How to retain tech talent

As the demand for talent increases and employee expectations evolve, finding new ways of retaining tech talent has never been more challenging. Until now.

Finding the right tech talent is no picnic. But retaining them is another challenge altogether. According to a survey by Monster, the pandemic has led to 95% of employees wanting a change in their job and general life.

And when you do lose employees, it’s expensive to replace them. To put that into context, research revealed that it costs between 6-9 months’ salary on average to replace a departing tech professional. Shocking? Perhaps.

But when you consider the recruitment costs, training expenses, onboarding process, resources and salary involved, it makes sense.

So, what’s the solution? Let’s explore.

Why is talent retention important in the tech industry right now?

The tech industry has been struggling with a supply and demand problem for quite some time now.

Since the pandemic in 2020, there has been a workforce shift. We’re seeing tech roles skyrocket, yet recruitment is increasingly difficult due to the lack of skilled candidates.

In fact, almost 70% of businesses are disadvantaged by talent shortages, and digital leaders lose approximately 11% of their teams yearly.

And as the UK’s tech sector is growing at 2.5 times the rate of the rest of the economy, IT companies (in particular) must make a conscious effort to keep highly skilled employees on board for as long as possible to avoid falling behind with costs and competition.

The best tips for retaining tech talent

Build an empowered team and let them do the rest

With a team of highly experienced and skilled tech employees, it’s time for you, as a tech leader, to let go of the reins and hand over responsibility with conviction.

You must avoid micromanaging as much as possible in the workplace. Once employees feel micromanaged, they will depend on you rather than have the confidence to perform daily tasks independently. This can take up valuable time and energy for both parties.

As a company, you don’t want to end up with a team of employees who only know how to do what you tell them to do with your constant guidance. This approach strips out trust and teamwork and lowers overall morale.

A staggering 69% of employees considered changing jobs due to micromanagement, and 71% said it interfered with their job performance.

Remember, you hired these individuals because of their skill set, talent, and insights, so have faith, create an empowered team, and let them do the rest.

Put the focus on DEI (diversity, equity and inclusion)

Diversity, equity and inclusion are vital in retaining talent in any industry.

According to 67% of job seekers, diversity in the workplace is critical.

And it might seem obvious, but a company with a diverse workforce is far more appealing to an employee than a company not prioritising inclusion.

A diverse workplace increases productivity and allows more ideas and processes to develop. A team with a multitude of talent broadens the skills, experiences, and perspectives creating a more innovative workspace and talent pool.

Understand that top tech talent is interviewing you, not the other way round

Employee experience is significant at every stage of employment, including the recruitment process.

The recruitment process holds substantial weight and is a chance for highly skilled tech talent to scope out the workplace environment, technologies used, opportunities for development and employee experience.

This stage is not about you. It’s about letting go of control to give potential employees a chance to shine.

If you focus on candidate experience and creating an authentic, supportive environment where everyone feels valued from the start, you’re more likely to attract top tech talent and keep them too.

Develop a clear EVP (employee value proposition) to give purpose and direction

An EVP is part of employer branding. It is one of the ways companies attract the skills they desire and then keep them engaged and retain them.

Your EVP goes beyond attracting new talent.

An EVP offers a comprehensive look into each position to guarantee the role is desirable to top talent. Having a strong employee value proposition can elevate your employment brand, suggesting you have a clear vision which candidates find attractive.

A clear EVP should set out tangible rewards, details on the opportunity and role and information on your company that make it stand out.

If employees are promised such things, they will expect them once hired. Otherwise, they will be quick to leave and tell other potential employees.

Become a flexible workforce

Employees are seeking increased flexibility since the pandemic. Habits have changed, and people are prioritising work-life balance and overall health more than ever.

Therefore, it is paramount that employers don’t see postcodes and time zones as a limitation.

Talent is talent, and you don’t want to miss it.

To highlight the significance of flexibility, 70% of UK employees feel that flexible working makes a job more attractive to them, and 30% would prefer flexible working to a pay rise.

Employees are now searching for hybrid or remote roles to avoid burnout. So, companies need to consider the realities of the job requirements and design flexible working where possible based on the job requirements.

Learn more about retaining tech talent

It’s almost impossible to run a great tech business without retaining highly skilled employees. So, we suggest you implement our tips to help you develop your company and stand out against the competition.

Hopefully, this guide has inspired you to make some adjustments. However, if you’re looking for more advice and support, we’re here to help.

Our purpose as a company is to enable our clients to acquire better and more diverse tech talent to enhance their business. We will guide you using our expert knowledge and ensure you get your desired results.

So, if you are looking for extra guidance on how to retain tech talent, head to our blog for more inspiration.