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From Perks to Purpose: How One HR Leader Tripled Employee Retention

Author
SkillCycle
Published
Wed 26 Feb 2025
Episode Link
None

In this episode of HR Confessions, hosts Rebecca Taylor and Kim Rohrer dig into the concept of "HR debt" - those redundant tools, unnecessary platforms, and excess perks that don't actually improve employee experience. They share the story of Daniela, an HR VP who inherited a toxic sales culture with 6-month average tenures and transformed it by eliminating flashy perks to fund meaningful growth opportunities. Discover how she tripled retention rates by implementing career pathing, learning programs, and rotational shadowing while saving money in the process. This episode reveals that true employee engagement often requires fewer sophisticated perks and more foundational support.


Show Notes

  • HR debt defined: redundant tools, unnecessary platforms, and excessive perks that don't improve employee experience
  • Kim compares HR debt to tech debt - either too much disorganized structure or not enough structure
  • Why reducing HR debt requires making things worse before they get better
  • Daniela's scenario: VP of HR managing 300 employees in a sales-focused division with high turnover 
    • Company hired 120 salespeople yearly with most leaving within 6 months
    • Work hard/play hard culture with abundant perks and minimal support
    • Employees fired immediately for missing monthly quotas
  • Daniela's approach to reducing HR debt: 
    • Conducted listening tour and employee engagement survey
    • Eliminated unnecessary perks (personality assessments, excessive snacks, unused LMS)
    • Created retention-based bonus structure for leaders
    • Implemented structured onboarding program with clear career paths
    • Developed rotational shadowing program for high performers
  • Results: 
    • Average tenure increased from 6 to 18 months
    • Reduced recruiting costs
    • Savings redirected to meaningful benefits (learning stipends, team activities)
    • Created sustainable culture with focus on development
  • Key takeaway: Strategic HR leadership requires both people focus and business focus

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