Employee Retention

Employee Retention: Dream? Or Nightmare?

By Karen DiGioia, Herbein + Company, Inc.

Imagine, if you will, heading into the office on an ordinary Monday morning. It’s a spring day, much like today. The sun is shining, birds are chirping. The sweet smell of rain still lingers in the air from last night’s downpour. You had a few stops to make on the way in, so you know the agency will be bustling when you arrive.

The first sign that something is off comes when you get to the front door. It’s still locked. Peering through the window, you notice that all the lights are out. Confused, you check your phone, thinking maybe you lost track of the days. Could it be Sunday? But no – your home screen confirms that it is indeed Monday morning, and you’re certain that today isn’t a holiday.

You pull your key out of your pocket, unlock the door, and step inside. The office looks the same as always – well, almost. Desks are all in place with laptops neatly arranged, the phones are ringing, and emails are pouring in. The water cooler, with its familiar glugging sound, hums softly in the corner. The only thing missing? The people.

Is this a nightmare? An episode of Black Mirror or The Twilight Zone? Maybe it’s a hidden-camera prank? Nope – it’s none of those. Fortunately, it’s just a fictional tale designed to bring home a critical point: employees are an agency’s most important resource and most critical investment. Without employees, customer calls go unanswered, claims go unfiled, policies remain unsold.

Moving from fiction to reality – employees, especially good ones, are hard to find. Despite a slight uptick in the unemployment rate, it’s still low, and there are more open jobs than there are people to fill them. Add to that the skills mismatch between job seekers and the jobs that are available, and the bottom line is clear – it is more critical than ever for employers to focus on retaining the talent that they have.

When you are lucky enough to have great employees on your team, what can an agency do to keep them? In the remainder of this article, we’ll discuss the KEYS TO EMPLOYEE RETENTION (imagine that phrase delivered in a booming and emphatic voice).

Competitive Pay and Benefits

Let’s start with the basics: pay and benefits. To attract and retain top talent, it’s critical to have a strong foundation of competitive pay and benefits. Information about pay is now more accessible than ever, whether through social media, job postings, or even direct word-of-mouth between employees themselves. This level of transparency makes it more critical than ever for employers to offer a competitive package that supports their ability to attract and retain great people. However, pay and benefits alone aren’t enough. Let’s dive into the other essential keys to retention.

Flexibility

In addition to competitive pay and benefits, employees are increasingly seeking work/life integration and flexibility. In this issue’s interview with Michael Cruz, founder and principal owner of Foresight Insurance LLC, he shares how his agency has adapted post-pandemic to attract and retain talent. He has maintained a hybrid work environment and implemented a four-day work week. In talking about these flexible approaches to work, he is very clear – this “wasn’t about being trendy or trying to offer a flashy perk, it was about survival.”

While there were challenges to adopting a more flexible approach, Michael and his team made it work by using tools like Microsoft Teams Chat throughout the day to stay connected. They are intentional about staying in touch through regular “team meetings, one-on-ones, and other check-ins to ensure everyone stays aligned and no one feels disconnected.” They use RingCentral to answer calls – from the office or remote – and other shared platforms to track and manage everything from schedules to policies to client histories. Michael also uses metrics to communicate and track productivity and workloads. It’s clear, when reading Michael’s interview, that these changes haven’t just helped retain employees and reduce burnout; they’ve also improved the agency’s efficiency and strengthened the team.

Employee Growth & Development

Investing in employee development isn’t just good for the employee – it’s good for the agency, too. But what does “growth and development” mean? The answer may be different for each employee. For one employee, it may mean expanding knowledge and skills within their current job. For another, it may mean taking on new challenges in a higher-level position or new role. For yet another employee, it may mean involvement in a special project. Regular conversations with each employee should not just cover “how things are going today” but should also focus on opportunities for growth and development. By creating a tangible development plan for each employee, you signal that the agency is investing in their future – boosting both retention and long-term success.

Recognition and Gratitude

Simple words like “Thank you,” “I appreciate you,” or “Great job” go a long way. Recognition and gratitude are incredibly powerful tools when it comes to retention. When employees know their work is valued and appreciated, it strengthens their connection to the agency and the work they do. Never underestimate the impact of acknowledging a job well done and offering regular praise.

Culture

You’ve probably heard the Peter Drucker quote, “Culture eats strategy for breakfast.” But have you ever stopped to consider what that really means? While strategy is important, it’s culture that determines whether an organization can successfully execute that strategy. A company with a strong, positive culture – built on trust, respect, cooperation, and accountability – will outperform one with a solid strategy but a toxic or weak culture. It’s the culture that fuels the execution of your plans.

Strong Management

Many of the keys that we’ve already discussed are part of strong management – growth and development, recognition and gratitude, positive culture, flexibility. At the heart of strong management is communication. Strong managers are clear, consistent, and regular communicators. They ensure that employees understand the mission and vision of the agency and how their work contributes to the bigger picture. They also make sure employees know what’s expected of them and offer feedback when those expectations are met (or need improvement). This feedback loop, built on respect and constructive guidance, strengthens both the individual and the team.

Back to that Monday Morning…

So let’s rewind. It’s still a sunny spring day and the birds still are singing. That light scent of rain still lingers in the air. You walk through the unlocked (thank goodness!) front door to find a buzzing workplace full of engaged employees.

The Office Manager greets you from across the office and then goes back to his Teams Chat with a CSR who’s working from home today. You drop off the coffee and bagels that you picked up on your way in, as a token of appreciation for the team’s record-breaking first quarter results. As you move through the office, you quickly jot down a reminder to send Grub Hub gift card credits and a quick “thank you” email to those employees who are working remotely and aren’t in the office to share in the goodies today.

Next on your agenda is a Teams meeting with everyone to discuss the first-quarter results and plans for the second quarter. It’s important for everyone on the team to understand the big picture and how they fit into it. After that, you have a meeting with one of your producers to discuss the expansion of their product lines. She’s been showing a lot of promise, and you want to make sure you support her growth and keep her engaged.

On the way to your office, you stop by your Office Manager’s desk to thank him for all the extra work on the recent new system implementation. While it took a lot of effort, this new system will ensure that everyone stays connected to current customer and policy information – a critical tool in supporting your hybrid workforce.

By investing in your employees and following the KEYS TO EMPLOYEE RETENTION, your dream has truly become a reality. The agency is thriving, the employees are engaged, and you’re ready to face whatever challenges and opportunities lie ahead.

Karen DiGioia provided this article on behalf of Herbein + Company, Inc., IA&B’s contracted human resources consulting firm. As a benefit of membership, IA&B members can contact Karen for HR advice at khdigioia@herbein.com or 484-465-1201.