What is employee retention, and why is it crucial?
Employee retention isn't just about keeping people in place. It's an emotional and professional commitment that leads an employee to stay in the company voluntarily. A loyal employee makes a conscious choice to continue their career within your organisation, unlike someone who stays out of constraint or a lack of alternatives.
This distinction is fundamental. According to Gallup engagement studies, only 6% of French employees are truly engaged in their work. The rest just "do the bare minimum" or, worse, actively undermine their workplace. An engaged employee develops a strong sense of belonging and actively contributes to collective performance.
The economic stakes of retention are considerable. The cost of replacing a manager runs between 6 and 24 months' salary, according to INSEE data. For a €50,000 salary, this represents an investment of €25,000 to €100,000 in recruitment, training and temporary lost productivity. These direct costs come alongside indirect impacts: overloading remaining teams, loss of know-how, and a deteriorating social climate.
The 5 key indicators for measuring your retention level:
- Voluntary turnover rate (target: under 15%)
- Employee Net Promoter Score, or eNPS (target: above 30)
- Absenteeism rate (benchmark against your sector)
- Average length of tenure at the company
- Internal promotion rate
The fundamental levers of employee retention
The workplace and physical wellbeing
The workplace is the first pillar of retention. The quality of the physical space directly affects quality of work life and employee engagement. Acoustics, ergonomics and the design of collaborative spaces shape your teams' everyday comfort.
Jérôme Bourdon, co-founder of WiiSmile, speaks to this reality: "What our employees told us: noise is wearing and tiring. They need moments to recharge, to settle down and step away." This acoustic issue, governed by the ISO 23351-1 standard, directly affects employees' focus and physical wellbeing.
Work-life balance is the second fundamental aspect. Remote work, flexible hours and innovative leave policies meet employees' new expectations. Some companies are even trialling the 4-day week, with promising results, according to the 2024 DARES study on working-time organisation.
Professional development and recognition
Career prospects durably motivate your talent. A structured training plan, opportunities for internal mobility and mentoring programmes create a stimulating environment. Employees need to concretely see their professional progress within your organisation.
Recognition, both financial and non-financial, strengthens engagement. High-performing companies put regular feedback systems, development conversations and celebrations of collective achievements in place.
How do you measure and track employee retention?
Quantitative indicators
The turnover rate is your reference indicator. Calculate voluntary turnover (resignations) and involuntary turnover (dismissals) separately, to identify the real reasons people leave. The calculation method: (number of departures / average headcount) x 100. Analyse this data by department, profile and tenure to spot trends.
Absenteeism reveals your teams' level of engagement and wellbeing. A high absenteeism rate often signals problems with management, workload or the physical environment. Compare your results with French sector benchmarks to assess your relative performance.
Qualitative indicators
The Employee Net Promoter Score (eNPS) measures how likely your employees are to recommend your company as an employer. This scientifically validated methodology is based on a simple question: "On a scale of 0 to 10, would you recommend this company as a place to work?"
Cyrille Picard, technical manager at Siemens, shares his experience: "We used a 1 to 5 rating system. The pods scored 4.6/5, which is excellent." This systematic evaluation approach makes it possible to concretely measure employee satisfaction.
The 8 essential questions for measuring engagement:
- Would you recommend the company as an employer?
- Do your tasks match your expectations?
- Do you have the resources you need to do your job well?
- Do you get regular feedback on your performance?
- Are your opinions heard and taken into account?
- Does the company's mission motivate you?
- Do you have learning and development opportunities?
- Do you have good relationships with your colleagues?
Practical strategies for improving retention
Optimising the employee experience
Onboarding largely determines how successful integration will be. A 5-step structured process maximises your chances of early retention: pre-arrival preparation, personalised welcome, job training, a buddy from among experienced employees, and follow-up at 3 and 6 months. An ANDRH study shows that 69% of employees stay 3 years at the company after a successful onboarding.
Internal communication and regular feedback create a climate of trust. Set up weekly one-to-ones between managers and employees. These conversations help quickly identify difficulties and highlight individual contributions. Participative management gives your teams ownership and strengthens their engagement.
Strengthening company culture
Company values need to translate into concrete actions. Müge Sené, project manager at Yemanja, explains: "From the start, we wanted a very responsible project. We chose Work With Island because the pods are made in France." This consistency between stated values and operational decisions strengthens the credibility of your company culture.
B Corp certification perfectly illustrates this responsible commitment. It shows your willingness to reconcile economic performance with a positive social impact, meeting employees' growing expectations around meaning at work.
Checklist of the 10 priority actions:
- Define and clearly communicate the company mission
- Set up a 360° feedback system
- Create personalised training paths
- Organise regular team-building events
- Improve workstation ergonomics
- Introduce flexible hours
- Develop a recognition programme
- Optimise workspace acoustics
- Create relaxation and collaboration spaces
- Regularly measure employee satisfaction
The impact of the physical environment on retention
Acoustics are a decisive factor in workplace wellbeing. Scientific studies show that prolonged exposure to noise generates stress, fatigue and lower focus. In open-plan offices, this issue intensifies and directly affects employee productivity and satisfaction. Private spaces have become essential in the modern workplace.
The 6 criteria for an optimal workplace:
- Effective sound insulation (at least 25 dB of reduction)
- Suitable natural and artificial lighting
- Silent, regulated ventilation
- Spaces adaptable to different activities
- Collaboration and private zones
- Workstation ergonomics
Employee benefits and total compensation
Innovative employee benefits complement base compensation and differentiate your employer value proposition. Employee savings schemes, meal vouchers, holiday vouchers and CESU service vouchers meet employees' practical needs. URSSAF regulations govern these schemes and offer attractive tax benefits for both company and employee.
Remote work, now firmly established in practice, needs structured support. Provide the necessary equipment, set clear rules and maintain social ties with teams. This flexibility improves work-life balance and strengthens your company's appeal.
Non-financial recognition has a lasting impact on engagement. Autonomy in organising work, ownership of strategic projects and visibility of individual contributions motivate your employees. Peer-to-peer recognition programmes let teams value one another and strengthen cohesion. Work With Island supports you in improving your workplace.
Work With Island designs acoustic pods that transform your workplace. Our Island Solo, Island Duo and Island Quattro create spaces for privacy and focus that directly contribute to your employees' wellbeing. These pods reduce noise by 28.7 to 31.1 dB and are installed in under an hour with no construction work.
Our B Corp certification and the Origine France Garantie label demonstrate our responsible commitment. This approach reinforces your company values and meets your employees' expectations around sustainability. French manufacturing guarantees quality and reduces the carbon footprint of your investment.
More than 15,000 pods installed for 4,000+ clients, including LVMH, L'Oréal and SNCF, reflect our expertise. This experience lets us effectively support you in improving your workplace. Our solutions meet the ISO 23351-1 standard, Class A or B (depending on the model), and come with a 5-year warranty.
We offer a 100-day trial to test our pods with no commitment. This risk-free approach lets you concretely assess the impact on your teams' wellbeing. Installation takes under 1 hour and requires no major construction work.
Want to improve your teams' wellbeing? Contact Work With Island to discover how our acoustic pods can transform your workplace and help retain your talent.