When an employee leaves there are indirect costs in relation to the time and effort that is required to replace any employee as direct recruitment and advertising costs, there are also less tangible cost associated to losing knowledge and experience that is specific to an organization; Prevention is the best cure against the problem of losing good employees.
Employees leave their employers for many valid and unavoidable reasons but it is important that an employer knows the reasons their employees leave in case they are found to be reasons that if addressed and resolved could have been avoided.
Concerns of employees can be identified early by the regular use of well designed job satisfaction surveys, allowing for problems to be resolved and helping to minimize needless loss of staff. However, some problems, especially those that are the result of a clash of personalities, are not always brought to the surface until it is too late.
Poor management and/or a lack of any real career development are two common reasons that can result in employees deciding to leave an organization. Both of these problems can be difficult to identify even for organizations that adopt regular 360-degree appraisals (i.e. where as part of the overall appraisal system, employees evaluate their managers).
While employed employees can be reluctant to criticize their managers for fear of the consequences, they can however be more candid when completing an employee exit survey.
It is unlikely that an Exit survey will prevent any individuals from leaving but it will help identify problems that could, if left unchecked, could result in poor staff moral for the remaining staff and worse case scenario, more resignations.
Limited Career Development
Not all employees desire, nor can employers always provide their employees with a clear and long term career path. There are just as many people that find comfort and security in doing one job well as there are people that need to feel that they are continual being challenged, learning new skills and moving onwards and upwards with respect to the corporate ladder. For organizations to succeed and excel they need the high flyers as well as the steady Eddies of the world.
Where losses due to a lack of career development are occasional they may also be inevitable, but where they are frequent, then changes to the organizational structure might need to be considered to allow for greater career development of the employees.
Poor Management
Many a manager has achieved their managerial position through hard work and a deserved promotion, but a good worker does not always make a good manager and many are awarded a management position without any management training.
Managers who perform poorly can be quick to discredit the views of disgruntled staff, ‘I am glad they went it saved me getting rid of them’ and ‘they were useless anyway’ may prove to be common responses to those managers being asked if there are any problems that might be causing people to leave the organization.
It is proper and natural for senior management to support their line managers by giving them the benefit of any doubt, after all a good managers can always be slighted by poor employees. But by conducting exit surveys, if a man-management problem were to be identified early there is a good chance that it can be addressed and resolved with the appropriate formal training and guidance.
Records
It is not uncommon for people to leave an employer and at a later date put in a claim for constructive dismissal. With legal representation now adopting the ‘No win no fee’ model even good employers are finding this to be a real problem. At best Exit surveys will provide an organization with a valuable record of the employee’s reasons for leaving, and at worse, provide advanced warning that a possible claim for unfair dismissal might be expected.
A tribunal may not readily accept the word of an employer that when the employee left they did so without indicating any grievance.
When to conduct an exit survey
Exit surveys can be conducted as part of the termination procedures or they can be delayed for a few months if the employee is in agreement.
The advantage with delaying an exit survey for a few months is that after a period of reflection a former employee can be less emotional and more objective and if they have taken up another position they may be in a position to compare their previous role with their new role.
The advantages with conducting an exit survey as part of the termination procedure is that although emotions may be running high it is probably more reflective of the employee’s state of mind and therefore closer to the reasons they have decided to leave (justified or otherwise). If the exit survey is delayed then any comparison between the ex-employee’s past and present role may be the result of them putting on a brave face or just biased because of them having a new and fresh role, and if the reasons they left be ones that require action, then the delay may hamper the problem from being resolved.
Summary
By including exit surveys as part of the employee termination procedures organizations will generally benefit in a number of different ways. They will at the very least provide good records that could prove very valuable later, at best they will provide management with information that can help improve an organization spiritually and with the bottom line.
See the following survey for sample exit interview questions.

