What are the key factors that influence tech talent retention and turnover?

Compensation is important - but as others have mentioned, looking at your broader environment and what you're offering a candidate is important. Equity, 401k, location, remote flexibility, cash, bonus structure, advancement/growth, challenge, product, current team - these are all contributing factors, and while comp may be some folks primary goal, it's not everyone's.

Every hiring process should be linked to succession planning at the backstage of the hiring. Compensation and benefits are not enough in today's competitive hiring landscape. But just having a plan is not enough. A common question from the candidate side is - what is my growth in the company and the Recruiters should be able to translate it clearly during the filtering stage. Today - it is not just the company is shortlisting the candidate but also the candidate is shortlisting their choice of the organization.

While everyone focuses on salary when it comes to comp, it's easy to miss the total value of the package being offered when you do not take the time to compare benefits, bonuses, equity, and other comp up front. For example, someone being paid $10K less may be in a better long term position if they pay a lower total cost on their healthcare for a chronic condition. Companies with lower turnover rates realize how important it is to make sure that employees are taking full advantage of the benefits they offer, and won't be swayed to jump ship thinking that they are getting extra benefits that are already currently available to them. Selling benefits is not just to external candidates, but another way to reduce "brain drain" on your team.

To cover these all in one, we refer to these as CLAMPS. The 6 key things people take into account for their current role or future roles. This is Challenge, Location, Advancement, Money, People and Stability. All have their own merit and people place higher value on others at different stages of life. Having the ability to understand your employees is crucial. People changes and so do their goals and lives - you must be checking in with your employees across all aspects and allow a space to discuss each area.

According to research done by PwC, 88% of millennials want to work for a company whose values reflect their own. Creating an engaging and purpose-driven work environment is crucial to both attracting and retaining top talent. In my opinion, companies need to move beyond just offering competitive salaries and benefits. Aligning with the values, culture, and purpose-driven mindset of millennials and Gen Z is becoming increasingly important for attracting and retaining top talent.

Culture and values are powerful yet intangible factors in tech talent retention. Tech professionals seek environments that align with their personal and professional principles, emphasizing collaboration, innovation, and diversity. They're drawn to companies with a clear vision and purpose, especially those making a positive impact. Unlike compensation, which is expected, culture and values drive engagement by creating a sense of belonging and meaning. To attract and retain top tech talent, it's crucial to communicate and live by your company’s culture and values.

One of the biggest cultural shifts that has taken place as Millennials and Gen Z have becomes a major portion of working professionals has been a focus on culture and values and a breakdown of the divide between corporations and social issues. 70% of Gen Z wants to work for a company whose values align to their own. By not taking steps to ensure that the company's values are in the public domain, companies are inadvertently shutting themselves off to an entire generation in the workforce.

Las personas que trabajan en tecnología valoran dos cosas a nivel cultural por encima de todo lo demás: la flexibilidad y la autonomía. Dales la oportunidad de elegir cómo y cuándo trabajan. Permíteles establecerse sus propias metas. Así se sentirán más motivados.

Autonomy and flexibility are crucial in retaining tech talent. They seek control over how, when, where, and with whom they work, valuing the freedom to experiment, learn, and solve problems creatively without micromanagement or bureaucracy. Flexibility to balance work and personal life, with the ability to adjust schedules and locations, is equally important. These factors drive engagement, productivity, and happiness. To retain top tech talent, it’s essential to offer the autonomy and flexibility they crave, empowering them to thrive in their roles.

While the natural tendency for hiring managers is to want their employees in the office, companies that are embracing a flexible model are finding their retention rates are higher than their peers. Employees value the flexibility to work when and where they see fit and value employers who trust them to be responsible enough to get the job done on their own terms. This is especially true in technology positions that do not require much/any interaction among the team that can't be handled over emails/Zoom calls. By meeting candidates in the middle and taking the time to understand the unique nature of why they are insistent on either a remote or hybrid schedule, employers are showing empathy and support for a healthy work/life balance.

