Want to Keep Employees Long-Term?

Heather Gardner
Jun 30
3 min read

What Not to Do, What To Do, and How to Make People Want to Work for You

(Spoiler alert: It’s not free pizza.)

The Real Cost of Losing an Employee

Let’s talk numbers — the not-so-fun ones that your finance team really wishes didn’t exist.

According to SHRM, the cost of replacing an employee is about six to nine months of their salary. That means losing your $70,000 rockstar could cost you $35,000 to $52,500. And if they were managing critical operations, clients, or just really great at keeping the office plants alive, it can easily hit up to 200% of their salary (shoutout to Gallup).

Why so expensive? Because you’re not just replacing a person — you’re paying for:

Endless interviews where 90% of candidates claim Excel proficiency, but can't open a spreadsheet.
Weeks of onboarding that mostly involve figuring out where the bathroom is and how to work the printer.
A productivity lag where the new hire Googles things like “how to use Slack without looking lost.”
Team frustration when they have to cover the work of the person who just left.
Loss of institutional knowledge like, “Don't update the server on Fridays. Remember 2020?”

And let’s not forget the brand hit. High turnover is the new scarlet letter — and Glassdoor reviews are forever.

Bottom line: Retaining a great employee costs far less than replacing one. Plus, they already know your terrible passwords and office inside jokes. Keep them.

What Not to Do

If you’re wondering why people are quietly quitting — or loudly quitting — here’s what not to do (unless you enjoy constant job postings and exit interviews).

Give 2–3% raises forever and then act shocked when they leave for someone paying market rate plus snacks.
Pile on more responsibility without a raise or promotion, because they’re “just so good at it.” Congratulations, you've just weaponized competence.
Let them go first when you hit a financial bump — because they’re “at the top of the pay range.” You know who else is at the top? Your best talent.
Tell them you can’t promote them because “we’d fall apart without you.” That’s not a compliment, that’s a trap.
Cap vacation at 3 weeks. Forever. Because apparently time stops at your company.
Cut healthcare or 401(k) matching and call it “temporary.” Spoiler: it rarely is.
Make them train everyone else so you can eventually replace them. Classic.
Drag them back to the office full-time so you can feel more “connected.” (Read: so you can watch them work in person.)

What To Do Instead

Don’t worry — it’s not all doom and sarcasm. Here’s what the best leaders actually do to keep great people around:

Pay people fairly. Compensation should match market rates, not nostalgia.
Promote your high performers. Don’t just “lean on” them until they snap.
Create career paths. Nobody wants to work in a cul-de-sac.
Expand PTO and perks as tenure grows. “Three weeks for life” isn’t aspirational.
Protect benefits. Because if your employees are stressed about healthcare, they’re not focused on work.
Invest in learning. Coaching, training, conferences — because no one dreams of being stagnant.
Support flexibility. Trust people to work where they thrive. It’s 2025, not 1997.

If You’re Requiring In-Office Work, Make It Worth It

So you're bringing people back to the office? Cool — but it better not feel like detention.

Here’s how to build office spirit that doesn’t reek of forced fun:

Make the space actually pleasant. Natural light, real coffee, and functioning A/C go a long way.
Host real team bonding. “Surprise trust falls” don’t count.
Celebrate wins like you mean it. Pizza is nice. Recognition is better. Both is ideal.
Be flexible where it matters. Don’t make people commute just to be on Zoom with someone down the hall.
Lead with presence. If your exec team is remote 24/7 but your employees aren’t, the vibes will not be good.

What Top Companies Do to Keep and Attract Great Talent

Want to be a workplace people brag about at brunch? Steal these strategies from companies that actually get it:

Transparent communication — because no one wants to play corporate guessing games.
Internal mobility — let people grow with you, not out of you.
Purpose-driven culture — people want to do meaningful work, not just click buttons.
Mental health & wellness support — stressed employees don’t make magic happen.
Recognition systems — say “thank you.” Say it often. Say it like you mean it.

Final Thought: Loyalty Isn't Free — But It Pays Off

You can’t guilt people into staying anymore. And you shouldn’t try.

If employees feel respected, paid fairly, and given a chance to grow, they’ll stay — and they’ll do amazing work. If they feel taken advantage of, overworked, and underappreciated? Well… there’s a whole internet full of job boards.