Business Mentor, Consultant And Trainer
PRABHAT RANJAN MOHANTY
Hr & Ir
Senior Manager/freelance Consultant
Two things emerge from your post. One is that you do not have just the problem of employee attrition but people abscond from their duties. Their abscondment is upsetting apple cart of your operations.
The second problem could be the intense poaching by the rival companies. They are also equally running short of manpower. Therefore, they are recruiting even though the person has not relieved himself or herself properly.
In your post, you have given one of the solutions. Can all the companies in your business segment form a code of conduct and adhere to it? Yes, if your business rival stops employing a person if the candidate has not taken proper clearance, then it will be a big help to one another. As of now, all are bleeding one another.
From the HR Management point of view, you need to make the service conditions attractive. Once you do this, you will be able to you will be able to improve employee retention. Lure of better pay will always be there. But then consider the top-notch IT companies. Why people stick to their companies, though mid-segment IT companies are always waiting in the wings to offer better salary.
The next solution is keeping extra manpower. What per cent of people quit suddenly? Have you done any analysis? If yes, then instead of working with lean manpower, will the problem of abandonment of duties be mitigated by keeping little excess manpower?
One more solution could be retention of academic certificates for a period of two years. However, it does not have any legal sanction though many companies resort to these methods.
Going further, try to find out whether any process can be automated. With the concepts like Artificial Intelligence (AI), Machine Learning (ML) gaining momentum, will it be possible to reduce dependence on people?
From India, Bangalore
Why people abscond is a big question and a problem in itself? Mr. Divekar, in above comments have stated solutions which are very practical. I would like to add my view as I did face the same situations when I was in IT industry as the competition was very high of retaining and poaching.
I joined a company with a very high attrition issue, almost to 25% per month and that really a high number. We were always on our toe to understand the reasons behind however were moving to wrong directions as the root cause analysis was not in correct context. I was a new in the team and also new in HR stream. For me it was a chance of proving and learning also. What I did is I moved my seat from the HR floor to the operational floor to understand what is under the beneath. I started spending time with people who were actually responsible for business output. Their routine life was quite monotonous and there were no breathers. I started taking their one on one session and the skip level meetings in order to connect to each one of them personally. There were around 170 people whom I met and associated with. Not only meeting with only, I did managed my schedule to help and coordinate with them in their routine work. In return people also started approaching me with their problems and suggestions. A close connection was started and I found improvement in retention percentage.
There a found that employee engagement has a tremendous role to play in attrition. We often do mistake in understanding employee engagement where most of the HR's assume or perceive its limitation to its objective understanding. Routine task like- delivering salary on time, issuing slips, managing leave schedule, preparing calendars are the generic work which a HR has to do. But what about connectivity with people, engaging with emotions? A certain part of it remains untouched in the routine work which leads to trouble. So, believe me if you have a problem of absconders, started engaging with them right from day 1. Make them feel comfortable when they join, do no put loads of work on them and make the operation managers also understand the value of this as this straightly leads to an impact on the business.
From India, New Delhi
One thing understood that many of your workforce are leaving job without intimation or serve notice period. One possible reason may be demand is more than supply and they find better package from the other organisation.
This problem is seen mainly in the organisations are not just maintain the harmony. You know your organisation well than us. Have you ever introspect in to causes for leaving the organisation? Many organisation are hiring not individual rather a group, wants to leave a compittitors for their vested interst. While doing so we do not look for future aspects that this may be happening to us. You have to look into the following, to stop absconding: make the package (tangible &intangible) good in comparison to others, make the service contract better than present by which employee will think twice before doing anything.
As you intend, If all the companies in your business segment should have a firm conviction to obtain NOC before hiring the employee could be a solution. But it won't happen as because you are arch rival.
From India, Mumbai
Even I being from Medical Billing fraternity, I support your views that there is heavy outflow of employees.
Reasons as I understand are, there is no thorough background check done which is to be done mandatory across the companies. There are some big companies, who encourage employees to abscond and join them immediately after the salary disbursement. More over, with all medical billing companies working on tight margins the Teams have very less leverage to maintain the necessary buffer.
These conditions are making the HR fraternity in Medical billing companies run around and do almost 90% of manpower filling every year which is almost covering every position.
The only way is to increase the retention period of the employees through various employee engagement activities which shall increase the employee morale.
From India, Hyderabad
People keep shifting companies in search of the best deal possible.
Your company should try to pay more than the others in the field and engage employees in a manner that they may not quit suddenly.People abscond because company managements are all not that ethical in dealings with them and they have not developed loyalty towards the company.It is just a job.
Employee engagement is very vital.
"HRs undergo so many problems in hiring and identifying the people and later in a very short term we face these issues"
Always try and keep a standby for ever job-formally or informally by ensuring that job rotation is done.Sudden exit should not then cause a cessation or break in activities.
"We have to stop the wrong way of employment. Also as employers, we must not entertain such people."
Back ground checks, behavioural tests and proper screening will help in getting better type of candidates.Your company can itself start the movement of No poaching, do not accept people who have left competitors without notice and documentation.
Do interact informally with competitors to the extent possible and sound them out on these HR problems.Probably some common approach may result from such interactions.
In addition :Think of automating some routine processes and hiring some employees on contract basis with notice periods specified among other clauses.
Beyond all- try and make your company a happier place to work-giving flexibility to employees and a feeling of security and growth which can be achieved by maintaining a professional open atmosphere.
From India, Pune