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We all know it’s tough to find good people these days, but keeping them around? That’s a whole different ball game. More and more businesses are expanding into new markets and building remote teams to tap into a wider talent pool. And while that opens up loads of exciting opportunities, managing remote employees isn’t exactly straightforward. There’s communication to figure out, different work cultures to balance, and local employment laws to navigate—all while keeping everyone engaged and motivated.
In fact, a study by Buffer found that 70% of remote workers feel left out of their team, and 60% of employers admit managing remote teams effectively is a big challenge. When remote employees feel disconnected, they’re more likely to lose motivation—and possibly look elsewhere.
So, how do you keep your best people, especially when they’re spread across different locations?
Managing a remote workforce comes with unique challenges. When employees don’t have face-to-face interaction with their colleagues or bosses, building strong connections can be tough. A study by TINYpulse found that 27% of remote workers feel disconnected from their company’s culture. And when people feel isolated, their engagement dips—and disengaged employees are the ones most likely to leave.
Another issue remote employees face is feeling unrecognized. Without regular feedback, it’s easy for them to feel overlooked. In fact, Harvard Business Review found that remote employees are 50% less likely to feel appreciated. And when people don’t feel valued, their motivation drops, and it’s only natural for them to start thinking about moving on.
As the competition for talent heats up, businesses are starting to realize that keeping employees is just as important as attracting them. The challenge isn’t just about bringing in great talent—it’s about making sure they stay.
Let’s face it, people today want more than just a job. They’re looking for benefits that support their well-being, opportunities to grow, and a sense that their company really cares about them. But managing all these expectations—especially for remote teams or businesses operating in multiple markets—can be tough.
That’s why more businesses are turning to Professional Employer Organisations (PEOs) to help boost employee retention.
A PEO doesn’t just handle payroll and compliance—they provide key support to keep employees engaged and loyal. Here’s how a PEO can help:
PEOs give smaller businesses access to big-company benefits like healthcare, wellness programs, and retirement plans—things that can be difficult to offer on your own. According to Glassdoor, 60% of employees say benefits are a major reason they stay with a company.
A report by SHRM shows that companies offering strong health and wellness programs see a 56% drop in turnover. So, improving benefits is a smart move if you want to keep your top talent.
Employees want to grow in their careers, and when they feel like they’re moving forward, they’re more likely to stick around. 94% of employees say they’d stay longer at a company that invests in their professional development (LinkedIn Learning).
A PEO can help businesses offer learning and development programs, whether it’s through training workshops, courses, or career development plans. It’s a great way to show employees that their growth matters.
Stress is one of the major reasons people leave their jobs. PEOs offer Employee Assistance Programs (EAPs) that provide confidential support for personal and professional issues, from mental health services to financial planning. These programs help employees deal with stress before it turns into burnout.
According to the American Psychological Association, 89% of employees are more likely to stay with their employer if they receive support for emotional and mental well-being.
Everyone likes to feel appreciated for their hard work, and recognition goes a long way in keeping employees engaged. Whether it’s regular shoutouts or structured recognition programs, PEOs can help businesses set up simple, effective ways to celebrate achievements and milestones.
Gallup reports that 68% of employees say they’d stay longer at their current job if they felt more appreciated.
Flexibility is no longer a nice-to-have—it’s an expectation. 80% of employees say they’d be more loyal to their employer if they had flexible work options (FlexJobs). PEOs help businesses introduce flexible policies, whether it’s allowing remote work or offering flexible hours, giving employees the work-life balance they need.
Read Related Article : PEO vs. EOR: Which is Right for Your Business?
A PEO does more than just the basics. They help create an environment where employees feel supported, engaged, and motivated to stay. Here’s how:
The data is clear—working with a PEO can significantly improve employee retention. Businesses that partner with a PEO experience a 10-14% lower turnover rate compared to those managing HR on their own (NAPEO). Whether it’s through offering better benefits, streamlining HR processes, or boosting engagement, a PEO helps create an environment where employees feel valued and motivated to stay.
Want to know more about how a PEO can support your retention strategy? Download our PEO Guide to learn more.
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