As the largest generation in the workforce, millennials have embodied the term “job hopper.” A recent report found that median tenure for a millennial employee was just two years, compared to seven years for a baby boomer. On average, 30 percent of companies lose 15 percent of more of their millennial workers within one year. Turnover can cost an average of $24,000 to replace each Millennial employee (Source: [Microsoft/Experience Inc]).
Millennials are savvy job seekers who aren’t scared to lose their current job opportunity. In fact, 90% of millennials surveyed in a recent poll think that being an entrepreneur means having a certain mindset rather than starting a company. What this translates to is an inherent belief that they can take their talent with them, no matter where they go, and offer it to the highest bidder. Interestingly, the highest bidder may not be the company that pays most, but the one that offers autonomy, training and network expansion. Technology is on their side as they utilize social media and the latest online tools to research and apply for jobs as well as openly provide feedback to their peers (Source).
As forward thinking as they are, millennials can help you face the reality that your business needs to change. Here are six ways Millennial job hopping can actually help your company grow:
1) Millennials Keep You on Your Toes
They say one should never get too comfortable in business for as soon as you do, the competition turns the corner. It can be tempting to surround oneself with employees that think and look as we do. It can be too easy to hire employees that don't want to rock the boat. “We isolate ourselves to stay away from ordinary thought or the state of the art as it currently exists," said Robert I. Sutton, author of “Weird Ideas That Work.”
2) Millennials Grow as You Grow
Oftentimes, Millennials aren’t motivated by money, but by a desire to learn and expand their skills. Like a video game that continues to increase in difficulty, jobs that offer Millennials new opportunities to learn won’t be met with lethargy. If they start becoming bored, they will lose motivation in their job duties - and ultimately in your company if this growing feeling of ennui is not staved off. You want Millennials to be excited about ever increasing challenges that are more difficult, but realistically achievable. New opportunities to learn is what motivates Millennials, not money.
3) Offer performance-based compensation, so they want to do better in your company. "Millennials are all about temptations that they can do better," said Dan Schawbel, founder of Millennial Branding and author of "Promote Yourself: The New Rules For Career Success." A way to capitalize on this as a business owner is to offer performance based compensation, so they want to do better in your company. If each day bring new challenges they won’t be looking for greener pastures.
4) Consider that opportunities for networking and social media are a requirement, no longer a perk.
A surprising 56% of Millennials won’t accept jobs from companies that ban social media. They recognize that such companies might not be marketing in the year we actually live in. And as social media evolves to offer businesses and advertisers more precise one-on-one marketing opportunities, Millennials want to be on the forefront of that change. They want to be using the latest apps to tell their network how proud they are of their vocation. They are naturally curious about the new technological products coming out, and wish to use them in their personal and professional lives. Having Millennials around your office will make it easier for you to keep your finger on the pulse of the ever changing technological landscape, so you can market in the year we live in (Source: Cisco).
5) The Boomerang Effect
Millennials constantly look for new opportunities and even reevaluate former employees. And even though they “job hop” they may find themselves regretting it later. According to a WorkSphere survey, Millennials are more likely to boomerang back to their previous company more than other generations and nearly half of them said they would consider returning to their former employer. If your company can provide a unique value proposition to Millennials, something that makes your business stand out, then you are guaranteed building a strong, long-lasting work relationship with this demographic.
6) Force You to Better Train Your Employees
Continuing education is important to the Millennials, because they want to learn, grow and implement every bit of their knowledge to better themselves. They want to know what is happening at the company and how they can contribute to its success. They want to know how their scope of responsibilities fits in with the rest of the team. Team training sessions will provide opportunities to learn more about their work environment and your company’s industry. Attending industry conferences is another great way to provide value and entice them to stay at your company longer.
At the end of the day, Millennials crave what everyone else wants: greater standard of living and increased self-expression. They might crave it more than any other generation before them, but that’s the nature of progress. The challenger steps up to take the belt from the champion. And he’s hungrier; he has to be in order to compete.
By 2017 Millennials will have more spending power than any other generation. Millennials are the workforce of the future and you have to understand their desires and values in order keep them on the job, and make the most out of their never-ending productivity. It’s time to stop complaining and start seeing the silver lining.
Think your company is cut out for the millennial workforce? Contact us today to see how we can help you make the most out of this demographic goldmine!