Category Archives: The HR Rules

If you have a baby, you’ll never have to pay Income Tax!

Posted on by
1

Well, at least if you’re under 30 and live in Hungary!

Like many wealthy countries around the world, there is a baby shortage! Countries like Japan have been fighting this issue for decades. For others, like America, this is a recent dilemma that most still don’t know or understand. Hungary has known about their problem for a few years and has tried a couple of policies to encourage women to have more babies.

The first policy they attempted was to eliminate income taxes, for life, for women once they had four children. Yep, 4! As you can imagine, that wasn’t super popular. Also, they found that it takes a while to have four children! The new policy states that if a Hungarian woman has a baby before the woman turns 30, she will now be exempt from income taxes for life. That seems like a very aggressive policy!

The new policy just got approved in Hungary, so there isn’t a lot of data on the impact, but I’m guessing there will be many women and families who will take part. The estimated savings is about 17-20% more take-home pay for the women not paying income taxes.

Should the US have a similar policy?

We have a major baby problem in the US, and as Japan did two decades ago, we are mostly ignoring we have a problem. Young people are having fewer babies and waiting longer to have babies. The human replacement rate in the US is 2.1 to stay even with the current population. The US is currently at 1.7 and trending downward.

Why is a shrinking population a problem? Aren’t we overpopulated? It seems like fewer people would mean more for everyone else!? The thought being, “Fewer people would be more jobs and resources for those of us here.”

The problem is the math doesn’t work that way. Fewer people mean fewer workers. Fewer workers mean less productivity. Less productivity means less of everything. Japan’s economy has been flat to negative for two straight decades. Imagine being in a recession for twenty-plus years!?

The US needs both a baby policy and new immigration policies. We can not grow as a country with a negative replacement rate.

What could a US baby policy look like?

Here’s where it gets fun. I think Hungary, while aggressive, misses a ton.

One of the major issues that women and families have about having a child or multiple children is childcare. Hungary’s assumption is women will have a baby and then go right back to work to get that extra money. But in reality, the extra money will be eaten up by childcare. So, the truth is there isn’t any economic advantage.

To make a policy work, it has to work for both sides. The country needs more babies, and families need better economics that make sense and don’t burden them with crazy financial debt. The current cost to raise one child to the age of 18 in the US runs around $310,000, or $17,000 per year. That seems light as I know many families who pay way more than $17,000 a year just in daycare! And this doesn’t include college, which can run in the hundreds of thousands. Basically, you’re looking at $500,000 per kid. Who the hell wants that!?

Here are some things I would add to a US baby policy:

  • Zero Income Tax for one of the parents, assuming the working parent is caring for the child and the other parent. Mom decides to stay home and care for the child. The other parent gets the income tax elimination credit. If both parents work, the higher of the two incomes get tax-free income, and they also get a tax credit for childcare expenses.
  • Single parents with kids get tax-free income and daycare reimbursement until the child reaches school age, and then pre and post-school reimbursement once they reach school age.
  • For every kid you have over two, all children in your household get free college tuition. So, you have two kids. You pay for college. You have three kids, or four kids, or five kids, and they all get their tuition paid for.
  • Government-paid surrogates. For families who want children but can’t have their own, the government will pay for the surrogate cost. The government will also pay for your adoption expenses for you to adopt children from foreign countries to be raised in the US.
  • Parents get fully paid six months of parental leave that can be used simultaneously or segmented for any baby births, surrogates, or adoptions. Let’s get these kids off on the right foot.

I know, how will we pay for this? I don’t know, maybe we buy one less nuclear fighter jet that costs $25B. The amount of government waste is colossal, I’m sure we’ll figure it out.

How do you “practice” HR?

Posted on by
Reply

We are constantly told that if we want to be good at anything in life, we must practice. It starts when we are kids, and we want to be our heroes. If you want to be good at sports, or dance, or computer games, you must practice. Not just “play” but specific steps that lead to success in the endeavor we’ve chosen.

