The Attitudinal Problem in Employee Retention
It is all an attitudinal problem and nothing more. Whatever HR policies you implement, whatever systems you bring in, it is a matter of an individual's mindset. In my 24 years of HR experience, I have seen that employees are always calculative. Before they make such a decision, they calculate the pros and cons. If the potential loss is not significant, they decide to abscond. They wait for their salary to be deposited; they may have already collected their annual LTA, education allowance, etc., before the salary itself (as usual every year).
Challenges in Collecting Notice Period Dues
Now, how will you collect their notice period dues (whether it is one month or three months)? You cannot touch their PF and Gratuity claims. If you do not pay, they know how to collect it from you.
Limited Options for Employers
On the other hand, as an employer, you have limited options. You can inform the new employer about the candidate and mention that the employee has not been properly relieved. Some companies do not even bother to insist on a relieving order. In some cases, these individuals may even go abroad. Unless there is a criminal case or something similar, obtaining a visa is not a problem. Today, there is a huge demand for manpower.
Changing Attitudes Towards Employment
I recently read in the newspaper "The Hindu" that candidates with arrears in their exams are not a barrier to employment. This indicates that employers are willing to hire such candidates.
What I am trying to convey is that people have become more self-centered. If offered a slightly higher salary elsewhere, they do not hesitate to leave and join the new company.
Salary Considerations
Someone suggested, "Analyze whether you are paying a good salary," etc. I do not agree with this. As an employer or MD, you run a business, and there are overheads to consider. Salaries should be set based on the position and the responsibilities of the individual. You cannot spend money extravagantly and keep increasing salaries without considering your overhead costs.
In my company, attrition also occurs. I am aware that our competitors pay more than we do. However, this does not mean I should match their salaries. I focus on our company's strengths, which I always leverage. Employees who are solely interested in money will always prioritize financial gains, regardless of other efforts.
Conclusion: Protecting Company Interests
In conclusion, protect the company's interests by sending formal communication to such employees and express a genuine interest in having them return. If they still do not respond to your letters, let them go.
Regards,
Balaji