Business Corner

How to enhance employee loyalty today? Reduce the rotation rate


How to enhance employee loyalty today? Reduce the rotation rate

In this fast-paced time companies often struggle to keep their employees happy and working for one business for longer periods of time. Especially the younger generations are ready to change jobs after a year or less to seek a position they feel will fit more their skills and needs. However, a well-oiled team that has overcome a lot of obstacles and has learned how to work together is irreplaceable and can do wonders. Keep reading to learn how to enhance employee loyalty and reduce employee rotation!

The situation then and now

Compared to ten, twenty, and more years ago the employee rotation rate today is skyrocketing. Here is a short recap of the employment situation from 70 years ago to today!

Generations in the workforce

Approximately 70 years ago when a person entered the workforce, they landed one job and then stuck with it their whole life. Changing professions or positions was very rare. Usually, a position was changed by a promotion.

Then comes a generation that entered the workforce around 40 years ago. They aren’t as loyal to one company as the previous generation, but still, they often work in one company for ten or more years. 

And then there is today’s generations in the workforce – millennials and Gen Z. Millennials are a little bit more loyal to one company compared to Gen Z. They are often seen to work in one place for 5 or more years, but it is also not exceptional for millennials to change jobs after a year or two.

However, gen Z is ready for a change. If a company is not offering what the employee wants and considers fair, they are ready to look for a new job in seconds. The labor market is full of amazing positions to try and finding a new job seems easy.

Employment duration today – pros and cons

Nowadays, even a year in one company is starting to be considered a long-term position. Let’s look at a few pros and cons of short-term and long-term employment! 

  • Benefits of fast-paced employee rotation

There are definitely some bonuses for the fast rotation of employees – there is always someone with fresh eyes who is excited to work and has lots of enthusiasm. The change also makes people stay more alert and keeps them interested.

  • Cons of fast-paced employee rotation

On the other hand, some jobs need immersion and experience in the specific position. If employees are rotating frequently no one has the time to learn the ropes of the specific job and it can hurt the business.

  • Pros of long-term employees

The biggest pro of long-term employees is their knowledge base and experience with the specific company, its services and products. They are familiar with lots of situations and can solve them rather quickly. Also, they have proved that they are trustworthy and it makes the inner management flow more freely.

  • Cons of long-term employees

When staying in one position for a long time, people sometimes start to get lazy and unmotivated. However, it is easily avoided if a company offers growth possibilities, different employee perks, and other benefits.

How to enhance employee loyalty and keep the work environment fresh?

So the best course of action is to learn how to motivate people to stay in one company by catering to their needs and helping them grow within one business.

Appreciation for good work

It is easy to overlook someone’s effort and success, especially if they often perform very well. But that is definitely not something you want to miss out on. People want to be seen and they want their efforts to be appreciated. So, when someone does something exceptional or has worked really relentlessly and hard on a project, don’t be stingy – give them appreciation! Here are a few effective ways how to do it:

Work-based privileges

There are different work-based privileges you can give out to those employees who have demonstrated extraordinary work ethic. For example, there could be an “employee of the week” parking space that is next to the entrance. An extra hour for a lunch is also something to offer or maybe even an extra paid day off – no explanations needed.

Recognition awards

Be generous with praise – share your pride in the employee with the world! Create a social media post about the employee's accomplishments, write about it in the company’s newsletter, and endorse them on LinkedIn. You can also create nominations within the company that are meant to show appreciation for hard and loyal work.

Money-based bonuses

No matter the position and job responsibilities, more money is always welcome. If you are in a position to give bonuses for well-executed projects, definitely do it! People will appreciate the extra bucks and it might motivate them to work hard on future projects as well.

Extra benefits for long-term employees

To motivate people to stay in your company, consider creating extra benefits for long-term employees.

Celebrating anniversaries

Let’s start with an obligatory celebration of employee work anniversaries. Don’t forget to congratulate and thank employees who have worked for you for years! It doesn’t have to be anything grand – even a flower bouquet and a round of applause can work.

