No matter the industry, employee turnover represents one of the most significant hurdles companies face when turning a profit. Having a revolving door of employees can lead to reductions in morale and productivity and a steep increase in costs to replace lost employees. Companies face an uphill battle identifying reasons for the high turnover and ways that they can combat them. Whether they run through junior developers or more senior members of their teams, high turnover can significantly affect their organization in ways they could not foresee.
One avenue that they can pursue is utilizing a nearshore team for their needs. But what is it about a nearshore team that leads to reduced turnover, costs, and ideally, an increase in profits?
What Causes High Turnover Rates?
We know that there are a multitude of factors that go into a company’s employee turnover rate. With intangibles such as company culture, benefits packages, competition within the field, work commutes, and employee morale, finding one particular area which generates the most significant turnover can prove challenging. When companies outsource their personnel, it can typically result in overworking and underpaying employees, which leads to diminished productivity and high turnover rates. With a nearshore team staffed by Remote Team Solutions, these are things you don’t have to worry about!
Reduced Training Costs
One of the most significant drawbacks concerning employee turnover stems from the restaffing process. It becomes next to impossible to bring in someone off the street with a similar skillset to the AutoCAD designers you lost without utilizing some form of training. Those training hours cost you money that you could have spent elsewhere to help grow your business. With a nearshore team, turnover rates are significantly reduced, and you can allocate the money you would have spent on training elsewhere.
Improved Satisfaction
Employee satisfaction has a way of being tied to a healthy mixture of how well they’re paid and what kind of work-life balance they can achieve. By allowing them to maintain a proper work-life balance while also paying them their worth, your employees will feel appreciated and fairly compensated. With a remote team, the salaries are often higher while simultaneously saving the company money. Additionally, our remote team members work 45 hour work weeks instead of the standard 48-hour workweek in Mexico, giving them three additional hours per week for their personal use and striking the perfect balance between work and living their life.
When it comes to nearshore teams, the teams’ inherent stability leads to reduced employee turnover rates. With reduced turnover, companies don’t have to pay a premium on training new hires, and they can allocate money to other areas of the business. If you want to start experiencing the benefits of nearshore teams for your business, contact Remote Team Solutions to learn more!