La autonomía es esencial porque permite a los talentos tecnológicos desarrollar su trabajo de la manera que consideren más eficiente y efectiva. Al tener la libertad de tomar decisiones sobre cómo abordar un proyecto, pueden aprovechar al máximo sus habilidades y conocimientos, lo que a su vez aumenta su compromiso y satisfacción laboral. Además, la autonomía fomenta un sentido de responsabilidad y empoderamiento, lo que puede traducirse en una mayor productividad y calidad en el trabajo realizado.

One of the most common reasons candidates are looking out for opportunities this year, aside from work flexibility, would be challenge and growth. With tech candidates, they are constantly looking to upgrade their technical skills and stay up to date, given how quickly technology changes. Hence, if the role does not allow them growth especially from a tech perspective (picking up new domains or tech skills), this can often lead to candidates looking out if there are no opportunities to upskill in their current organisation. Investing back in your own people can also encourage them to explore different ways to implement some of the learnt skills in their day to day work.

Qual o problema será resolvido? O que é esperado desse perfil com relação as entregas? Essas são as perguntas de alinhamento de perfil que corroboram em uma venda melhor da vaga. Além de falar um pouco sobre o produto, a estrutura do time, as tecnologias que serão trabalhadas, é importante falar sobre a principal dor que precisa ser entendida para o desenvolvimento de uma funcionalidade no usuário final.

Challenge and growth are vital for retaining tech talent. They seek projects that are challenging, meaningful, and aligned with their skills and interests. Opportunities to learn new technologies and expand their expertise are crucial, as are clear career paths and regular feedback, recognition, and support from managers and peers. Challenge and growth drive motivation, satisfaction, and loyalty. To retain top tech talent, it's essential to provide opportunities for meaningful work, continuous learning, and professional development.

Teamwork and collaboration are crucial for tech talent retention. They seek to work with smart, talented, and diverse colleagues who are supportive and foster a sense of camaraderie, trust, and mutual respect. Sharing ideas, knowledge, and feedback is essential, as is having fun and celebrating achievements. A strong emphasis on teamwork and collaboration enhances engagement, performance, and retention. To keep tech talent satisfied and committed, it’s vital to create a collaborative and enjoyable work environment.

Teamwork and collaboration are an important piece of the talent retention puzzle. I have had the privilege of being a member of truly remarkable teams. These were not just groups of individuals working towards a common goal, they were communities where mutual support, coaching, and mentorship were the norm. The sense of belonging fostered a deep connection that kept me engaged and motivated for years. By creating an environment where individuals feel valued, supported, and connected, you cultivate a culture that not only attracts but also retains top talent for the long term. I encourage initiatives such as team-building activities, cross-functional projects, and mentorship programs to nurture a spirit of collaboration and teamwork.

With over 10 years of experience in recruiting tech talent, I've found that one of the most critical factors for both attraction and retention is the level of trust professionals have in their direct leader. While technical expertise is valuable, and a leader who can engage in meaningful tech discussions certainly earns credibility, it's the leader's ability to navigate challenges and manage pressure that truly fosters trust. This trust often becomes a stronger motivator for retention than many of the traditional factors, such as compensation or perks. Building this relationship is key to long-term success and loyalty within teams

According to Deloitte's 2023 Global Technology Leadership Study, only 13% of employers who took part in the survey reported being able to effectively hire and retain the tech talent they need. This highlights the ongoing challenge companies face in retaining their tech workforce. While competitive salaries and benefits are important, they are no longer enough. In my opinion, a well-rounded approach that addresses company values, work environment, learning and growth opportunities, flexibility in the workplace, and a sense of purpose is essential for both attracting and retaining top tech talent.

Uma pesquisa realizada pela korn ferry mostra que substituir um funcionário pode custar até 200% do salário do empregado. Além disso, o impacto é sentido na produtividade. Pesquisar sobre isso me deu um insight de que, é necessário reavaliar continuamente os processos de atração e seleção de pessoas candidatas, pesquisa de clima e cultura e mensurar se o total comp. está competitivo com o que o mercado paga. É importante realizar a manutenção desses itens para garantir a qualidade e retenção dos talentos na área de tecnologia..