Tyler Cowen released his book “Talent” in 2022 and I really like this quote from it:

“What is it you do to practice that is analogous to how a pianist practice scales?”

What do you do each day to practice your profession?

What I find when I ask HR and TA professionals this question, and we really dig in, is there “practice” is showing up and doing the job. That is akin to an NBA player just showing up and playing games but never putting in time and effort outside of the game to increase or maintain their basketball skill level. They wouldn’t be successful for long.

Just showing up and doing the job isn’t practice. That’s the job.

Are we talking about practice…

YES!

Let me tell you how I practice my skill in HR and TA:

  • I write on this blog that has nothing to do with my paying job.
  • I design and present content for roughly 20+ webinars every year.
  • I design and present content to present live on stage for around 20 different talks every year.
  • I consciously reach out and schedule calls with experts in our industry to “talk shop” each month that has nothing to do with my paying job.
  • I network on sites like LinkedIn to expand my professional network and ask and answer as many questions as I can.
  • I will do upwards of 100 tech demos per year in the technology that impacts my industry.
  • I will attend upwards of 12 HR and TA professional conferences.

Okay, I’m a complete freak around personal development, primarily because I actually really like this stuff. That makes it easier to do, for sure.

But, I rarely get into a professional dilemma where I don’t feel prepared to handle the situation. I believe that is because I’ve “practiced” a whole bunch!

I get asked frequently, “How did you learn this stuff?”

Practice.

Honestly, my hope is one day, I’ll take this love of practice in my professional life and turn it into some other sort of practice in my personal life. Like, someday, I’ll roll out of bed and be like, “okay, today is the day I stop being an out-of-shape dough ball and get back into shape like I was in college!

I mean, if I can put this level of practice into my professional life, it stands to believe I could put that same level of practice into any part of my life.

Do you want to be “Great” at your Career?

I find almost 100% of people I would ask this question to will say, “Yes, of course!”

But like my lazy butt sitting on the couch at night watching Netflix, they are willing to put in the practice of being great. They are just showing up to work and doing the job. That usually doesn’t lead to greatness.

Don’t get me wrong. Some folks can show up and be great, just like freak athletes. That is about .001% of our society. So slow your roll. That isn’t you.

I want to be great at my job, but I don’t really do anything other than the job to ensure I’ll be great at it. Doesn’t that sound funny? It goes against everything we know about greatness in our lives.

Don’t get me wrong. I don’t believe I’m great at HR and TA. I think I’m pretty good at certain parts of it, but I know people who are so much better than me at so many parts. When you compare yourself against the top 1% in your profession, you feel small. You feel like you need more practice.

When you compare yourself against Kevin in payroll, that constantly loses his way back to his cube, you feel like you’re a giant. Practice isn’t needed to be greater than Kevin. That’s our problem. Most of us are surrounded by average players, and your slightly above-average performance makes you feel like you no longer need practice.

Pick higher performance targets. Chose to emulate someone who amazes you in your profession. Chase greatness through practice.

What’s Your Favorite Layoff Tech?

Posted on by
2

Yeah, this isn’t something we like to talk about! We love talking about technology that helps our employees be better employees or technology that helps us find better and more talent. But the technology that helps us get rid of people, well, that seems a bit depressing, right?

In 2022 there have been public debates about what a recession is. We haven’t had one since the Great Recession of 2008-2009, so there is a very large part of our workforce that has never seen a downturn in the economy. We are on the precipice of an economic downturn, and companies will be laying off workers. Are you ready? How will you handle this? Spreadsheets?

Offboarding will be a major buzzword in 2023!

God bless the marketing pros who try and make termination software sound sexy! We don’t call it firing software or a termination process, we now call it “offboarding”.

At the HR Technology Conference this past year, I was a judge of the startup competition Pitchfest and one technology that was pitched was Onward HR. They actually did a great job and I really liked their pitch, but they were going up against a bunch of software that “helped” employees, not help you offboard them. Not fair to them, they had real HR software, helping solve a real HR and employee problem. A lot of the software pitched sounded positive and sexy, but it was mostly vapor. Onward had real HR stuff!

