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In a world where there is a “war” for talent and skilled workers, it is essential to know why people are leaving your business.
Exit interviews generally offer a wealth of information the company may otherwise never have obtained.
However, in many instances the information simply gets “filed”; patterns and trends remain undetected and people keep leaving for the same reasons.
Kim Cooper, labour law and human resource specialist at HR Support, says the exit interview process should form an integral part of the “policies and procedures handbook” of a company.
“If done correctly, they gather incredibly valuable information about things that are not working and require remedial action.
It may also offer information about things that are working perfectly, and which should be left alone.”
In many instances employees have little regard for these interviews. This is mainly because the interview is done too late, it is done by the in-house human resource department (who has perhaps not listened to complaints or suggestions before) or the employee simply does not care enough anymore to give constructive feedback.
Janine Letizia, business development manager at Quest, says the interviews are invariably done by the human resource department. But people may find it easier to be honest and truthful about the real reasons for them leaving the company if the interview is done with an external party, she says.
They feel the person doesn’t know them and does not know the internal politics of the company, which makes it easier to be open and frank.
The interview:
It is important to have a set of standard questions. This ensures consistency and neutrality.
The company needs to identify key issues it would like to uncover during the interview. Is the person, for example, leaving because of problems with a manager or with processes or systems?
Letizia says questions on whether there was sufficient and satisfactory career pathing, may offer vital information for future retention strategies.
The employee must be assured the interview will be private and confidential.
Cooper says employees who were afraid they would lose their job if they reported wastage, or even theft at a senior level, may use the exit interview as the opportunity to open the can of worms.
Letizia advises that employees should not make it personal. Avoid lashing out at the company or the people who remain behind.
“It is a small world, you may need a reference in future,” she says.
Cooper believes exit interviews should be done with each member of staff who leaves. It allows the company to spot trends and recurring complaints.
The benefits:
In a Harvard Business Review article, it is noted that uncovering human resource issues is always one of the primary goals of doing the interviews. However, they are focused too narrowly on salary and benefits.
Professors Everett Spain at the United States Military Academy and Boris Groysberg from Harvard Business School say money is not the only reason people leave.
The interview should uncover a better understanding of the employee’s perceptions of the job design, their working conditions, the company’s culture and the employee’s peers.
It is also an opportunity to gather information about the “competitiveness” of the company in terms of employees’ ability to advance, different benefits available to them, and even the amount of time off.
It is said that many people leave the manager, and not the company. If managerial issues become a pattern, management training or counselling should be part of the exit report.
The action:
Companies use human resource tools to compile monthly electronic reports that are passed on to management committees or even the board.
Letizia says the report has to break down the number of people who left, which divisions they were from, and the positions they held.
Cooper says the reports should be reviewed on a quarterly or annual basis, depending on the attrition levels.
Trends and patterns should be identified and recommendations should be made for immediate or future actions.
The timing:
Although many companies do exit interviews, the timing may affect the quality of information gathered.
Lara Haskins, owner of 360HR, says if left too late, the employee may already be completely disengaged.
If the person is leaving because of poor performance or a grievance with the company or a manager, the information may have to be treated with caution.
“The reason why someone is leaving will determine the benefit of the interview. This is not the time to try to mend things that have gone wrong.”
However, if there are serious allegations made against co-workers or managers it should be reported and investigated, says Haskins.
If there have been problems with the manager, or with the team, there should have been some intervention discussions long before the person actually decides to leave.
In most instances the exit interviews are done in the last week of employment. Others are conducted only a few hours before the person leaves the building.
Some experts, according to Spain and Groysberg, argue that the most “productive moment” to conduct the initial exit interview is halfway between the announcement of an intention to leave and the actual departure.
“It should be done after the initial rush of emotion has died down, but before the employee has checked out mentally,” they recommend.
In practice this seldom happens.
Some employers do exit interviews a month after the employee has left, finding the interview went far more smoothly than one done before the person takes their leave. People are often more prepared to offer the real reasons for their departure when there has been a lapse in time.
Haskins says there should be regular conversations with employees. The exit interview should not be the first conversation about the employee’s feelings or ideas.
“In many instances, when there is negative feedback during an exit interview, it is not news to management.”
The real benefit in the interviews is a change for the better in terms of improving talent management and retention levels. Doing it for the sake of ticking a box serves nobody.
Tips for employees
Most people leave a company to pursue new opportunities. Others leave because they cannot stand the manager anymore. However, many also return to the same organisation years later in a different role.
The take-away when walking into the exit interview is not to burn that bridge, says Janine Letizia, Business Development manager at Quest. Here are some tips on how not to light the fire.
Do
- Be open, honest and neutral;
- Suggest improvement to processes that bothered you;
- Be constructive in criticism relating to management, processes or peers and make some recommendations that will help the company with future decision-making;
- Give praise where praise is due.
Don’t
- Be emotional or disrespectful;
- Lash out against management, processes or peers – future employers may contact the company for a recommendation;
- Play a bidding game if you do get a counter-offer. If you are ready to entertain it, be clear about your expectations;
- Go unprepared into the interview – stick to some prepared thoughts to prevent “venting”.
This article originally appeared in the 24 May edition of finweek. Buy and download the magazine here, or sign up for our weekly newsletter here.
