How your company’s sustainability policy can help with employee retention

A high level of employee retention is good for your business and good for employees, too! Higher retention means less time spent recruiting, less money spent on the hiring process, and an increased employee satisfaction level. Employees will stay longer with a company they are happy and proud to work for. But have you considered the effect of your sustainability policy on employee retention? It’s not all about free snacks and a ping-pong table, although that does help a bit!

5 minutes to read

by /18th March 2022

The next generation of employees cares about sustainability

There have been a number of studies carried out that demonstrate the importance employees put on sustainability when choosing employment.

A Deloitte study found that two in three millennials would quit their job if they felt their employers had little ambition beyond profit. Also, 9 in 10 millennials believed that the success of a company should be measured not only in terms of profit, but also in terms of their sustainability efforts.

In a 2019 HP Workforce Survey, 56% of respondents stated that an employer ignoring sustainability was as bad as ignoring diversity and inclusion. Furthermore, 40% said that they’d look for new jobs if their employers didn’t prioritise or engage in sustainability practices.

This survey found that 40% of millennials said they’d choose a job based on its sustainability activities, and a whopping 70% said they would stay with a company if it had a strong sustainability plan. They’re even willing to take a pay cut if it means they’ll work with a company whose sustainable values are aligned with their own!

So, it might be time to take another look if your sustainability policy hasn’t been updated in a while. Current or potential employees may well be weighing it up against other options. 

Motivation and productivity

There’s usually one thing in common with businesses that have high employee retention rates: they care. And they make it obvious they care. It’s not just about small things, but the bigger picture. They look after employee wellbeing as well as caring about the future of the workforce, and caring for people outside of their company. They want their business to be a force for good. 

It’s not hard to see why: when employees recognise their employers are motivated by more than just profit goals, and when they feel like they genuinely care about wellbeing, they’re naturally more motivated to return the favour and go the extra mile. When they can see the difference their work is making in the world, they’ll feel more inclined to stay for longer to be part of that positive difference. Some may even be motivated by more self-centred reasons – working towards helping the ‘greater good’ might make them feel better about themselves. It doesn’t matter why people keep up their efforts, it only matters that they do. 

Employees whose workplaces care about sustainability reported feeling happier, safer, and more cared for. And when motivation and happiness hits a high? Productivity levels will follow!

Employee loyalty and hiring

The more loyal your employees are to your company, the more likely they are to stay long-term. Your sustainability policy can help or hinder that loyalty, depending on how good it is.

56% of employees prefer working with companies that are dedicated to environmental conservation. One report even found that companies that have strong sustainability practices don’t struggle to find staff as much as a company with little or no sustainability policy.

Your sustainability policy doesn’t only affect your current employees. It will also affect your job candidates and hiring rates. Save your recruiters the hassle and extra work of finding candidates – improve your sustainability policy and the candidates will come running to you! This will save you time and money in the long run (as well as helping the planet, of course).

Diversity is embedded in sustainability

Sustainability affects us all, wherever in the world we are. Your company’s sustainability policy will have a knock-on effect on your supply chain, and, depending on the size of your business, communities around the world.

When you improve sustainability, the most marginalised communities are the ones who will benefit the most, no matter the size of your business. If your employees can recognise you’re incorporating changes that also help marginalised people, they’ll be more inclined to stay with you long-term.

Creating or improving your sustainability policy

If you’ve started to feel overwhelmed at the thought of overhauling your sustainability policy to make it more attractive to both employees and prospective employees, don’t worry! The Ailuna sustainability engagement app is backed by behavioural science principles that’ll help make your employees’ habit changes fun!

Set yourself and your team small, achievable, yet effective tasks to improve sustainability and motivate everyone to make a change.

You could even create habits for each member of your team, and make it a team-building exercise. When everyone clubs together to improve the lives of others and the world around them, there’s a greater sense of belonging which will only improve employee retention.

Don’t forget to share your achievements

Don’t be shy about posting your sustainability efforts on social media, your company blog, or through your email communications. Promoting it through your marketing will help you attract the employees who prioritise sustainability, and will help communicate your efforts to your current employees.

Share your company sustainability efforts on Instagram and tag us @ailunacommunity or join our free Ailuna Community Facebook group and let us know the steps you’re taking! There’s a whole group of people waiting to cheer you along the way

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