At a time when we are experiencing a tidal wave of resignations, it is even more imperative for companies to reassess what is driving this recent shift. According to the U.S. Bureau of Labor Statistics, 4.5 million workers have left their jobs in Nov. 2021.
Addressing the root causes of these staggering statistics starts with better understanding them. The pandemic has reshaped many aspects of people's lives and influenced their expectations of the workplace.
Many Americans have the confidence to leave their jobs because of a high level of job openings and rising pay. This begs the question, what can companies do to retain talent amid these new economic and workplace circumstances?
As an ESOP or employee-owned company, here are some things we do to help keep our employees happy and eager to stay:
We provide opportunities for growth
One of the top reasons people change jobs is for career growth opportunities. Employees require development and reskilled managers stay, attract, retain, and drive higher performances during times of crisis.
Our designated training and development directors and managers focus on helping Pegasus employees develop and update new skills at every level of the organizational hierarchy throughout the year. In addition to leadership and technical skill development, we prioritize mental health through our Pegasus Possibilities Program with certified corporate lifestyle coaches.
We prioritize culture and connection
Employee-ownership creates a participatory culture that is radically democratic and drives a common purpose. Recent surveys show that workers around the world place a higher priority on having a good relationship with their coworkers and shared goals.
We hold company wide meetings in hybrid format and our ESOP committee plans meaningful events for everyone in the organization to participate in. These often include volunteering opportunities, themed events, and celebratory functions that drive employee connection.
We open up the books
We engage our employees to drive profitability and sustainability by teaching them about financial statements, how to operate a business, and give everyone at Pegasus a voice and a stake in the financial outcome. Sustainable financial results happen through a committed and engaged team.
Our forum-style huddles bring the entire company together to review financial performance and forecasts through a collaborative interchange that engages employees.
We elevate purpose through ownership
Individual employees directly benefit from the success of Pegasus and feel a sense of ownership. This leads to increased productivity, lower turnover rates and overall performance improvement. When employees have a financial stake in a business, their overall morale and trust in the company increases.
This is primarily due to the employee-owned company structure that reinforces individual and collective contribution as a means for success. But the guiding principles don’t necessarily need to apply to just employee-owned companies if leadership implements a similar structure that has a shared vision and mission.
We incentivize loyalty through participation
Employee-ownership is rooted in equality and participation. For an employee to feel like an owner, they have to feel like what they say matters and they need a tangible financial benefit. Employees are enthusiastic about sharing their ideas and our open-door policy with management allows ideas to flourish and concerns to be resolved rapidly.
We provide a platform for open dialog through the various huddles and meetings that our employee-owned company structure enables. The leadership team is also trained on various meeting conduct formats to enable more effective participation and dialogue.
We provide a secure retirement plan
The COVID-19 pandemic has had a devastating impact on employees’ retirement plans, particularly as many employers have suspended 401(k) or similar plans.
An employee-owned company enables employees to own part of the company. The shares are accumulated in their retirement accounts over time and employees can sell or cash these shares when they resign or retire. The shares employees own never cost them a dime.