Big HCM software and payroll software will tell you they also do offboarding, but honestly, what they really do is basically just help you with the process. True offboarding should be about how do we humanely help our employees transition out of the company and quickly become re-employed. But also, a giant part of offboarding is ensuring those same employees actually might want to come back and work for us again at some point.

You see, layoffs, are an inexact science. Most organizations are bad at it because we don’t practice layoffs. We practice hiring. We practice developing employees. We practice performance management. We do not practice layoffs, so we mostly suck at layoffs. Quite frankly, I’ve never met a leader who wants to be good at layoffs!

That means the technology can help. For the most part, layoffs run like this:

  • We make the decision of how many heads we need to cut.
  • We then ask managers of people to make decisions of who specifically.
  • We then try to find a way to let people know where everyone will basically know at the same time (this almost always fails and is terrible).
  • We then try and move on and forget it all happened.

The problem with the last step is we basically move on from those departing employees, and those employees feel that, and it becomes very personal. We try not to keep a connection with previous employees. Then, two years from now, you try and launch an alumni recruiting campaign because you’re growing again and can’t figure out why so many previous employees hate you.

What is my advice for your upcoming layoffs?

Be better. Treat people like humans. I mean treat people like humans you will once again in the future want to have a positive lastly relationship with!

Does Your Average Employee Tenure Matter? (New Data!)

Posted on by
3

I keep getting told by folks who tend to know way more than me that employees ‘today’ don’t care about staying at a company long-term. “Tim, you just don’t get it. The younger workforce just wants to spend one to three years at a job than leave for something new and different.” You’re right! I don’t get it.

BLS recently released survey data showing that the average employee tenure is sitting around 4.1 years.  This speaks to my smart friends who love to keep replacing talent. I still don’t buy this fact as meaning people don’t want long-term employment with one organization.

Here’s what I know about high-tenured individuals:

1. People who stay long-term with a company tend to make more money over their careers.

2. People who stay long-term with a company tend to reach the highest level of promotion.

3. People who tend to stay long-term with a company tend to have higher career satisfaction.

I don’t have a survey on this. I have twenty years of working in the trenches of HR and witnessing this firsthand. The new CEO hire from outside the company gets all the press, but it actually rarely happens. Most companies promote from within because they have trust in the performance of a long-term, dedicated employee over an unknown from the outside. Most organizations pick the known over the unknown.

I still believe tenure matters a great deal to the leadership of most organizations.  I believe that a younger workforce still wants to find a great company where they can build a career, but we keep telling them that is unrealistic in today’s world.

Career ADHD is something we’ve made up to help us explain to our executives why we can no longer retain our employees. Retention is hard work. It has a real, lasting impact on the health and well-being of a company. There are real academic studies that show the organizations with the highest tenure outperform those organizations with lower tenure.  (here, here, and here)

Employee tenure is important, and it matters a great deal to the success of your organization. If you’re telling yourself and your leadership that it doesn’t, that it’s just ‘kids’ today, we can’t do anything about it, you’re doing your organization a disservice. You can do something about it. Employee retention, at all levels, should be the number 1, 2, and 3 top priorities of your HR shop.

What is your measure of success? #HRTechConf

Posted on by
Reply

I’m out at the world’s largest HR Technology Conference this week, learning a ton and having some amazing conversations with peers and practitioners. One, in particular, is sticking with me about how we measure success in HR and Talent Acquisition.

With the increase in the capture of data across our technology stacks, we have more information than ever to give us insights and really give us better robust measures of success. But we tend to hang on to old measures that have little correlation to actual success.

There are a bunch of things getting in the way of us successfully determining what should be the measures of success in our functions:

  • We need to measure things that are challenging but not too challenging.
  • We tie our success metrics to annual bonus potential.
  • We don’t really know what success should look like from a benchmarking standpoint.
  • We have legacy measures that everyone is just kind of used to, and the majority of the industry still uses them. So, we should follow the pack.
  • We need measures that we can quickly manipulate of having excuses if things go sideways.

