Corporate Toolkit

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Corporate Benefits

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Our aim is to deliver a range of tangible and non tangible benefits to all organisations across a wide range of industry sectors.

Utilising the engagement models of Freelance will deliver sustainable cost savings and workforce benefits that will contribute towards increased productivity and profit margins.

Freelance is uniquely positioned to assist both organisations and independent contractors in achieving their business and personal objectives.

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More specifically, Freelance will ensure:

Total compliance, corporate governance and risk management with all models, processes and procedures. Depending on the current arrangements, this may result in considerable cost savings.
Reduced workforce overheads
Greater workforce morale and productivity
Greater ability to attract and retain
Reduced turnover costs

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Employee Turnover Costs

Nothing can be more frustrating to a small business owner or manager than the constant aggravation of employee turnover. High or low employee turnover can be detrimental to your company. Learn what you need to know to calculate and curtail the revolving employee exit door in your business.

You first need to find the price your business pays in lost employees.

A general approach to calculating employee turnover cost is to use 50% to 200% of an employee's annual salary.

Another more accurate method has been developed by PricewaterhouseCoopers Saratoga Institute. This calculation uses the cost of hiring and training new staff. It adjusts some variables to match the needs of small business.

Total employee turnover cost = Costs of hiring new employees + Costs of training new employees

The cost to your business when hiring new employees includes the following 6 factors plus 10% for incidentals such as background screening:

Advertising
Bonus signing
Relocation pay
Time for interviewing
Travel expenses
Pre-employee assessments

Costs of Training New Employees

Training materials
Technology
Employee
Time for trainers

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Following, are tips for reducing employee turnover:

Hire the Right Demographic: Is your small business properly recruiting the right age group? Match your company profile with your target hiring group. If you can't offer career advancement to your workforce, then avoid hiring young career oriented staff. Consider hiring older employees who are less concerned with advancement.

Understand Employee Motivation: Retaining staff requires learning what's important to your employees. Look to the external motivators like recognition and rewards. Remember the internal motivators of purpose and passion.

Read Between the Lines: The real cause of employee turnover usually won't be found in your typical exit interview. Departing employees will provide the usual response of leaving for more pay or a better job. Inquire for deeper meaning. Was it a lack of support? Was the commission structure unreasonable? Take the time to get to the bottom of the turnover.

These three tips to reduce turnover are a good start to understanding your employee loss issue. Be critical and always look inward. You may be the source of the turnover. Make certain your management style is the way you would want to be managed. High turnover can be a signal your business is in trouble. Low turnover can also be a negative.

The Price of Low Employee Turnover
You aren't immune to the costs of employee turnover because your turnover rate is low. Low turnover can be a bad sign. Over 40% of distressed businesses have very low employee turnover.
Employee turnover costs impact the bottom line and the culture of a business. The organisations that achieve the most dramatic reductions in turnover and maintain those lower levels are usually the ones where the top executive or owner makes it a priority.

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Morale and Productivity

Is there a direct relationship between morale and productivity? The traditional view that the individual whose morale is high will be highly productive, or vice versa, is not a necessarily valid one.

Research studies and concepts concerning the morale-productivity relationship have found that the relationship evolved from one of simple direct correlation, to the present viewpoint that a variety of factors, such as the environment, motivation, job levels, and reward are all important influences. There is a growing concern over the decline in Australian productivity standards.

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Freelance provides alternative and flexible ways of engaging your workforce. Primarily our services offer solutions and indirectly help to address issues of morale and productivity through enhanced levels of financial reward, common law engagement and the ability to manage risks associated with traditional employer and employee arrangements.

In competitive labour markets, we believe this is a crucial outcome as it results in greater staff satisfaction and improved retention through better net pay, wealth creation and flexibility.

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Work Environment and Culture

Employee retention is about the nature of the work itself and the work environment/culture.

What can employer do?

Firstly, get the basics right - good pay, appropriate conditions, a caring community, demonstration of fair practices and processes, a great space for working in, open communication, reinforcement and acknowledgement for a job well done .

Secondly, remove the fear of uncertainty - employees should feel safe and secure in their employment. They should not be concerned about ‘surprise’ employment practices.

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Thirdly, work hard to create and maintain a good office culture and climate. The definition of culture is - 'the way we do things around here' and climate as 'how things are around here'. The culture should be friendly, work focused but not obsessed. People should have fun when the pressure is off and work effectively and efficiently when the pressure is on.

In conclusion, there are many facets to employee retention. It is much more than having appropriate organisational policies on file and detailed in the pages of an induction manual. Retention involves successfully implementing good policies and creating a positive and engaged workforce, who is committed to the corporate vision and values, and who are willing to lead and to follow.

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