How to reduce turnover in the staffing industry

In the staffing industry, what two things can you do to reduce turnover?


Especially in these current market conditions, you deserve credit for what you do every day. You fight unemployment claims, create plans to lower turnover rates, challenge fraudulent injury claims, test ways to get walk in traffic, try to figure out why job board prices are skyrocketing, and continually keep company morale as high as possible. This does not even include the battles you fight with competitors!

While there may not be total solutions to all of these challenges, there are some solutions that can help and also free up your valuable time so you can create an action plan that will not only help you survive but even thrive.

Here’s two tips we believe is critical for staffing companies:

#1- Work history, work history, work history

Every vendor in the marketplace is trying to find ways to save you time and assist with job exposure. Job boards are creating aptitude and personality tests. New companies are forming everyday that include referral programs all the way down to surveys. You may have been contacted by vendors telling you to invest in company reputation systems.

All of these can be great and extremely helpful however, none can replace the most important thing for your recruiters in today’s job climate. Work history should be the top priority for anyone deciding on placements. Especially in the light industrial sector, this will directly impact your turnover percentage with each client. A recruiter verifying and confirming work history will outperform another recruiter using any other system that does not include the same.

As simple as this sounds, many staffing companies are not emphasizing this to their recruiters. It’s easy to worry about ATS activity and filling in the blanks but there is a reason you exist. You fill job orders with the best possible applicants. At UZIO, we recommend you ask every applicant to go back a minimum of five years. Even if they cannot provide employment for all five years, at least make applicants provide you with the what and why since 2017.

We are slowly trending back to pre-Covid work conditions. Your turnover rate will continue to become more important in rating your service versus competitors. We challenge you to review some of your placements and find how many have job history (or reasons for no history) completely documented.

#2- Document Applicant Feedback

A simple task but unfortunately, not as common as you think with recruiters. Many perform exit interviews but few log the exact reasons for applicants turning down assignments. Understandably, they must contact more applicants than ever to fill openings; however, the documentation still needs to happen.

Many of your contacts you work with do not make the final decision with pay rates. Most have their own bosses who they go through to make that decision. Also, most of your contacts probably agree they should pay more but they don’t think they can get the approval. What will assist your contact more: informing them that a bunch of applicants said they need more money or a file with specific names, dates, minimum pay rates, and additional comments.

How UZIO Can Help?

UZIO is the all-in-one platform to help you get rid of operational inefficiencies due to siloed business applications and help you reach your full potential across payroll, HR, time tracking and billing. It is the only solution you will need to run your business.

While working with clients and addressing their challenges, we have come to know the staffing industry. We have discovered that our platform integrates well with staffing companies and offers solutions that out-perform our competitors.

We would love to have an initial conversation with no strings attached. Let us discuss or explain what we can offer. Please click here to schedule a discussion.