Tackling the Expensive Problem of New Grad Voluntary Turnover

The Costly Reality

New grad voluntary turnover in entry-level positions is a significant and expensive issue for US employers. According to recent studies, a staggering 40% of new hires leave their jobs within the first year, with three-quarters of that turnover occurring within the first six months before the new talent even becomes productive. This high turnover rate can have a substantial impact on a company's bottom line due to recruitment costs, training expenses, and lost productivity.

Root Causes of New Grad Voluntary Turnover

Research conducted by Gallup and Deloitte has identified several key root causes of new grad voluntary turnover:

• Misalignment between expectations and reality: Many new grads find that their actual job responsibilities and work environment do not align with their expectations based on job descriptions and interviews.

• Lack of support and mentorship: New grads often need guidance and support to navigate a new workplace and develop their skills.

• Poor onboarding experiences: Inadequate onboarding can leave new grads feeling lost, confused, and disconnected from the company culture.

• Limited opportunities for growth and development: New grads are eager to learn and grow, and they may leave if they don't see opportunities for advancement.

• Unrealistic expectations: Some new grads may have unrealistic expectations about their starting salary, job responsibilities, or work-life balance.

HR Best Practices to Address Voluntary Turnover

To combat the high rate of new grad voluntary turnover, HR departments can implement several best practices:

1. Effective onboarding: A comprehensive onboarding program can help new grads feel welcomed, informed, and supported. This should include orientation, training, and mentorship opportunities.

2. Mentorship programs: Pairing new grads with experienced employees can provide them with guidance, support, and career advice.

3. Skill assessments: Assessing new grads' skills and strengths can help identify areas for development and ensure they are placed in roles that align with their abilities.

4. Site visits and job shadowing: Giving new grads the opportunity to experience different departments or roles can help them better understand the company and their own career paths.

5. Last-mile training: Providing ongoing training and development opportunities can help new grads stay engaged and motivated.

By implementing these HR best practices, companies can create a more welcoming and supportive environment for new grads, reducing voluntary turnover and improving employee retention.