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Survey Reveals Retention Crisis Due to Poor Onboarding, and It's Driving New Hires to Quit
A new survey reveals that a poor onboarding experience makes nearly half of new hires consider quitting within their first six months.
Key Points
- A new survey reveals that a poor onboarding experience makes nearly half of new hires consider quitting within their first six months.
- The data shows two-thirds of new hires feel their job or company culture was misrepresented, directly impacting their desire to stay long-term.
- Despite a poor start, 70% of employees are open to a "re-onboarding" session after six months, offering companies a chance to improve retention.
- Poor onboarding contributes to an estimated $37 billion in lost productivity annually, highlighting its significant impact on business operations.
A new survey from Software Finder reveals that a poor onboarding experience makes nearly half of new hires want to quit within six months. The data shows a direct link between a clumsy welcome and a company’s ability to hold onto its talent.
Not as advertised: The frustration goes beyond just awkward icebreakers. The data reveals a fundamental gap between promise and reality, with two-thirds of new hires saying the job they were hired for didn't match what they were told about the role or the company culture. Unsurprisingly, only 28% felt truly prepared for their new role.
A revolving door: The divide hits retention directly. A positive start made a huge difference, with 55% of those employees seeing a long-term future with the company. For those with a negative experience, that figure plummets to just 10%, turning a company's front door into a revolving one.
The do-over: There’s a potential lifeline for companies that fumble the first impression. The research found that a surprising 70% of employees would welcome a "re-onboarding" session about six months in, offering a rare second chance to get it right and realign with the team.
Onboarding isn't just a procedural HR task; it's a critical business function that directly impacts employee retention and the bottom line. Getting it wrong is an expensive, self-inflicted wound. The problem of poor onboarding has wider implications. The cost of replacing a single new hire can run into the tens of thousands of dollars, and on a macro level, the issue contributes to an estimated $37 billion in lost productivity each year.
