Talent Retention a Top Concern for Employers

May 3, 2011 (PLANSPONSOR.com) – The 2011 Talent Survey from Aon Hewitt revealed that 45% of respondents are planning to hire more employees in 2011 than they did in 2010, and only 16% expect to hire fewer employees this year than they did last year.

However, just 28% of organizations believe they are very or extremely effective at hiring quality employees. Approximately half of these employers (51%) say they are effective at securing quality hires and 21% think they are only somewhat effective or not at all effective at hiring quality workers.  

According to a news release, employers’ top three concerns are talent retention (31%), business strategy execution (18%), and employee engagement (16%).  

Sixty-one percent of employers will increase their focus on talent development, 40% anticipate a greater focus on hiring, and nearly one-third anticipate increased turnover in 2011.    

Seventy-eight percent of employers agree that total rewards statements, which provide an overall look at compensation and benefits, are effective at demonstrating value to employees. In addition, total rewards statements are reported to improve retention (69%) and improve employee engagement (63%).  

Low Confidence in Leaders  

Aon Hewitt surveyed 1,328 employers nationwide and found that leaders play a vital role in meeting business goals (56%), meeting profitability targets (56%), delivering service (56%) and retaining talent (44%).   

However, Aon Hewitt’s 2011 Talent Survey found only 12% of respondents say their leaders are extremely effective at meeting business goals. Just 14% believe their leaders are extremely effective at meeting profitability targets, 17% say the same holds true for delivering service, and 7% believe their leaders are extremely effective at retaining talent.  

To download the report, visit http://www.aon.com/talentsurvey.