How to Reduce 90-Day Attrition

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How to Reduce 90-Day Attrition

High attrition can be one of the most costly problems a business can face, especially if that attrition comes from the new hires you just spent so much money onboarding. A study by Jobvite found that 30% of job seekers have left a job within 90 days of starting.

It’s worth noting that the study was completed in 2018 and didn’t account for job market changes in the aftermath of COVID-19. Employees are now seeking greater flexibility in their jobs, a demand many business owners haven’t met. 

The demand for flexibility has sparked the Great Resignation, which is seeing many more people leave their jobs. Because of this trend, the current percentage of 90-day attrition may be much higher than that 2018 estimate.

So how do you best position your business to reduce 90-day attrition? In this article, we’ll go over how to reduce employee attrition and address why 90-day attrition is so important to avoid in the first place.

Why 90-Day Attrition Is So Costly

Your company probably invests a lot of time and money in new hire recruitment. Recruiters write job descriptions, sift through applications, read CVs, and interview candidates before sending an offer to a new hire. Then, a manager or another employee trains that hire and potentially gives them new equipment.

So, for all that time and effort to go down the drain after just a couple of months? That’s a waste.

The average cost to hire a new employee is around $4,000, depending on the position. Managers often require more training and vetting and can be much more expensive.

This isn’t breaking news. There’s always been sunk cost in hiring a new employee. High attrition, especially in the first 90 days, has plagued the customer service industry. Some estimates put call center employee attrition at 45%.

How to Engage New Employees

What can you do to reduce attrition in BPOs? More specifically, what can you do to reduce attrition in the first 90 days to keep new hires on board? Here are three tips that can help point you in the right direction.

1. Clearly Explain the Role

Quality onboarding and engagement should begin before you hire a candidate. You want to establish a standard of what candidates can expect from your company regarding their role’s benefits, pay, and responsibilities.

If there’s a misalignment between expectations and reality, your new employees will feel disgruntled and may think you’re lying to them. This misalignment kills morale and may cause your new hire to quit or seek a new position elsewhere.

2. Establish a Roadmap

What can your new hire expect two weeks down the road? How about in two months? By establishing a roadmap, your new hires won’t be caught off guard by any new assignments or added responsibilities. 

A roadmap should be a part of any proper onboarding plan. New customer service hires shouldn’t be inundated with every responsibility at once—they should be gradually trained in each of their tasks during the first few weeks on the job.

Roadmapping can go beyond the first 90 days as well. What career trajectory is your new hire seeking? How does their current role fit into that overarching goal? Even if they don’t want to always work in a customer service role, there are plenty of skills they can develop in the new job that will help them in the future.

3. Train Employees for Longer

Some employees may seem incredibly competent to take on a position at your company, but they require less training. Unless they’ve worked at your company before, they won’t know the nuances of your business processes. Ending the training too soon can make you feel like you’re treading water.

In some ways, the training process never really has to end. BPO managers should frequently sit down with their call center agents to review their performance—regardless of their experience level. This process ensures employees feel comfortable in their roles while providing quality assurance.

How to Encourage Longterm Hires to Stay

If you find your company is losing good people, it’s time to take action. Here are some general tips on minimizing attrition:

  • Don’t just fixate on wages and benefits: Don’t get us wrong—adequate financial compensation is essential for retaining your top talent. But it goes beyond compensation. Employees also want to understand how they fit into the company’s overall objective and how their contribution benefits them. Once those dots are connected, employees can be much more invested in their work.
  • Establish a culture of accountability: Unsuccessful leaders wield accountability like a weapon, often saying they’ll “hold you accountable” if something goes wrong. Accountability shouldn’t be an outward force but rather an inward motivation to improve oneself. Creating a culture of accountability takes time, but it’s well worth the effort.
  • Prepare employees for their future: Employees feel more motivated when they know you have their best interests at heart. Preparation can take many forms, but a crucial part of preparing employees for the future is understanding that their future may not involve your company. Check in with employees about their goals outside of work. What are their hobbies? What career goals do they have? Whatever their aspirations may be, encourage them to work on them outside of work.

Tackle New Hire Attrition Head-On

With these tips at your disposal, we’re confident you can better reduce 90-day attrition and keep those qualified candidates on your payroll for longer. If you’re looking for more ways to become an effective leader in your business, don’t hesitate to call us at ClearSource BPO. 

While we’re an experienced BPO, we also pride ourselves in being part of the conversation about how we can all improve employee performance. Contact us today to learn more.