Top 5 Reasons Employees Leave

Talent is the most important thing to consider when building a successful company. Whether it’s a startup business or a company that’s been in operations for numerous years, people make a company  primed and ready for success.

Granted, the products you sell or the services you offer are almost equally important, but the coffee doesn’t make the Starbucks experience unique. Their people do.

While I think we can all agree that hiring and keeping talent is vital for any business, why do employees leave? And why is it hard to keep employees for a lengthy period of time? In his remarkably successful book The Hard Things About Hard Things, author, entrepreneur, and venture capitalist Ben Horowitz says there are 2 reasons employees leave a company: they hate their manager, or they weren’t learning anything. While that’s a good start, I think there are 5 reasons in total.

1. They hate their manager

While I have been incredibly lucky to have only 1 mediocre manager or boss in my entire career (the rest were awesome!), this can be the main issue in employees leaving a company. If you can’t get along with your manager, someone whom you report to, deal with on a daily basis, and who sets your objectives and rates your performance, then that is a big hurdle to overcome. And if you don’t like your manager, the feeling is likely mutual. If mutual respect still exists, then this is perhaps salvageable. (Yes, you can dislike your manager, but still respect them). But more times than not, if manager and direct report do not get along, two things will happen: the employee will ask for a lateral move to seek another manager or they will leave.

Think about your organization: are there any obvious frictions between an employee(s) and their manager?

2. They Stop Learning

Horowitz is dead on when he states that another main reasons employees leave is because they stop learning. I would also add it could be because they never learned anything. If you have any kind of drive, you will want to learn as much as you can, either from your manager or leadership team, the position itself, industry events, or from your colleagues.

If your learning curve gets stunted or never starts, even as you keep wanting to learn, then perhaps it’s time for a change. One thing I have seen work in employees who stop learning or are bored is to swap positions with someone else in the department (for example, moving from email marketing to social media) or to change departments (for example, moving from Digital Marketing to Ecommerce operations). This forces you to learn new elements of a position and get your learning back on track.

If the above options are not possible, and it’s been some months since learning stopped, then maybe it’s best for employee and employer to part ways. Once an employee stops learning, it may be mutually beneficial to part ways.

Think about your organization: if you sense an employee is bored or has stopped learning, perhaps send him to an industry event to spark a flame, or see if there is another internal position he/she could fill.

3. Not a Culture Fit

So you decide to move on from your current employer for various reasons, and are excited to start your new job. You get to your new employer, and after a few days or weeks, you get a sense that either you are not a great fit for the company’s  culture, or you do not like or respect the company culture.

Let me be clear: unless it is a 1-10 person company, you cannot change culture in a short period of time, and maybe not ever. Whether positive or negative, a company’s culture has been built over time, and changing it will take some time, and likely involve a number of employees being jettisoned out. So if company culture is important to you and you don’t feel right about the current culture, you may want to call your previous employer, or look for another company to join.

However, if you decide to join a new company, make sure you ask about culture during the interview phase.  And I don’t mean to simply ask “how is the culture at company ABC;” try to delve into specific questions that help gauge what type of company they are: Do they have a social committee? Do they donate to charity? Do they have a flexible schedule? Do they have mentorship or education programs? Ask about how they handle Dr.’s appointments. Do employees eat lunch together? Are there silos within departments? What does the decision-making process look like? These are just a few.

There are a number of culture questions you can ask, so ask the ones that are important to you. And while this may not get you to completely understand the company culture, how the interviewer answers your questions may go a long way in helping you determine if the culture is right for you. Also, try to find someone in your LinkedIn network who works at the company, or someone who can refer you to someone who is currently employed there.

Think about your organization: ask HR to round up the number of people who have left in the last year, and look through their exit interviews. What percentage of them left because of the company culture? If it’s a large percentage, you may want to look further into the company culture, as it may be toxic.

4. No Room for Growth

So you’ve been with a company for a number of years, and moved up slowly, perhaps from a Specialist to a Manager, but you see no other prospects for promotion from within. When there is no room for growth, a few things will happen: an employee will talk to his/her manager, or their manager’s boss, and ask if there is a possibility for promotion and a more senior leadership role. The likely answer is yes, but it may take some time. At this point, the employee has to decide if that yes was authentic or not. Trust your gut. If there is no room for growth, and you decide to leave, your employer will likely not be upset, and you will leave on great terms, which will leave doors open for a future position.

Think about your organization: make a list of employees you know want a promotion or a more senior position. Do you have room for them to grow? Can you create a new position for them? For the ones that you cannot promote, be comfortable by the prospect that you may lose them within 1 year.

5. A Better Opportunity Comes Up

Sometimes, there is absolutely nothing that your current employer has done wrong. You are actually happy working there, and you love your boss, your team, and your colleagues. The company culture is a fit. Heck, they even have free (good) coffee. But another opportunity comes up. And then you have to determine if you’re ready and/or willing to leave. This is probably the main reason I have left some of the great companies I have worked for.  So I know this element quite well. You have to decide what is best for your career, and your work/life balance.

Joining a new company is not always easy. You have to learn new processes, meet new team members, get accustomed to a new boss, and figure out the company culture and ways they do things. Always trust your gut on this one. If an opportunity comes up and you feel it’s right, then go for it. Take the learning and experience from your current employer, and bring them to the next step in your career. I would definitely advise to always leave on great terms. Do it respectfully, be honest, and the more senior you are, the more time you should give them to find your replacement.

Think about your organization: no matter how open and honest you are with your employees, opportunities will come up. You can’t stop them. And you shouldn’t prevent your employees from leaving. And yes, you can definitely try to entice them with a better offer. However, if they are leaving for a better opportunity, it may not be about money at all. But some key advice for employers: be respectful of the employee leaving for a better opportunity. It is tough enough for them making that decision, so sometimes, you just have to support them, rather than criticize them or their new company.

Have you left a company for one of the reasons above? Are there any other reasons you have left?