The buzzword “company culture” is heard often these days. The catchy phrase brings to mind images of office bars and workplace yoga. While it sounds like two words describing superficial office perks, employment insights reveal that company culture is far from a trend. It is more important than ever for companies to understand how their staff prioritizes workplace culture and work-life balance over money.

It has always been important to treat people well. However, company culture has increased in value recently due to a few crucial factors. One element is a change in power dynamics between employers and employees. Due to a global labor shortage, there are currently more jobs than people to fill them, so employees have the edge over employers seeking talented candidates. The COVID-19 pandemic compounded the impact of the labor shortage and dramatically altered the working landscape. During the pandemic, many employees took time to reassess their career values and prioritize flexibility and work-life balance over salary. Consequently, unfulfilled employees change jobs if an organization cannot meet their lifestyle expectations.

Due to these factors, companies face unprecedented challenges when retaining superior talent. While businesses adopt malleable hiring conditions to meet these changing priorities, recruitment insights reveal that more comprehensive adaptations to company culture are necessary to maintain the best employees.

New employment laws in Canada have also produced more holistic health frameworks for businesses. Psychological wellness is now part of health and safety regulations like CNESST, requiring companies to have integrated staff well-being programs. A study by Globoforce shows that these programs effectively improve company culture and retention. For example, “89% of workers at companies with well-being initiatives are more likely to recommend their company as a good workplace.” Studies also show investing in company culture is not only beneficial for employees. It is excellent for business. For every demographic, it is more expensive to recruit new candidates than it is to retain talent. A report from CAP indicates that replacing them costs twice an employee’s annual salary. In comparison, when you invest one dollar in well-being to retain an employee, you get exponential return year by year, increasing productivity and growth long term.

Défis RH is answering our client’s growing need for help with establishing and maintaining healthy company culture. Our new HR services help companies evaluate their workplace culture to make positive and proactive adjustments to retain quality talent. Below are some vital insights that we focus on when assessing company culture:

Leadership

Cohesive and robust organizational leadership empowers employees to remain loyal and overcome obstacles together. People will leave for a bad leader but stay for a good one.

Salary and Equity

An equitable salary helps employees feel respected and valued. Companies prioritizing a market-rate wage equal to employees of similar status let employees know that everyone is compensated equally in the organization.

Support

Companies must assist employees through personal and professional challenges to foster a supportive workplace environment. A Salesforce report shows that 96% of employees believe showing empathy is a critical way to advance retention and empower their best work.

Workload

When a company ensures employees have a balanced workload, it improves well-being, employee engagement, and productivity. Underworking can lead to boredom, and overworking can lead to burnout. A Gallup study shows that highly engaged teams show 21% greater profitability and 59% less turnover.

Communication

Companies prioritizing safe spaces for open communication and honest input let employees know their voices are valued. Regular surveys and communication forums help promote healthy and continuous dialogue between managers and staff throughout the organization.

Understand Each Employee

Businesses that recognize and nourish their employees’ potential communicate that they want them to develop and succeed. Each employee’s personality and career aspirations differ, so it is vital to ensure candidates fit the business culture and can grow. Always be open about the position’s trajectory and future opportunities when recruiting new candidates.  

Values  

Businesses that clearly and constantly share their values with their employees communicate what matters to the organization. When employees know what the company cares about and share the same values, they are likelier to appreciate their employer and be loyal to the brand.

Human Approach

Organizations prioritizing teaching and practicing a human approach communicate to their staff that they are humans before workers. An empathetic approach helps foster trust, healthy communication, collaboration, and supportive work culture.

There is no one-size-fits-all solution for implementing work culture changes. Each company is unique, and the answer may require different approaches depending on your needs. With our new HR services at Défis RH, we help clients enact straightforward, personalized strategies for advancing company culture and retention. Led by human connection and mutual respect, together we will work through each step, from assessment and design to execution and evaluation, toward successful improvements.

It is not only about the salary when it comes to employee retention. The workplace is evolving, with employee priorities shifting towards overall well-being, happiness, and balance over salary. The key is to be proactive in the process of transforming workplace culture. It is an age-old metaphor, but you truly reap what you sow. Just like plants need regular watering, pruning, and weeding to grow, people need continuous support and encouragement to thrive.

Please contact us to learn more about how Défis RH’s new HR services can help establish and maintain a positive work culture that retains the best and brightest talent.

Jessie Fortin, Recruiting Specialist