.In order to maximize employee retention, a human services nonprofit agency must consider critical areas: comprehensive and competitive benefits, work-life balance, and career development and growth opportunities. These areas are important because they address employees’ needs and well-being, which is critical for retaining top talent and ensuring the organization’s success. First, providing competitive, comprehensive compensation benefits and promoting work-life balance are important for maximizing employee retention in a human services nonprofit agency. Comprehensive benefits and work-life balance are important for retaining employees because they contribute to their overall job satisfaction and well-being. Your best employees will stay with you if they find that they are happier in their current position than they could reasonably expect to be elsewhere (Brew, 2014). For instance, family-friendly environments and opportunities for increased responsibility may motivate nonprofit employees more (Worth, 2020). Family-friendly work environments in a human services nonprofit agency could include flexible work schedules, remote work options, paid time off for personal and family needs, and on-site daycare. Having comprehensive and compensation benefits shows employees that they are valued and their hard work is recognized. Furthermore, they are also more likely to stay with the organization for a longer period of time. Other examples of comprehensive and competitive benefits include comprehensive and customizable health insurance, retirement plans, pension plans, and opportunities for professional development and continuing education.
Next, employees in the human services field often face high levels of stress and burnout due to the emotionally demanding nature of their work. Therefore, offering comprehensive benefits such as full coverage health insurance, paid time off, and retirement plans can help alleviate some of the financial pressures and provide a sense of security and support for employees. In addition, promoting work-life balance is crucial for preventing employee burnout and improving job satisfaction. This can be achieved by implementing policies and practices that allow for flexible work schedules and telecommuting options. For example, a study conducted by the Society for Human Resource Management found that organizations that offer flexible work arrangements, such as telecommuting or flexible scheduling options, experienced higher levels of employee satisfaction and retention (Celayix, 2024). As a result, they saved an average of $2,000 per employee in turnover costs.
Furthermore, research supports the importance of benefits and work-life balance in employee retention. Kalev & Dobbin’s (2022) research found that work/life balance programs improve employee mental and physical health, increase productivity, and reduce turnover. Also, Tenney (2024) asserts that competitive, comprehensive compensation packages help organizations attract and keep top talent and can lead to greater employee satisfaction, making it more likely employees will stay. Tenney (2024) indicated that, as is typical, salaries are an important factor here, but benefits are becoming increasingly important to workers who are considering their options. Notably, in the absence of a competitive salary, many nonprofits are getting creative with their benefit packages to keep their employees happy at work (Brew 2014). For example, Brew (2014) asserts that she would trade a higher salary for working in an environment where she feels well-cared for holistically.
Another important area for maximizing employee retention in a human services nonprofit agency is a retention strategy that provides opportunities for professional growth and development. Employees in the human services field are often passionate about making a difference in the lives of others and may seek opportunities for personal and professional growth. Organizations that prioritize career development and offer growth opportunities are more likely to attract and retain talented employees. These opportunities can include offering training and development programs, mentoring or coaching programs, tuition reimbursement, and opportunities for advancement within the organization. Frontiers in Psychology (2022) published research indicating the importance of career development and growth opportunities for employee retention. The study found that providing opportunities for professional development leads to increased employee engagement. Providing opportunities for professional growth and development allows employees to enhance their skills, knowledge, and abilities, which not only benefits them personally but also improves their performance and effectiveness on the job. This ultimately contributes to the organization’s overall success and increases employee satisfaction and retention. Notably, according to Brew (2014), a good retention strategy is also an effective recruitment strategy. She contends that by establishing a reputation as an employer who values its employees, you can attract top talent while saving money on hiring. Brew (2014) advises that employers should consider organizational culture, compensation, and benefits to enhance employee engagement, leading to higher retention and lower turnover.
