BOSS-EMPLOYEE RELATIONS
A KEY TO TALENT RETENTION

As the availability of qualified employment candidates continues to shrink, a widespread cottage industry has developed regarding the retention of current employees. Employers are bombarded on a continuing basis by pamphlets describing the almost magical value of plaques, rings, posters and gadgets as relates to keeping employees from exiting. Consultants conduct study after study regarding the value of monetary incentives - as opposed to non-monetary incentives. Cash bonuses, vacation trips, all manner of goodies are developed to improve employee morale.

Offices are reconfigured every few years from private offices to cubicles to open space. Ergonomic consultants rearrange the height of computer workstations: lighting is studied, and office temperatures vary depending on the time of the day.

All of these and more! Without question, each and every one of the above activities has value. Each contributes to creating positive change (at least in the short term) in the eyes of employees.
The perceived benefit in the eye of the employee is where the intended long-term relationship building and mutual commitment are diluted.

Notwithstanding the irresistible appeal of instant wealth created by successful IPO's , or some unusual perk whose continuing value is several standard deviations above the market, or arid advances in technology for Internet types, employees remain ( and conversely leave) their place of employee primarily due to the quality of the relationship with their boss. 

While conducting three management seminars in January and February, we surveyed 75 participants seeking to ascertain the reason(s) they quit their last place of employment. Options presented included: pay: job security: relationship with boss: technology, advancement opportunities, perks, work environment, and a catch all - other. The attendees were from various companies and cities: were in the managerial, professional and paraprofessional categories, and were being prepared for positions of increased responsibility. The survey was a paper/pencil survey with anonymity ensured. In order to further protect participants from being impacted by any prejudice of materials to be discussed by our presenters, the survey was presented prior to any discussion on the subject which we describe as THE INCONTINENT BOSS (a manager whose personal needs and ambition take precedence over those of the organization and employees). In addition, the agenda was not made public so as to avoid participatory bias. I have to admit the results were startling:

Reasons for voluntary resignation % of participants
Pay 12%
Job Security 5%
Relationship with Boss 64%
Technology 6%
Perks 3%
Work Environment 2%
Other 5%

With an extremely tight labor market, unemployment is less than 2.0%, employers are innovatively constructing wage, perk, educational and other programs to retain the best and brightest. That is whom we were surveying; the best and brightest slated for upward mobility and more responsibility. So what is the common dissatisfier, which motivates them to pursue another career opportunity?
Not surprisingly, a common thread is that of exasperation with their former bosses interpersonal communications skills. In addition to the usual recognized deficiencies of truth bending, political intrigue, and the little white lie phenomenon, we found that many superiors both neglect and avoid communicating sustentative information to groups of employees. While bosses pass along good news or discuss a company's mission with selected individuals, there is a prevalent absence of interaction of senior management with the general employee population. 

Executives tell us they don't have enough in common to know what to say to the average employee: employees don't have a need to know what is happening: employee meetings are a waste of time: and employees are motivated only by their pay so why bother. These excuses can be traced to the well-disguised lack of self-confidence of leaders. In front of clients, behind their software analytical tools, etc. they are superb. In front of a group of employees, whether a company wide meeting or leading a discussion with 5 or 6 mangers they melt and shrink. The consequences to the company? Other bosses and team leaders model this behavior. They communicate only on a need to know basis. As meaningful communications slows to a trickle, employee dissatisfaction increases. The best and brightest grow exasperated at fighting the system and quietly, without fanfare, head to the exits. Their real reason for leaving rarely shows up in exit interview statistics. Reasons such as found a better opportunity, or more pay cloud over the true rationale and provides cover so the individual avoids burning bridges on their way out the door.

Secondly, in this time of political correctness, and the desire on the part of managers to be targeted for making errors, we find a pervasive avoidance of the twin towers of confrontation and responsibility. Confrontation has come to be viewed in a negative light. Yet, most employees recognize that positive discussions lead to personal growth, help to see situations and problems in a broader light, and clears tension from the air. Lack of involvement leads to unease, distrust, and eventually the employee feels they have been victimized. Facing employees on a timely basis, and conducting a discussion directed at solving a problem leads to trust and mutual respect. Avoidance of confrontation mires both parties in a quicksand type environment where both want to resolve the difficulty at hand but are unable to bridge the canyon of uncertainty.

Summarizing, in addition, those who supervise others need to step out from their offices or cubicles and regularly dialogue with the mass of employees. State of the company meetings, announcements of new client accounts, visions of the future are invaluable communications actions, which can contribute towards retaining and motivating the superior performers. Secondly, when there is a problem, deal with it on a timely basis using specific data. Both personal attacks and avoiding the discussion lead to an employee's silent compliance and a silent exit to another opportunity.

Copyright © 2002 RLH & Associates, LLC. All rights reserved.