A friend of mine who lives in Auckland has just received a 33 per cent pay rise.
He will be doing the same job, serving the same industries and moving in the same circles. But he is going to be doing it in Australia - another professional crossing the ditch for pastures
green.
What is the relevance to Wanganui? If Auckland couldn't retain this skilled professional, it is almost certain that at some point pressures like that may be brought to bear on your business. What is the compelling business case for your best people to stay with your business, remain in Wanganui or even New Zealand?
We are not helped by the fact wages and salaries are not keeping pace with Australia. High taxes and low wages do not make for a competitive workplace.
So what are some of the things that you can do to keep your best staff? Here are some ideas.-
- Have a clear strategic plan and communicate it to your team. People who are invested in your business are less likely to leave.
- Keep abreast of remuneration and reward packages for people in your industry. Understand the trends and try to stay in time with or ahead of the market.
- Understand best-practice communication (particularly listening) and implement it.
- Have a clear performance management system.
- Acknowledge excellence and jobs well done.
- Bring fun into the workplace - but don't do it in a corny or fake way.
- Actively work to help your employees, and managers in particular, achieve work-life balance. The best employers have grasped that concept and have exceptionally high loyalty and staff retention as a result.
- Have a formal training and development programme and give your people the opportunity to direct their learning.
- Make the promotion/progression path clear to staff and be honest with them about their prospects.
At a higher level, Wanganui as a city needs to play its part and, for the most part, does. The lifestyle is a true advantage, particularly over the bigger cities. For now, property prices are competitive, but that is a double-edged sword because it means if you invest here that capital growth is higher elsewhere, so the city needs to grow to arrest that trend.
We have the prospect of major development, with the potential of initiatives like iron-sand mining and processing together with ultra-fast broadband. We should also foster and support the businesses we already have here and ensure a sustainable local economy through opening doors to new businesses. In this way, there will be more opportunities and a 33 per cent pay rise won't be enough to entice good people away.
Zenith Solutions is a Wanganui-based management consulting practice. It specialises in providing strategic planning, business process improvement and financial management services. Contact russell@zenith-solutions.co.nz or phone 021-244-2421.
