Board Members it’s not whether or not your workforce will hit the goals you set. It’s more like will you have enough of a workforce to operate.
A recent Gallup poll has concluded, after speaking with several CEO’s and consulting the latest government labor statistics, that although unemployment is below 4%, employee turnover in 2018 saw over 40 million members of the civilian workforce quit their jobs in 2018. That is a staggering 26.3% of the available workforce or one out of every four moved on.
All of this creates turmoil in your company, robs your company of superior productivity and finally takes a toll on that stock price that you are responsible for. So with all this negativity how can you show real leadership, responsible emotional intelligence and superior strategic creativity?
It’s quite simple. Turn to your most experienced, loyal and willing employee group. Go to your Baby Boomer soon to retire population and craft a deal with them to do a phase out over five to seven years. Why? Because there are 40 million of them who are already over 65 and according to the Insured Retirement Institute 45% of them need to work as they have not saved any retirement savings and 55% have saved some funds but not enough to retire currently. Oh and by the way another 30 million more will reach that 65 mark by 2030. So why not get your Boomer population to remain in place and backfill these unexpected openings.
The inevitable question will be, “what’s in it for me’? The answer is many members of the Boomer population want to work, want to continue to earn but are afraid to approach the company to volunteer to accept a less stressful and middle management position at that prevailing wage rate. Boomers are tired of the grind of the “C Level” but would relish a front line position to keep them active, vital and earning. It’s very important for them psychologically to continue to feel part of a group they find a great deal of their personal identity with.
It’s time to invest in and deploy your most senior human assets (Baby Boomers) to back fill those unexpected openings with experienced and qualified candidates that have agreed to an expiration date so the succession planners have time to prepare for their expected departures.
What all this does is creates a company culture that promotes knowledge sharing with ascending Millennials managers, where they are in middle management, and it continues a revenue stream for Boomers to put away in their 401k account. Win/Win.
So what’s in it for the company? It creates a culture based on workforce harmony as it turns a negative atmosphere filled with distrust into a culture that is free of the scourge of employee turnover and greatly increases employee productivity as both generations support and ready one another for their future roles..
The savvy Company Board Members that reverse the thought process that the oldsters must go and the youngsters need to take over, although currently ill prepared, will prosper as this knowledge sharing agenda will serve both generational populations well and take the stigma of retirement out of the company lexicon.
Do yourself and your stock price a favor. Cut a deal with a Boomer to remain longer in a lesser but desirable role so stability and natural transitions occur when each employee is ready to transition their Boomer role either into retirement or see a Millennial ascend to their next challenge.
Your stock price will thank you for it as the public recognizes the way your board reinvents the world of work for your company is well worth investing in because you guys get it!!