Stock in the company

If it is a possibility, you can consider giving stock of your company to your long-term employees. It doesn’t have to be a big part, just something that brings in extra finances and motivates the employee to work better since the better they work, the higher the stock of the company might get.

Bonuses based on the years they work in the company

Why not create a bonus system that rewards employees based on the years they work for the company? For example, after one year they get 1% of their salary as an extra bonus on their work anniversary. After two years it is 2%, etc. 

Regular salary increase

Not only inflation is having its bite on salaries and what was fine five years ago is not fine today. Your long-term employee has grown in their skills and experience and they deserve that to reflect in their salary as well.

Another thing to consider to keep things fair is to check if your newer employees are not receiving bigger salaries for the same or fewer responsibilities as your long-term employees. If that happens, it makes long-term employees feel unappreciated and can lead to resentment and a job change. Even though new employees have to be welcomed and paid adequately, your real gold is those people who have stuck with you for years and are loyal to your business.

Team spirit and work environment

A great work environment is definitely something to work on to have happy long-term employees since people often change jobs just because they are not feeling good in the micro-climate in the office.

Team building events

Regular activities that work on team building are a good option how to make employees learn more about each other, trust each other, and also have fun together. It is better to organize these events during work hours, or if it is a weekend, to give employees a free day any other time.

Resolving issues

Open communication is key. As a manager or boss, you need to make sure people can come to you with their issues and you will work on them. If you have an HR (human resources) department, they can work on helping employees resolve issues as well.

Company culture

From the first day, you need to make a company culture and work environment that is welcoming, open, and easy to work in. Think about the values your company has and how they can be implemented in everyday life in the office.

Hearing what employees have to say

Employees often feel unheard and unimportant by their management. It happens in big companies and small companies. However, more often than not, employees have great ideas and good suggestions, you just need to listen and be ready to implement some changes! It may benefit your business, it will create a better work environment, and will contribute to making an employee a long-term worker.

Company merch

Even a small thing as a company merch can help your employees to feel like a part of a team and be proud of the company they work in. The merch can be a t-shirt, hoodie, or a tote bag – all great options. It is a perfect gift how to congratulate employees for passing the probation period.

If you are interested in printing merch for your company, you are welcome to reach out to us! We will be honored to help you enhance your employee loyalty with custom-printed items.

Growth opportunities

All employees want to achieve their personal goals within your company. Make sure you help them do that so they can keep working for you for years to come. There are two types of growth in business: professional and career. Professional growth applies to learning new skills, and career growth to climbing the career ladder.

Professional growth opportunities

To help your employees learn and grow, offer paid attendance to master classes, workshops, and lectures that are connected to their field. You can also go a step further, and finance some learning possibilities that are just for personal interests. People love to learn and explore themselves and different possibilities, give them the chance to achieve all that within your business!

Career ladder

To keep employees satisfied it is important to offer them opportunities to climb the career ladder without leaving your company. After a few years make evaluations and offer promotions to the top employees even if they don’t ask it themselves. 

Job perks

And last but not least, think about the job perks you can offer to make your workplace more irresistible compared to others. Some benefits (aside from basics like health insurance) that people appreciate are:

  1. paid extra free days on special occasions like birthdays, holidays, the start of school, etc;
  2. paid lunch and snacks;
  3. paid commute expenses totally or at least a percentage;
  4. hybrid or remote work;
  5. learning and growing possibilities;
  6. abroad free-time trips;
  7. paid kindergarten for employees’ children near the office;
  8. four-day workweek;
  9. and so on.

Another definite job perk is an amazing team and colleagues so make sure you work on the inner company culture to create an environment where people are excited to be in 8 hours a day 5 times a week.


Long-term employees are definitely something to cherish and work on. To have long-term employees think about their needs and how you can make them feel appreciated. Also, work on company culture and provide learning and growing possibilities both personally and career-wise. 

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