Effective leadership and a supportive management team can significantly change how employees perceive their roles and their workplace. They help employees feel valued, understood and equipped to handle their responsibilities, leading to increased job satisfaction and loyalty.
This is important more than ever because, according to The Retail Academy, the average retail turnover rate in the U.S. workplace is 60.5%. New challenges facing retailers, such as the rising rates of shoplifting and inflation, are adding to the list of grievances retail employees already have with retail work.
According to an Ice Robotics report on employee wellbeing, this has many employees considering whether a job in retail is worth it and leaves hiring managers scrambling to fill store-level positions.
Some of the top noted reasons that retail employees leave their jobs are:
Retail burnout. According to the study, employees reported feeling burned out. Unpredictable and long hours combined with repetitive and sometimes physically strenuous tasks leave workers exhausted and bored.
Poor mental health. Retail employees called out poor customer treatment as a common reason for leaving. Incidents of shoppers becoming difficult in retail stores are increasing, in addition to violent acts and vandalism. This coincides with rising theft rates, leaving employees stressed and nervous about work.
Lack of career growth. The convenience store industry has worked hard over the years to provide a career path for top employees, but frontline workers said there is still work to be done, according to the Ice Robotics report. This leads to employees needing to be more invested in the company because there is no clear career path.
Competitive Wages. The rise of distribution centers like Amazon has driven up wages and opportunities. Retailers that pay employees minimum or lower wages and have no clear career path face an uphill battle, keeping even marginal employees.
The financial losses related to absenteeism, turnover and unfilled roles should be cause enough for concern. The financial burden becomes even more sizable with the economic losses related to unhappy customers because of poor service.
The Ice Robotics study found that focusing on the well-being of frontline retail workers is one of the most important things a retailer can do to improve its bottom line. Frontline workers deal with the public each day, handle tough situations for which they often have no training and are the face of the company.
The technology company offered retailers some tips on improving their employees’ well-being and the experience in their stores.
Increase Communication with Digital Workplace Technology. Technology is changing the way consumers shop. This has been evident for several years. Hybrid shopping experiences — those that take place online and in-store — are increasingly popular.
The way consumers shop has completely changed thanks to innovative technologies that make shopping easier, safer and a part of our daily lives. Retail employees are next in line to reap the benefits of modern technologies and devices.
According to research firm HRDirector, increasing communication from the corporate to store levels can improve employee experience.
In one example cited by Ice Robotics, a retailer introduced headsets equipped with AI technology at the store level. Employees wear the headsets and can ask the AI questions while engaging with customers. AI can give an immediate response, which helps the employee serve the shopper better.
At the same time, the retailer gathers and monitors the information at the corporate level to better understand what frontline employees are being asked or what requests are coming through from shoppers. The company can then better streamline its communication and provide more and better solutions to employees. This can give employees a better idea of handling situations in real-time rather than feeling caught off guard and having to seek out answers.
These technologies help increase communication regarding training and other similar opportunities that help employees feel included and valued, according to HRDirect. The company found that in a survey, 82% of respondents whose organizations have adopted digital workplace applications and increased employee engagement saw an improvement in sales directly attributed to the introduction of the new technology.
Offload Tasks by Introducing Autonomous Solutions. If you have been to the local supermarket or big box store, you have likely seen robotics at work roaming the store. This is a trend Ice Robotics has seen grow in popularity over the past five years. Taking the burden of repetitive tasks off the employees’ checklist is another great way to utilize existing staff in ways that align with their unique skills and talents and allow them to focus on work that requires more human skill and knowledge, like customer service.
This alone can elevate the role of retail employees, giving them a greater sense of importance.
Floor cleaning, for example, can be repetitive and time-consuming. Cobi 18, an autonomous floor scrubber, is designed to work in real-life environments like retail stores. While the robot cleans the floors, staff can focus on other important work. This can save time and money and improve efficiency.
Focus on Employee Health & Safety. One of the biggest takeaways from the pandemic is that the health and safety of retail workers is an issue and an area of concern for workers. The report said that finding ways to keep staff safe and feeling supported can go a long way in reassuring them they are valued and that their health is essential.
Retailers can support the well-being of their staff by focusing on overall health. Some ways to do this are:
- Mandate multiple breaks throughout the day and provide a quiet and clean area for resting.
- Provide vacation time and make sure employees use it. Giving employees time away from the job is essential to help avoid burnout
- Provide healthcare benefits. While Starbucks is part of the food and hospitality industry, it is an example of a company that has considered employee well-being. Eligible partners, as they call their employees, have access to numerous benefits, whether they are part-time or full-time employees. This can help alleviate stress and show employees that their health is important.
Show Employees Appreciation. There are various ways to show appreciation for your employees. Since wage compensation continues to be a sore spot, reviewing wages and ensuring you are in line with other retailers is an effective way to start. Your team will appreciate knowing you are providing a competitive salary.
Other ways to show appreciation include free meals, goal-related incentives or bonuses or additional time off. Creating creative ways to make the workplace fun and focused on appreciation can go a long way toward the health of your staff.
The report concluded that retail workers do essential work involving caring for and helping customers. Ensuring they are compensated fairly, treated with respect, and supported is vital for healthy staff and a successful retail business.
Elie Y. Katz is the CEO and president of National Retail Solutions (NRS).