We will never admit the truth above.

From the HR Technology standpoint, your technology vendors assume you are much more sophisticated than we really are. I don’t mean that in a way that is meant to slight our expertise and knowledge. If I had HR and TA leaders rate their own skill competencies, almost always, technology would come in dead last. Most of us have this as an area of massive improvement.

Why does this matter?

Our technology will drive our success measures. Our technology vendors believe we know what success looks like. So, they build our measures, even when they know there are actually better measures of success that they can pull and put together. True, black and white measures that are not subjective and can’t be manipulated.

The first thing that would help with creating real HR measures of success would be to decouple our bonus compensation and measures. Having a person design their own measures of success and tying it to a compensation outcome is a recipe for failure and underperformance. If anything, HR and TA should have their bonus tied to business success outcomes and measure functional success separately. In the long run, a highly successful function should help the business achieve better outcomes.

This one practice frees us up to really dig into our data and our technology and redefine what success looks like around the HR umbrella of functions. To really use our data and our insights to reach new levels and better understand how we can make an impact and improve. We should feel like we can build measures of success and fail at those measures without killing our livelihood. That’s the only way we can hope for true change and worthwhile long-term measures that help us succeed.

What I’m finding is the HR technology community is ready to help us do this. We just have to ask them! We have to ask them to define our success using a data analytics approach and understand the outcomes and insights we can gain from these new measures. This also takes a big of courage because we’ll be leading not following and that’s always a vulnerable spot. But, one I think separates great leaders from average leaders.

What’s Your Beauty Premium at Your Remote Job?

Posted on by
2

If you know me, you know I love talking about beauty and attractiveness and the impact it has on work! We like to think that how you look has nothing to do with how you perform. Ugly people are told that from birth! “It doesn’t matter how you look, Timmy. You can still be great!”

Academically, that actually does prove out very well, in study after study. In fact, it’s kind of the opposite, and it might be the biggest thing no one talks about at work. This week the newest beauty study hit the street titled, “Student beauty and grades under in-person and remote teaching.”

Okay, I know you’re saying this says student, not employ, so it doesn’t count! Bare with me…

First, this is a legit study, not some vendor survey thing. This was done by a legit PhD at a legit university.

What does the study say?

  1. Both men and women have a beauty premium in terms of their performance. This means, that more beautiful you are in a university class, the more likely you are to be graded higher. (This is real!)
  2. With in-person classes, the beauty premium is the same for men and women. Basically, pretty boys and girls equally get an advantage in grading.
  3. With remote classes, the beauty premium only works for men!

Why does this matter to remote work?

If we know there is a beauty premium in human behavior when judging the performance of students, how hard is it really for us to believe our supervisors and managers also don’t have a beauty premium when it comes to determining work performance? I would argue that there is very little difference between the two judging activities.

This means as many of our jobs switch to remote, we now have an issue with women having their performance judged harsher than men when working in a remote environment because they will no longer get any beauty premium. Again, this only works with beautiful people. The ugly ones were already getting judged more harshly.

We love to believe that remote work favors females for a number of reasons. Saving time on the commute, easier to arrange care for kids and those they might be responsible for, etc. But now we have this issue!

The work beauty premium is real, and it’s not!

The beauty premium is measurable and has been proven in a number of studies. When judging people, we find it more difficult to judge pretty people harshly but easier to beat down ugly people. It’s not real because it’s totally an unconscious bias that even when we know it’s a problem, we ignore it and keep promoting pretty people over maybe higher performing people who aren’t as pretty.

I just find all of this so fascinating! Two-fold, one in that I’m not what any study would find as traditionally “beautiful” from the male standpoint, and that over a long period of time, centuries, genetically, this actually plays out across all cultures. While one culture might like light skin, tall, slender, and those people will have a beauty premium. Another culture might prefer dark, short, chubby people, and that beauty premium plays itself out.

I just need to find the one culture that likes gingers!

