms of time, location and even job function. Moreover, it has been found in numerous studies that employees who are given greater autonomy over how they do their work are often more productive and committed to their employers.

As such, you want to make sure that your company is forward-looking and committed to creating a culture of flexibility. If your company is unable to give a hefty bonus, then at least grant your employees the opportunity to work remotely from home and set their own schedules. By encouraging flexible work arrangements, you will allow your employees to better integrate their work with their personal lives.

3. Give Employees Freedom to Pursue Projects

Besides creating a culture of flexibility, retain your top performers by channelling their entrepreneurial drive into internal startup opportunities. Provide them with the requisite resources to kickstart new projects within your company. Not only are your employees given the chance to take ownership of innovative ideas, but they can also potentially generate revenue for your company.

For instance, Google has an initiative called the “20% Time”, which allows employees to spend 20% of their time working on projects outside of their regular job responsibilities. The development of many of Google's most successful products—such as Gmail and Google Maps—were a result of this “20% Time” initiative.

4. Offer Mentorship Programs

Another way to retain your key talent after the bonus season is to offer mentorship programs. Beyond mere remuneration, truly ambitious employees pursue professional growth. They seek mentors who will help propel their careers to the next level.

The mentors for your mentorship programs can be sourced internally or externally, but the crucial aspect is to seek out individuals who are willing to share their insights and experiences generously. By offering mentorship programs, your company can provide your top performers with the support they need to flourish.

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