Sixty percent of working millennials plan to leave their job within the first three years of being hired—a nod to an employer’s difficulty in retaining Generation Y members of their company. More than half admit that millennials are the most expensive generation to train and retain, reports Millennial Branding.
It takes about three to seven weeks to train and develop a fully productive Generation Y worker at one’s company, according to a survey conducted by Millennial Branding and Beyond.com. Interviewing, advertising job positions and “on-boarding” were reported to the highest costs in the hiring process, in that order.
Forty-five percent of employees claim that millennials have the highest turnover rates in their company which is costing employers between $15,000 and $25,000. “In addition, 71 percent of companies reported that losing millennial employees increases workload and stress of current employees,” Millennial Branding added.
The most cited reasons why millennials leave after a short period of time are because they were offered a better salary at another company (30 percent), their career goals don’t match up with the company (27 percent), and a lack of opportunities (13 percent).
“The Millennial Generation has learned to be two things during the recession: resilient and nomadic,” said Rich Milgram, CEO of Beyond.com. “As the job market improves, the level of confidence will improve along with it and cause many in this age group to reevaluate their current situation, possibly seeing value in seeking greener pastures.”
In order to deter millennials from navigating away from the company, 48 percent of employers institute programs that address workplace flexibility. Forty percent establish mentoring programs to keep Generation Y engaged in the company. Half of the companies that were surveyed claimed the average pay for a millennial is $30,000 and $50,000.
The disconnect between employers and millennials may stem from the lack of appealing resources companies are providing. As studies have shown, career progression is a top priority for millennials. A tolerable work and life balance — flexible working hours — come in second place, but employers are falling flat in satisfying the needs of millennial workers. All of these things, BTW, sound like they would be appealing to other groups of workers as well.