Being Fully Authentic Is The Worst Advice You Can Give Someone!

Posted on by
5

I went to the SHRM Annual Conference this past week. I bet there had to be six different sessions, all jammed packed, with speakers telling HR Pros to “Become their Authentic Selves”. Just typing that makes me throw up in my mouth a little.

I call this content, HR Lady Candy. You might think that is sexist but it’s just data. 80%+ of the SHRM audience is female. Those of us that speak at SHRM are building content for women. Viewing the packed rooms, HR Lady Candy sells and it sells well!

But, it’s awful advice!

If you are truly authentic and bring your whole self to work, you are bringing all of you and I’m just going to take an educated guess that there are parts of you better off left at home. Parts of you that you yourself aren’t extremely proud of at certain times. Yes, these parts are part of you, but just as I don’t walk around outside my house naked, there are certain things I don’t need others to see.

I don’t judge these speakers and their full rooms. It’s so good damn empowering to feel like you aren’t true to yourself and have someone on stage in a power position telling you to “just do it!” It’s freeing. You want to run out of that room and just let your freak flag fly! But usually, in reality, that freak flag isn’t the freeing and empowering tool you hoped it would be.

The vast majority of us in the world, need a good-paying job with good benefits. The vast majority of us want to work hard and get promoted. We want to be the best version of ourselves as much as we can. We want to be wanted by others and grow our relationships with like-minded people. “Like-minded” means how we think like most of the time. Not how we think in our worst and most vulnerable moments. No one wants to be judged in those moments. Yes, that is part of our true self, but it’s not the true self I want others to see.

But, that content isn’t very sexy. No one wants to go sit and watch a speaker say, “Just be more normal!” it’ll work out, on average, a ton better for your career!

Freak flag flyers are awesome. We celebrate them. It usually works out for about 1 out of 1,000. Are you willing to bet your career on a .01% chance of success? What if I said the freaks are successful 1 out of 5! Oh, 20% of the time they are successful. Will you stake your career on that? Doubtful, that’s still really risky!

We love to believe the SHRM HR Lady audience is super conservative. That tends to be the profile of HR professionals. This just might be why we are so attracted to the “live your true self” content. We like it because we know we’ll never really do it, but it feels so good to dream!

How to Improve HR Conferences Post-Pandemic

Posted on by
5

Hey gang, I’m on my way back from SHRM Talent in Denver and thinking about how we can improve the conference experience. My favorite conference to attend is SHRM Talent. Almost everyone I run into as a TA title and these are my people! Shared pain brings us all closer together!

I was having a conversation with an attendee with the premise, what if never had HR conferences, so we had no preconceived notions of what an HR conference should be, what would we do differently? Here are some of my ideas:

– Virtual conferences suck. The interaction is limited at best. I would love to see what Facebook/Meta spaces could be for virtual if we all had headsets in a virtual conference hall. So, I’m saying conferences should be in-person, but I know we’ll always have a virtual component moving forward.

– A one-hour+ presentation sucks. I actually don’t mind doing them because I love to hear myself talk! Also, in an hour you can fumble around and still get to the end with no problem. 15 -30 minutes you must be tight! You must get to the juicy stuff quickly! People pay greater attention to shorter time segments. We love TEDx presentations because they are 17 minutes and it leaves us wanting more!

– Every conference should have some sort of professional speed dating. The real reason we go to a conference is to expand our professional network, so we have folks to lean on when we need help outside our normal work network, which tends to be limited.

– Let’s say 500 people attend a session and on a scale of 1 to 10, let’s say 30 people give it an 11! They love it! They want more! Those 30 people should have some sort of way to set up additional times outside of the conference for further discussion and networking. Community building makes your conferences more sticky. 

– Don’t put everyone in dark conference ballrooms! Set up a stage outside in the sun and let folks get some vitamin D. RecFest in London is great at this. But you also have to have some balance for those who can’t take all the heat all day. But, if I’m in Vegas or Scottsdale in October, put a stage outside and let folks get some fresh air. We all need some recess! 

