The employee onboarding process has far-reaching effects within an organization. Effective onboarding improves productivity, boosts employee retention, and reduces absenteeism. If a company is struggling to retain its workforce, an ineffective onboarding experience may explain the churn of new hires.
Onboarding and Productivity
An unsatisfactory onboarding experience can hinder productivity and diminish a new hire’s performance. On average, it takes eight months for a new employee to reach their full productivity potential. Unclear objectives are part of the reason for such a long timeline to proficiency, as 60% of organizations don’t set goals for new employees. Meanwhile, 35% of companies lack an onboarding process altogether, while 63% don’t extend the onboarding process beyond the new employee’s first month with the company. Most organizations stop the onboarding process after just one week.
The focus of the onboarding process often compounds the productivity problem as well. Fifty-eight percent of companies report that their onboarding process concentrates on paperwork and administrative tasks rather than helping new employees learn their job. In addition, one-third of employees experience inconsistent or reactive onboarding. The result of these issues is a discouraged employee without a clear understanding of their role.
Onboarding and Employee Retention
Replacing an employee is a costly process. Businesses must spend money on recruitment, training, benefits, and more. It can take up to half a year or more to see a return on investment with a new hire, so companies can’t afford to have a retention problem.
Studies have shown onboarding has a direct correlation with how long an employee will stay with their company. One-fifth of employee turnover occurs within their first 45 days on the job, and nearly a quarter of new hires leave within the first year of their employment. In contrast, 69% of employees are more likely to remain at their organization for three years if they have a satisfactory onboarding experience. In addition, 58% of employees are more likely to stay at their job beyond three years if their company has an efficient onboarding program.
Onboarding and Absenteeism
An employee’s onboarding experience sets the tone for their tenure with an organization. A great experience improves retention by 82%, while a poor one makes new hires twice as likely to seek alternate employment. However, turnover isn’t the only problem associated with poor onboarding. A negative onboarding experience can leave new hires disengaged and unmotivated to perform. Unhappy employees are more likely to have attendance problems, such as arriving late, leaving early, or failing to show up to work at all.
If productivity is lagging or turnover is surging among a company’s new hires, their onboarding process may be to blame. Problems with attendance are often an early warning sign that an employee is dissatisfied and considering looking for a new job. Tracking the frequency and type of absences can help companies identify struggling new hires. Businesses can use this information to offer new hires support and reduce the likelihood of turnover. Contact the experts at Actec to learn more about our absence reporting solutions.

The pandemic altered every business regardless of industry or size. Companies assembled their plans for a remote workforce and found new ways to operate when states began issuing stay-at-home orders. Part of this challenge was determining how to handle leave requests and attendance.
The ongoing pandemic has drastically altered how many businesses operate. Some are 100% remote, while others are taking a hybrid approach as the outlook on COVID-19 improves. These changes have forced many employees to adapt quickly. Employees who work from home have to juggle their family’s needs with their work responsibilities. Others have had to take on more duties or learn new technology to meet deadlines in a remote work environment.
Large corporations commonly realize tangible operational improvements utilizing a cohesive absence management strategy. A few of the notable benefits include cost reduction, improved employee communication, and increased productivity. But large corporations aren’t the only organizations that silo their absence management, disability programs, and other human resource tasks. Whether you’re an organization of 100 employees or 10,000, separating HR functions can lead to:
COVID-19 has put employees under more stress than ever, and it’s manifesting in several unpleasant ways in the workplace. While businesses can expect employees to call out for the occasional illness, skyrocketing absenteeism isn’t something companies prepare for or want. If employers notice a sudden surge in absenteeism, COVID-19 may be a contributing factor in unexpected ways.
Building an effective employee schedule is critical to every business’s success. This is true whether an organization operates 24/7, works a traditional nine to five, or spans unusual hours. While these companies have different scheduling requirements, all businesses can benefit from the following guidelines when putting together their employee’s schedules:
Working overtime happens in all industries, particularly during peak seasons. However, paying employees overtime is an expense that executives don’t accurately calculate into the budget. It can cause several headaches across multiple areas within the company as well. HR has to make sure the company complies with labor laws as well as field disgruntled employees. Managers have to distribute the additional hours across their teams, which makes scheduling a challenge. Employees that work overtime may harbor resentment toward their employers or burn out from the extra work.
With many employees still telecommuting, businesses are familiar with the challenges of managing employees they no longer see in person. Some of the most common pain points are confusion regarding new procedures or projects, diminished productivity, and administrative difficulties. Businesses can implement several strategies to help reduce these issues.
Many startups and several small businesses often rely on a single individual to manage human resources tasks. Some business owners make this decision due to the small nature of the company and perceived lighter workload. However, even the smallest of businesses have to comply with labor laws and other work regulations.