Exit interviews generally offer a wealth of information the company may otherwise never have obtained.
However, in many instances the information simply gets “filed”; patterns and trends remain undetected and people keep leaving for the same reasons.
Kim Cooper, labour law and human resource specialist at HR Support, says the exit interview process should form an integral part of the “policies and procedures handbook” of a company.
“If done correctly, they gather incredibly valuable information about things that are not working and require remedial action.
It may also offer information about things that are working perfectly, and which should be left alone.”
In many instances employees have little regard for these interviews. This is mainly because the interview is done too late, it is done by the in-house human resource department (who has perhaps not listened to complaints or suggestions before) or the employee simply does not care enough anymore to give constructive feedback.
Janine Letizia, business development manager at Quest, says the interviews are invariably done by the human resource department. But people may find it easier to be honest and truthful about the real reasons for them leaving the company if the interview is done with an external party, she says.
They feel the person doesn’t know them and does not know the internal politics of the company, which makes it easier to be open and frank.
The interview:
It is important to have a set of standard questions. This ensures consistency and neutrality.
The company needs to identify key issues it would like to uncover during the interview. Is the person, for example, leaving because of problems with a manager or with processes or systems?
Letizia says questions on whether there was sufficient and satisfactory career pathing, may offer vital information for future retention strategies.
The employee must be assured the interview will be private and confidential.
Cooper says employees who were afraid they would lose their job if they reported wastage, or even theft at a senior level, may use the exit interview as the opportunity to open the can of worms.
Letizia advises that employees should not make it personal. Avoid lashing out at the company or the people who remain behind.
“It is a small world, you may need a reference in future,” she says.
Cooper believes exit interviews should be done with each member of staff who leaves. It allows the company to spot trends and recurring complaints.
The benefits:
In a Harvard Business Review article, it is noted that uncovering human resource issues is always one of the primary goals of doing the interviews. However, they are focused too narrowly on salary and benefits.
Professors Everett Spain at the United States Military Academy and Boris Groysberg from Harvard Business School say money is not the only reason people leave.
The interview should uncover a better understanding of the employee’s perceptions of the job design, their working conditions, the company’s culture and the employee’s peers.
It is also an opportunity to gather information about the “competitiveness” of the company in terms of employees’ ability to advance, different benefits available to them, and even the amount of time off.
It is said that many people leave the manager, and not the company. If managerial issues become a pattern, management training or counselling should be part of the exit report.
The action:
Companies use human resource tools to compile monthly electronic reports that are passed on to management committees or even the board.
Letizia says the report has to break down the number of people who left, which divisions they were from, and the positions they held.
Cooper says the reports should be reviewed on a quarterly or annual basis, depending on the attrition levels.
Trends and patterns should be identified and recommendations should be made for immediate or future actions.
The timing:
Although many companies do exit interviews, the timing may affect the quality of information gathered.
Lara Haskins, owner of 360HR, says if left too late, the employee may already be completely disengaged.
If the person is leaving because of poor performance or a grievance with the company or a manager, the information may have to be treated with caution.
“The reason why someone is leaving will determine the benefit of the interview. This is not the time to try to mend things that have gone wrong.”
However, if there are serious allegations made against co-workers or managers it should be reported and investigated, says Haskins.
If there have been problems with the manager, or with the team, there should have been some intervention discussions long before the person actually decides to leave.
In most instances the exit interviews are done in the last week of employment. Others are conducted only a few hours before the person leaves the building.
Some experts, according to Spain and Groysberg, argue that the most “productive moment” to conduct the initial exit interview is halfway between the announcement of an intention to leave and the actual departure.
“It should be done after the initial rush of emotion has died down, but before the employee has checked out mentally,” they recommend.
In practice this seldom happens.
Some employers do exit interviews a month after the employee has left, finding the interview went far more smoothly than one done before the person takes their leave. People are often more prepared to offer the real reasons for their departure when there has been a lapse in time.
Haskins says there should be regular conversations with employees. The exit interview should not be the first conversation about the employee’s feelings or ideas.
“In many instances, when there is negative feedback during an exit interview, it is not news to management.”
The real benefit in the interviews is a change for the better in terms of improving talent management and retention levels. Doing it for the sake of ticking a box serves nobody.
Tips for employees
Most people leave a company to pursue new opportunities. Others leave because they cannot stand the manager anymore. However, many also return to the same organisation years later in a different role.
The take-away when walking into the exit interview is not to burn that bridge, says Janine Letizia, Business Development manager at Quest. Here are some tips on how not to light the fire.
Do
- Be open, honest and neutral;
- Suggest improvement to processes that bothered you;
- Be constructive in criticism relating to management, processes or peers and make some recommendations that will help the company with future decision-making;
- Give praise where praise is due.
Don’t
- Be emotional or disrespectful;
- Lash out against management, processes or peers – future employers may contact the company for a recommendation;
- Play a bidding game if you do get a counter-offer. If you are ready to entertain it, be clear about your expectations;
- Go unprepared into the interview – stick to some prepared thoughts to prevent “venting”.
This article originally appeared in the 24 May edition of finweek. Buy and download the magazine here, or sign up for our weekly newsletter here.