– More coordination amongst conference organizers. In 2022, this spring, I’ve already run into a week where there are 3 conferences going on in the same week that I want to attend. Can’t there be a big shared Google calendar? Hung Lee put one of these together but not enough conference organizers know about it, so they all plan their stuff in the same weeks.

– Better food and drinks. It’s 2022, and we can’t figure out what people want vs. these are the options we offer you? My kid’s high school can have a food court with 15 options, but somehow I’m paying $2,000 to attend an adult conference and I get dry chicken and wilted lettuce?! And never any diet Dew!? (Except SHRM Talent – Shoutout, I had diet Dew every day!)

– Put the best speakers and keynotes upfront. We do this dumb thing where we try and keep conference attendees to the end by putting the best content last. It doesn’t matter, 40% of the folks are taking off early. Every. Single. Time. Stop trying to force people to stay at your conference longer than they want. Just put the best upfront when everyone is there, and let the ones with average content get better with fewer people watching. Unless you have Oprah or Michelle Obama as your closing keynote, you’ll always have a big number taking off on the last day to get home at a decent time.

– Make attendees commit to expo demos. You get to come, but you actually need to do three demos. You think you’ll hate them, but you’ll actually learn something. If you don’t do them, you don’t get invited back. We’re here to learn and be better, it’s okay to place some expectations on attendees. I know this sounds stupid, but I think it would actually help HR Pros.

Okay, what are your HR Conference ideas?! Hit me in the comments, let’s come up with some awesome ways to make them better.

The Tim Sackett Covid Vaccine Employer Policy!

Posted on by
8

Let me start this by saying I’m 100% pro-vaccine. I’m vaccinated and my entire immediate family is vaccinated. I encourage everyone to get vaccinated where it’s healthy for them to do so.

Organizations are really struggling right now to figure out what they should do about Covid vaccinations and employees. We see some giant employers mandating vaccinations and I’ll also publicly say I think that mandating vaccines for 100% of your employees is basically stupid.

Wait, what?!?! (TRIGGERED!)

I get that we all want everyone to be safe. I do as well. I also pay attention to the science and after you had Covid, there is no reason to get vaccinated. There is a growing mountain of global research and evidence, from real doctors and scientists that care about ending this pandemic, that show those who have had Covid already carry the same amount of antibodies as those who have been vaccinated. So, forcing someone who has had Covid to get vaccinated, is frankly, stupid!

Too many good employees are losing their jobs over this and many of these folks have valid reasons to not get the vaccine, and some honestly have already had Covid and don’t need the vaccine, but we are forcing it upon them for really no reason whatsoever.

The Tim Sackett Covid Vaccine Employer Policy

1. If you want to work here you have to get a Covid vaccination. We care about each other. We care about our customers and clients. We all want to live our best lives, alive.

The caveats:

  • If you have had a verified case of Covid. That means you have to be able to show a positive PCR test, and or a blood anti-body test that shows you previously had a positive case of Covid, you do not need to get the vaccine as a condition of employment.
  • If you have a religious objection to getting the Coivd vaccine, you do not need to get the Covid vaccine. But you do have to document your objection (see form A). This form gives you the ability to explain your religious objection and it also has you sign off that our company is not responsibile for your medical care if you become Covid positive. Upon completion and signature of this form A, we will not require you to get the Covid vaccine as a condition of employment.
  • If you have a medical disability where a doctor documents that it is not in your best medical interest to get the Covid vaccine, we will not require you to get the Covid vaccine as a condition of employment.
  • If you receieve a religious or medical accomodation, and you have not recieved a Covid vaccination and you have not had a verifiable case of Covid, you will be required to wear a medical approved mask while at work over your nose and mouth. We will provide you with a mask if you choose not to have an approved mask of your own.

Policy Instructions for HR Leaders and Executives:

  • If someone fills out Form A and signs it. Accept it and walk away.
  • If someone brings you a signed doctors note saying they shouldn’t get the vaccine for medical reasons. Accept it and walk away.
  • Ensure no one, either vaccinated or unvaccinated, is discriminating or harrassing the other because of their status.

