The New Hire Orientation Training Retention Connection

In a previous article, I mentioned how there is a clear new hire orientation training retention connection. On one level, this connection seems obvious, and yet as recently as only two years ago, only 32% of companies took a structured, formalized approach to onboarding (source). Because this is a message more companies need to take to heart, this article will take a deeper dive into the connection between good new hire orientation training and improved retention of newly-hired employees.

Should I Stay or Should I Go? The New Hire Orientation Training Retention Connection

The key to understanding the impact of the new hire orientation training retention connection is to realize how quickly newly-hired employees not only form a lasting impression of your company, but also make the decision of whether to stay or quit. As the Aberdeen Group notes (italics added for emphasis):

The most popular time frame for onboarding is between one and three months, a timeline 29% of companies use. In this amount of time, employees are able to complete the necessary forms, get a good feel for the company’s culture, receive adequate on-the-job training and recognize if it is going to be a good fit (source).

Although not its main point, the quote hints that you can expect employees to decide whether or not they’re going to stay with your company within the first 90 days of being hired. But there are plenty of other takes on this critical time element. Consider the conclusions reached by various research efforts:

• Half of all hourly workers leave new jobs within the first 120 days (source).
• Up to 20% of staff turnover occurs within the first 45 days of employment (source).
• One of every four employees quit during the first 90 days on the job (source).
• More than 40% of employees leave their new job within 6 months of joining (source).
• Organizations with poor onboarding programs have double the chances of experiencing employee turnover (source).

While these numbers are all over the map, the basic point they make is loud and clear – there is a rather limited window of time in which your new hires are going to decide to stay or quit. When you boil it down to that and let it sink in, then making the new hire orientation training retention connection seems all the more urgent. Better onboarding means better retention, plain and simple. If your company suffers from the burden of costly turnover, one of the immediate steps you should take is examining your onboarding program to see how it can be improved. Take a look at my previous article, 10 Best Practices for Better New Hire Orientation Training, for some starter ideas on how to make it happen.

Take Time for Training

Anyone who has ever started a new job without adequate training knows how stressful it can be. If you want your employees to succeed and become peak performers, you simply can’t afford to do anything but top-notch, thorough training of new hires. If you’re not spending an absolute bare minimum of two full weeks of training on newbies, you’re running the risk of leaving them feeling helpless and miserable, which can quickly lead them to quit. Robust new employee training should probably be more like one or even two months to set up a new hire for success. When done right, effective training results in new employees who… (source)

• Know what they’re doing
• Save time (and do more)
• Have a good feeling about the company
• Get off to a good start

Good training programs for new hires will make a positive, lasting impression on them, which in today’s times of high turnover costs and tight labor markets is every bit as important as making sure they know how to do their jobs.

Companies looking to gain a different kind of competitive advantage over their rivals can begin by recognizing the New Hire Orientation Training Retention Connection. By establishing better onboarding, your company can edge ahead of your competitors by retaining your new hires instead of wasting time and resources on finding and hiring their replacements.