What would you do if the majority of your entry-level, hourly workforce was planning to leave in less than a year? More than half of the 1,200 young people working in entry-level jobs we surveyed said that was their plan — and less than a quarter felt highly satisfied with their job. That’s expensive for business. Turnover can cost up to 200% of an employee’s annual salary, depending on the role. In industries like retail, customer service, and hospitality, entry-level turnover alone costs billions of dollars each year, based on voluntary turnover rates and annual replacement costs. Meanwhile, employee disengagement results in higher absenteeism, more accidents, lower business profitability, worse customer service, and a lower share price.
To understand how employers can improve engagement and retention, FSG worked with Hart Research Associates to survey over 1,200 entry-level, hourly workers between the ages of 17 and 24, and