That’s it. That’s the policy. Short and simple. The best policies are.

I know some folks will lose their minds about this. I get that. I’ve heard stories about HR departments forcing people to “prove” their closely held religious beliefs. I mean, really?! This is time well spent? Forcing someone to prove their religion. Come on, we are better than this. We are smarter than this. There are better ways we can torture employees, right!?

I think there are only two real arguments when it comes to mandated vaccinations:

  1. Hey, let’s try and not kill people! But, it’s basically them killing themselves, not the folks who already got vaccinated. As both vaxed and unvaxed are passing the virus around to each other. But those who are vaxed are much more likely to have a less severe case.
  2. Hey, you getting a bad case of Covid cost our insurance plan a ton of money, which means we all now have to pay for your stupid decision. This is a super valid argument, and if I’m running a big HR shop I would really be thinking hard about a “Unvaxed” health insurance premium. Great! You don’t want a vaccine, your insurance now costs an additional $2000 per month.

FYI – for those looking for a link to “Form A” there isn’t one. It’s just an example of what we do and what we make in HR. If you want a Form A go make one, you don’t need my help!

What About Me!?

Posted on by
Reply

The year is 1981, the artist is Shayne Ward, the song is “What About Me” (Look it up, kids!). I actually sing this to my wife all the time as a joke:

The chorus:

“What about me, it isn’t fair
I’ve had enough now I want my share
Can’t you see I wanna live
But you just take more than you give”

What about the employees who have that are staying!?

We all have a lot of employees who are leaving us. I’ve had a couple of really great folks of my own that have left for new positions. I also have the vast majority that have stayed and are also really awesome!

We do this stupid thing in organizations that I hate. It’s been going on forever. We tend to really overvalue new employees and employees who are performing that leave, and we totally discount the folks who stay. Dare I even say, those who are “loyal” and stay. That’s a trigger I know, because honestly, those who left were loyal also, until, well, they left.

I mean, just because someone leaves for an opportunity that feels is right for them and their family doesn’t make someone not loyal. I believe disloyalty is when someone purposely tries to hurt your organization, and as such, is trying to hurt all the employees who actually work there as well. That’s way different!

We have this fixation on trying to “save” an employee who wants to leave. I actually think trying to save good employees is a good investment. The problem is, we also need a “save”/retention strategy for all those employees who are killing it every day and not going anywhere. They need the love as well!

Wait, isn’t that just good old fashion employee engagement or good new fashion employee experience?

Yes.

Yes, and in certain times it’s also more than that. In times of terrific economic advantage to workers, like we are now in, we probably have to do a bunch more. You can show your employees some love, or someone else will!

I had a number of conversations recently with really smart leaders around pay and compensation. In times like we are in right now, compensation market-level data can’t keep up. It never really can, but it usually doesn’t move this fast, so being 3-6 months trailing is okay. Right now, you can not be one month behind. Actually, your recruiters probably have better market data than your compensation team. They are seeing it with accepted and declined offers every day, with pre-screen expectations, with comments they are hearing from hiring managers on offers they are hearing about.

Don’t kid yourself, it’s about pay until it’s not about pay.

We have been sold an old paradigm that we love to believe is true, but it’s only half true. Pay being equal, all the culture and leadership stuff matters. Pay not being equal, no one cares about your stupid skills development program, and Billy the nice boss. First, pay me what I should be getting.

We have a major crisis on our hands right now as organizations. You can only solve so much of this by backfilling talent and turning on your recruiting machine. You first have to turn off the exit pipeline leaving your organization. Settle down the turnover and it will be easier to recruit and build back to where you need to be.

You have a ton of employees who are staying and not resigning. Those folks are now doing more to take up the slack because turnover is so high. As leaders, this is the time you actually make your money. Full court press on making sure your folks are taken care of in the ways that are important to them, that they feel appreciated and seen, that they matter.

It’s not about the folks leaving. It’s about the folks who are staying!