In today’s labour market, the shortage of qualified professionals and the need to continuously adapt to shifting market expectations pose significant challenges for companies. For small and medium‑sized enterprises in particular, employee retention plays a crucial role in maintaining competitiveness and is closely linked to overall turnover levels.

Let’s start with workforce turnover

Although turnover has shown improvement in recent years, it remains a major challenge. Among large enterprises, turnover currently stands at 23%, the lowest level in the past nine years. However, this decrease is partly due to the less favourable economic environment: in uncertain economic conditions, employees are generally less willing to change jobs.

Feedback, assessment, communication

One of the most powerful tools for employee retention is continuous, constructive feedback and open communication — and this should begin as early as the recruitment process. Companies benefit from designing onboarding and orientation processes that not only support professional learning but also help new hires integrate into the organisational culture. Before the end of the probation period, it is especially important to hold a structured assessment meeting where both the professional manager and HR provide feedback. This significantly strengthens trust between the employee and the employer.

Regular recognition also plays a key role in increasing engagement. According to research conducted in early 2026, even one positive piece of feedback per month can strengthen employee trust and boost commitment to the organisation.

Hybrid Work Leads the Way

Hybrid work and ensuring work‑life balance have become essential elements of employee retention. During the COVID‑19 pandemic, full home office became widespread, but as the situation stabilised, companies gradually returned to office‑based work. From 2024 onwards, many organisations reinstated mandatory office presence, yet experience shows that hybrid work remains the most popular model — especially in the IT sector.

Companies that offer regular weekly home office tend to be more attractive to employees. Flexible work arrangements express trust and autonomy, support employee well‑being, and help prevent burnout.

Today, hybrid or fully remote work is not merely a convenience — it is a major retention factor. These flexible models allow employees to work effectively from rural areas or even abroad, significantly expanding the available talent pool while supporting work‑life balance. For companies, this contributes to higher satisfaction and stronger long‑term commitment.

Companies that consciously build their employer brand and treat employee experience as a strategic priority are better equipped to retain their workforce, reduce turnover, and strengthen long‑term organisational competitiveness.