EQ Business Case 2010(2)

Retaining Talent

In an era of increasing mobility and fierce competition for talent, attracting and retaining star employees is an urgent need. As trend-watcher Daniel Pink says, “Companies need good people more than good people need companies.” 48 The primary reason people leave a job is relationship based. One of the key factors is the quality of the relationship between the employee and her/his supervisor/manager. As leadership guru Richard Leider says, "People don't leave companies – they leave leaders." 49 What distinguishes relationships that lead to retention? Compelling evidence from Gallup shows that it's all about feelings. In their landmark research of over two million working Americans, the Gallup team found only about 26% of employees are engaged (caring and committed). They identified three critical factors that predict if an employee is "engaged" – and engaged employees are 50% more likely to stay in their jobs. 50 The three factors that inspire engagement:

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