WorkStep’s Q2 turnover research reveals new issues

Staying on top of what drives turnover within your company can feel like riding a roller coaster in the dark. It’s very difficult to anticipate what is coming, making it nearly impossible to take preventative measures that lead to positive outcomes.

That’s why having a workforce engagement tool is extremely important in helping organizations understand why hourly workers are leaving before they quit. The reasons are not always constant, often influenced by outside factors, so it’s crucial to continue checking in with your frontline for these insights.

Through our WorkStep platform, we pulled Q2 turnover trends from 165 companies and nearly 20,000 employees. Here’s what we found.

Pay is a growing concern, but still not a top retention driver

Pay has crept back up to #7 from #10, likely reflecting the continued rise of inflation and gas prices reaching an all-time high. Many hourly workers within the supply chain face a long commute to work, so the added expense for gas may have them reevaluating their satisfaction with pay.

Despite these changes impacting the desire for higher wages, pay is still not at the top of the list of concerns. What’s ranking higher than pay among hourly workers as reasons to leave a job? This quarter we saw some new issues surface.

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What’s new turnover drivers on the list?

This was the first time we saw physicality make the list, and not only that, it ranked #6! It’s no secret that work within the supply chain comes with some physical demands. Often workers are required to lift heavy objects or work in spaces that are not well heated, cooled, or ventilated.

As new generations enter the workforce there has been a decline in tolerating these conditions. This heavily affects a company’s ability to hire and retain incoming folks. Tenured workers are also evaluating the toll this has on their bodies and overall health, seeking new opportunities that won’t be as strenuous.

What’s rising in employee turnover reasons?

Supply chain challenges have led to a shortage of many goods. This impacts everyone, even those who work within the supply chain. As this continues to be a problem, workers are feeling more and more ill-equipped to do their jobs.

While lack of tools has made the list in the past, this is the first time it has ranked as high as #4. Hourly workers are finding they don’t have simple things, such as gloves and safety goggles, and there is no way to know when these may be available again.

Listening to employee feedback still a top driver

In Q1, feedback landed the #2 spot for turnover reasons and hasn’t budged since. It’s no surprise given a recent WorkStep survey showed 41% of hourly workers say management NEVER seeks feedback, while 8% say they only have the opportunity once a year.

Employees want to be heard. By not implementing an employee engagement tool that regularly checks in with their workforce, companies are expressing that they don’t really care about the wellbeing of their employees. Hourly workers are getting the message loud and clear, and moving on to companies where they feel valued.

Career growth holds the spot at #1

If you followed our previous quarterly reports on turnover trends, you probably guessed it. Career growth has consistently held the top spot each quarter.

Hourly workers are looking for a path to advancement. You may even be a company that offers these opportunities, but often this isn’t clearly communicated with employees. Many workers may be motivated to leave for a reason that could have been avoided simply by having these conversations in one-on-ones or sharing company-wide.

How do you stay ahead of employee turnover trends?

Listen to your hourly workers and take action on their feedback. Sounds simple, but doing this without the help of a workforce engagement tool is extremely difficult.

Using technology to gather real-time insights from your employees that can be shared across your organization is the key to understanding what motivates people to churn and preventing it. Partnering with WorkStep will allow you to do just that while also providing support along the way to navigate and prioritize feedback and actions.