Survey: Money not the biggest factor in employee turnover

It's not the money. At least, that's what top-level executives think when it comes to explaining why their employees quit.

According to a survey commission by Robert Half International, Inc., of Menlo Park, Calif., money was the fourth reason given for turnover.

The biggest? Lack of advancement opportunities.

If the next rung in the career ladder appears out of reach to workers, your company could be in danger of losing them, the survey suggests. Thirty-nine percent of executives said good employees are most likely to quit their jobs due to a lack of advancement opportunities.

Unhappiness with management was the second most common answer, cited by 23 percent of those polled.

"Helping top performers reach their professional goals is essential to retaining them," said Max Messmer, chairman and CEO of Robert Half International Inc. and author of the book, "Motivating Employees For Dummies."

"The best employees are ambitious and may not stay in a position long if it lacks growth potential, he says.

Messmer said that if offering a promotion isn't an immediate option, managers should consider providing employees with projects that will prepare them to assume greater responsibilities in the future.

Other suggestions:

• Gauge perceptions. Are your employees happy with their roles and with management? Gather individual feedback on the work environment and the types of changes that might enhance job satisfaction.

• Reward extra effort. Individuals who frequently accept added responsibility or an increased workload should be rewarded. If budgets are tight, consider alternatives such as a larger office or a more flexible schedule.

• Give kudos. Praise doesn't have to be costly or time consuming, but it should be frequent and personalized. A sincere thank-you note and recognition during a staff meeting for a job well done are inexpensive yet effective motivators.

• Avoid staff burnout. The most capable employees tend to have the most on their plate -- and they're least likely to speak up when the workload is too heavy. If hiring more staff isn't an option, bring in temporary help during peak times.