In my recent readings, I came across an article that quoted a 2008 PricewaterhouseCoopers survey that found that lack of career development was a more important factor in turnover among pivotal employees than compensation. Not surprising since job satisfaction is rarely related to compensation. Notice articles that talk about talented people leaving their well paid jobs to enter careers that are more satisfying at lesser pay.
Although today's economy may be keeping your turnover rate low, don't be lulled into a false sense of retention as talented people are always in demand, whatever the economic conditions.
Given that career development is a major contributor to retention, it's important to offer such opportunities. This need not involve a high cost investment and in today's economic climate, all dollars are precious. Mentoring is a low-cost investment with a high return on investment. The impact of mentoring on both mentorees and mentors has significant repurcussions in the organization. Beyond career development, both groups report being more satisfied, building bridges among colleagues, gaining a sense of greater self-confidence and competence. And in diversity, the experience significantly affects the removing of barriers to equal participation in the workplace. What dollar value can we put on these benefits?
Nevertheless, there is data that supports the impact of mentoring on the bottom line. As I mentioned in a previous blog, a Gartner study of over 1,000 workers showed that mentorees were promoted 5 times fater than non-mentored employees and retention rates were 72% (Yes, 72% is correct) higher for mentorees and 69% higher for mentors.
Something to think about!