Do You Need a Key-Employee Retention Program?

When is ignorance bliss?

Whether you are running a small business or a large corporation, chances are that the longevity of your business and your company’s financial success is dependent on one or more key employees. And when you have select employees that are so vital to your business, you are not taking necessary precautions if you are not taking steps to ensure that those employees will stay with your company and continue to be a positive force for your business.

Consider each of your executives and staff individually, and think in these terms – if they left the firm, would there be a negative impact because:

  • The employee has the ability to take clients when exiting?
  • The employee has an essential skill/license/credential that would shut off an income flow when exiting?
  • The employee has no non-compete agreement, and might not sign one if asked?
  • The employee has a vulnerable financial status (which could be improved with an appropriate plan in place)?
  • The employee has asked for a promotion, and was rejected?
  • There are one or two employees who have the essential skills necessary to run the business and are not replaceable?
  • A segment of the business has no trainees to replace key members, and the job market has no available replacements?
  • Your business does not have a cross-training program, and one or more employees are essential to its survival?

If you see a potential hazard to your company’s longevity, you should consider establishing an affordable retention program for your company. Along with providing incentives for your key employees to increase their loyalty, you also should give consideration to an appropriate benefits package that provides consistent, uniform benefits to help your employee retention efforts.

Be sure to look at all the options available to you as a business owner.