Five Ways AI Can Help Tackle Retention Issues

Frequent employee turnover can be a costly problem. But it may surprise you to learn just how expensive it can be. According to the analytics and advisory company Gallup, replacing an individual staff member can range from one-half to two times that person’s annual salary.

While employee turnover can never be eliminated entirely, there are several strategies that can significantly reduce departures, including artificial intelligence (AI) which offers powerful solutions to improve retention. Some additional good news: you don’t have to be a big corporation to benefit. Professional Employer Organizations (PEOs) are increasingly rolling out AI solutions, making them affordable and available to small and medium sized businesses.

So how do you get started? Here are five ways your organization can employ AI to keep valued team members in place.

Implementing Predictive Analytics

Believe it or not, AI can help identify which employees are likely to leave before they resign. This technology analyzes multiple data points, like performance reviews and communication patterns, to flag retention risks with remarkable accuracy.

Optimize Working Schedules

AI scheduling algorithms can match individual preferences with organizational needs. This helps reduce employee burnout while ensuring work coverage. These kinds of software solutions are particularly valuable in hybrid work environments where traditional scheduling no longer works for everyone.

Creating Personalized Staff Development Paths

AI systems can assess employee strengths and aspirations and in doing so, recommend tailored learning opportunities. These systems assist staff members in developing new skills. They also help make employees feel valued by leadership and the entire organization, which in turn helps greatly with retention.

Gathering Real-Time Feedback

AI-powered sentiment analysis tools continuously monitor employee satisfaction. Smart software can analyze feedback, emails, and surveys, allowing managers to reach out to employees and address problems before they make the decision to leave the organization.  

Measuring Program Effectiveness

Artificial intelligence can even help determine which existing company retention strategies actually work. It can evaluate the overall effectiveness of your current practices and if needed, provide data that allows you or your HR partner to recommend more effective alternatives.

All that being said, AI tools can bring significant benefits, but they can also create risks. This is why a human touch is always necessary to evaluate the data and solutions recommended by AI tools. The right PEO partner can also provide the necessary know-how to maximize the potential of HR AI solutions. Contact us at BestFit PEO to be paired with a PEO that can help you capitalize on these exciting new technologies.