Young professionals are emerging from the academic world with a lot of hope, drive, and excitement to find career success. However, that enthusiasm is being tempered by several pressing concerns.
A June 2016 survey done by my organization, HonorSociety.org, found that their top concerns include paying off their student loans, maintaining a work-life balance, and moving up in a company. These are common worries, but companies can directly address these in order to attract and retain young professionals.
Here are a few solutions to consider:
Help Pay for College
Assist employees with the financial burden of college. Offer tuition reimbursement for those who want to earn a degree relevant to their current position or career path. For example, if you hire a freshman as a sales representative, help them pay for tuition while they earn a business degree.
Another popular trend is student loan repayment programs. Companies like PricewaterhouseCoopers and Chegg give their employees a specified amount of money each month to put toward paying off their loans.
This employee benefit is still finding its legs, seeing as just three percent of employers offered the perk in 2015, according to a survey conducted by the Society for Human Resource Management. However, there is a need for it ― 55 percent of student loan holders surveyed by Iontuition in July 2015 said they would rather see health benefit contributions from their employer go toward paying off their debt. In addition, 49 percent said they would rather have student loan payment contributions than a 401k plan.
These programs are indeed effective at easing that burden on the back of young professionals. A March 2016 NerdWallet report looked at the effect of a company contribution benefit in reducing payments for student loan holders with an average debt of $29,400. They found that when employees make minimum monthly payments and apply the benefit, the time to pay back the loan is cut down by three years, on average. And paying off the loan three years faster means employees saved about $4,100 in interest payments.
Easing financial burden is not just for retention ― it affects productivity, too. A study published by Rand in 2015 found that financial concerns put a dent in worker productivity. Not only will a student loan reimbursement program attract and retain young professionals, but it may also help them perform better.
Show Them Balance
Teaching work-life balance to your staff starts with you ― lead by example and learn how to achieve your own work-life balance. Develop hobbies, take your vacations, and leave work at the office.
Relate with your employees on a personal level by asking about their hobbies and other interests outside the office. Make time for socialization so the workplace doesn’t feel like a place where employees can’t be themselves.
According to a recent report from Gallup, employees who are engaged at work and report good well-being are 30 percent less likely to miss work. Over the course of a year, these employees miss 70 percent fewer workdays due to poor health than those who aren’t engaged and don’t have high well-being.
Attaining a healthy work-life balance results in improved well-being. Give your employees direction in developing this. For example, offer scheduling flexibility with flextime or let them work remotely if an occasion calls for it. Set work curfews to discourage them from doing any work-related tasks after office hours or during the weekends.
Offer Growth Opportunities
Young professionals want professional development opportunities and will go elsewhere to get them. A 2015 LinkedIn survey found that 45 percent of the 10,536 people surveyed who changed companies between late 2014 and early 2015 say they left because they were concerned about a lack of advancement opportunities. Fifty-nine percent say they started a new job for a stronger career path and more opportunity.
Prevent young talent from seeking greener pastures. Offer educational resources like online classes, seminars, and workshops, to give them the tools they need to become who they want to be.
To encourage them to join professional organizations, provide a database of organizations relevant to their field, and pay for their membership costs and event fees. Professional organizations are great for employees who want to expand their industry knowledge and professional network, share ideas and learn from colleagues at events, develop a sense of authority of their career, and seek out meaningful experiences to help better their communities. They can even share what they’re learning at lunch and learn events with the rest of their team.
When employees educate others, your company creates a culture of lifelong learning. To give young professionals some one-on-one guidance, start a mentorship program. The program should consist of a committee that oversees each mentor-mentee relationship to ensure participants are hitting their goals and learning what they want to learn.
When you invest in your staff, you create a strong relationship founded on trust and mutual respect. Young talent is bound to apply for and stay with employers who understand their biggest concerns and proactively provide solutions for them.
How are you attracting and retaining young professionals?
Mike Moradian is the executive director of HonorSociety.org, an honor society that recognizes academic achievement and provides valuable resources and tools to its members. Connect with Mike and HonorSociety.org on Twitter at @HonorSocietyorg.