How Do I Improve Employee Retention?

Dean Withey 5 min Published 30 Jun 2026 Last reviewed 30 Jun 2026

With 35% of UK workers considering leaving their jobs, improving employee retention is vital. Discover what is likely to close and where your time is best spent by understanding the power of stay interviews and employee feedback.

The 5-minute answer

Improving employee retention involves conducting stay interviews, leveraging customisable surveys, and addressing key factors like career growth and job satisfaction. A proactive approach, focused on understanding employee needs and concerns, is crucial. Businesses that prioritise employee wellbeing and offer opportunities for development are more likely to retain their workforce.

Key takeaways

Conduct stay interviews to understand what keeps employees in their jobs.
Use customisable surveys to gather feedback on job satisfaction and areas for improvement.
Address non-pay factors such as role design, flexibility, and professional development.
Recognise that employee turnover costs can be significant, over £30,000 per employee.
Prioritise employee wellbeing and mental health support.

Employee Retention Scenario: 'The Corner Cafe'

Imagine 'The Corner Cafe', a small coffee shop employing 8 baristas and kitchen staff. They’ve noticed a turnover rate of 40%, costing them time and money on recruitment and training. Here's how they implemented stay interviews and surveys:

Stay Interviews (Cost: £0 - Manager Time): The manager conducted one-on-one, 30-minute stay interviews with each employee over two weeks. They asked questions like ‘What do you enjoy most about working here?’ and ‘What could we do to make your job better?’.
Customisable Survey (Cost: £30/month - Stribe Software): They used a survey platform to create a short, anonymous survey. Questions focused on job satisfaction, workload, and opportunities for development. 100% of staff completed the survey.
Data Analysis & Action Plan (Cost: £0 - Manager Time): The survey revealed that 75% of staff felt their workload was manageable, but 60% wanted more training. The manager implemented a cross-training program to cover busy periods and scheduled barista training courses.
Follow-Up & Communication (Cost: £0 - Manager Time): The manager shared the survey results with the team, outlining the action plan. They held a team meeting to discuss the changes.

Results: After three months, 'The Corner Cafe' saw a reduction in turnover to 25%. The cost of the survey software (£30/month = £90 over three months) was far outweighed by the savings from reduced recruitment costs. The team felt more valued and engaged, leading to improved customer service and a more positive work environment.

01Conduct Stay InterviewsSchedule one-on-one meetings with employees to discuss what keeps them engaged…
02Analyse Survey ResultsUse customisable surveys to gather feedback on job satisfaction, career growth…
03Address Key ConcernsIdentify common themes from interviews and surveys and develop targeted strateg…
04Implement ChangesRoll out initiatives such as training programs, career development opportunitie…
05Monitor ProgressRegularly review employee retention rates and survey results to assess the effe…

What are the main steps in improving employee retention?

Improving employee retention starts with understanding why people stay in their jobs. Stay interviews are a powerful tool for this. Unlike exit interviews, which happen when someone is already leaving, stay interviews focus on current employees and what keeps them engaged. These conversations should explore what aspects of their role they enjoy, what motivates them, and what potential issues might lead them to consider leaving.

Alongside stay interviews, regular employee surveys are essential. Customisable surveys allow you to target specific areas of concern, such as job satisfaction, workload, or management support. Stribe offers software to help with this, providing a platform to gather and analyse feedback effectively. The data from these interviews and surveys should then be used to create an action plan, addressing any issues raised and demonstrating a commitment to improving the employee experience. Remember, it’s not enough to ask for feedback; you need to act on it. Regular follow-ups and transparent communication are vital to show employees their voices are heard.

How can UK small businesses avoid common mistakes with employee retention?

Many UK small businesses fall into the trap of thinking that pay is the sole motivator for employees. While competitive salaries are important, they are not enough to guarantee retention. Employees increasingly value factors such as job quality, flexibility, and opportunities for professional development. Overlooking these aspects can lead to high turnover, even if salaries are competitive.

A common mistake is failing to recognise that employees need more than just a paycheck. They want to feel valued, challenged, and supported in their roles. This means providing opportunities for growth, offering flexible working arrangements where possible, and creating a positive and inclusive work environment. Ignoring employee wellbeing can also be detrimental. With around 42% of UK workers reporting feeling unwell at work, prioritising mental and physical health is crucial. Small businesses should also avoid neglecting regular performance reviews and feedback sessions, as these are vital for identifying and addressing employee concerns before they escalate.

What are some actionable strategies for improving retention rates?

Beyond stay interviews and surveys, several actionable strategies can improve retention. Invest in employee training and development. Providing opportunities for upskilling and career progression demonstrates a commitment to their growth. Offer flexible working options where feasible. Remote work or flexible hours can significantly improve work-life balance, increasing employee satisfaction.

Recognise and reward good performance. Acknowledging employees' contributions, both publicly and privately, boosts morale and motivation. Foster a positive company culture. This includes promoting open communication, collaboration, and respect. Consider employee wellbeing initiatives, such as mental health support or wellness programs. Finally, ensure managers are equipped to lead effectively. Providing leadership training can improve employee engagement and reduce turnover. Tools like Stribe's survey software can help you measure the impact of these initiatives and track your progress over time.

What we'd actually do

How Do I Improve Employee Retention?

I strongly recommend conducting regular stay interviews and utilising customisable surveys. The insights gained are invaluable for understanding employee needs and addressing potential issues before they lead to resignations. Prioritising non-pay factors like role design, flexibility, and professional development is essential for long-term retention. Don’t simply collect data; actively act on the feedback received to demonstrate your commitment to employee wellbeing.

Watch on YouTube How Do I Improve Employee Retention?

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Read the transcript

Most managers assume retention is a pay problem. So when someone quits, the instinct is to offer more money. But the decision to leave is usually made long before salary ever comes up.

Around a third of UK workers say they are considering leaving their job, and employee retention ranks among the top five HR challenges for more than a quarter of UK employers. So this is not a niche problem. The CIPD is clear on this: pay is not a silver bullet. When you look at why people actually leave, the structural drivers are whether they feel valued day-to-day, whether their onboarding set them up properly, and whether their manager is capable of having an honest conversation before it is too late. Of those planning to quit, only around a third cite pay and benefits as the primary reason. The majority are leaving for job satisfaction, growth, or because they feel their manager simply does not care. That gap is where most retention efforts fail — and it is also where the opportunity is.

Here is the structural problem: the tools most managers rely on arrive too late. Exit interviews tell you why someone left. They do not tell you who is about to. Worse, people rarely give the real reason when they resign. They say 'a better opportunity' when they mean 'my manager never recognised my work'. So the feedback loop is broken. The other common mistake is launching a broad retention programme without first diagnosing what is actually broken. Perks, pay reviews, and engagement surveys spread effort across everything and fix nothing specific. Before you invest in a programme, you need to know what the actual problem is.

There are three structural levers worth your time this quarter. First, the stay interview. This is a short, structured one-on-one with your best people, focused on two questions: what keeps you here, and what might cause you to leave? Not a performance review. Not a survey. A direct conversation. It gives you the diagnosis everything else depends on. Second, an onboarding review. Early turnover is disproportionately high, and it is often caused by unclear role expectations in the first few months. If you are losing people before their first anniversary, your onboarding process is the lever to pull. Third, manager capability. Research consistently points to poor management as a leading driver of departure. If your managers cannot have honest, timely conversations with their teams, no retention programme will compensate for that. So which one do you start with? Simple rule: if you do not yet know why your best people are staying, start with the stay interview. It is the diagnostic that makes every other action more useful. Run it this quarter, not after someone hands in their notice.

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Sources

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