There are a multitude of reasons that employees resign; some are within your control and others are not. Reasons can vary and could relate to a financial situation, a change in career direction or changes in personal circumstances outside of the workplace. Let’s have a look at some of those to provide a better understanding of key drivers for moves and indeed the most common misconception.
Seeking a higher-level position
Out of 707 respondents surveyed by Richard Lloyd Accounting Recruitment on their primary reason for leaving their employment, 44.84% of the staff said that this was for career progression.
You’ve trained your employee and primed them well for a higher-level position. You’ve provided the necessary training and professional development, and now they’re ready to take the next step in their career. This is excellent management on your part and significant progress on theirs. Unfortunately, your organisation doesn’t have a vacancy for that next step in their career so they have had to search elsewhere. Yes, it’s sad to see them go, but you know that they’re saying goodbye with a grateful heart and will return in the future if the opportunity allows.
Moving due to financial requirements
Your employee is a hard-worker, a fast learner and gets the job done. Unfortunately, there is a gap between their financial expectation and your annual budget, which can’t be bridged.
That being said, based on our experience there is a misconception in the market over this being a key motivator for people seeking new employment. Over the past seven years, accounting employees in Sydney have typically not been leaving their jobs in favour of a higher salary. In a recent study, Richard Lloyd Accounting Recruitment asked 707 candidates who were looking for new employment the primary reason for moving roles, and only 11 out of 707 surveyed (1.56%) said it was due to their salary being too low.
It only takes one valuable, well-trained employee to resign for you to potentially lose team momentum and cohesion which in turn can have an impact on revenue. Always make sure you are paying your staff based on their worth and capability.
A change in career direction
After settling into an industry, university graduates, or indeed those who have been in the workforce for a while can often feel like a change. It is rare for a total change in career, however it could involve an adjustment to their chosen path. As an example a move from a position of Financial Accountant to Financial Analyst; while both positions may sit in the same accounting team, workers may look to broaden their horizons elsewhere if they feel they’ve been pigeon holed. For those that do want to move out of their field altogether; whether this is to follow a creative passion that has been stirring inside them, or a new opportunity has presented itself and they’ve decided to grasp it with both hands, there’s often little you can do to change the mind of an employee if they are planning on moving to an entirely different sector or industry field.
To travel the world
Many people have the longing to take the bull by the horns and travel the world. Many do little more than dream about it, but for those employees who have an insatiable wanderlust, their resignation is something out of your control. If they are a good employee, don’t forget to leave the door ajar.
Reasons that an employee leaves the workplace to seek new career opportunities are many and varied however those reasons should more often than not be something that you can’t control, and most of the time, they’re just that. Managing and retaining staff is an art form and good management, together with open communication can provide an insight into a staff member’s mindset in cases where they are thinking of tendering their resignation.
Richard Lloyd Accounting Recruitment provides a professional recruitment service for when those gaps in employment are sudden and unplanned. Contact us today to discuss your recruitment requirements.