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4 Simple Ways to Invest In Your Employees

better boss business owner culture team Jun 27, 2023
4 Simple Ways to Invest In Your Employees

It’s been said that employees are a company’s most valuable asset and the last thing any business wants is to lose one. Taking time and resources to invest in an employee not only demonstrates a commitment to growing your employees, but it serves as an investment in your company, too.


Facts about investing in your employees

If you're on the fence about the value of investing in your employee, the topic has been widely studied and found to impact employee retention in a big way.


1. Employee Training and Development

  • According to a survey by LinkedIn, 94% of employees would stay at a company longer if it invested in their career development.
  • The Association for Talent Development (ATD) found that companies that offer comprehensive training programs have a 218% higher income per employee than those with less comprehensive training.
  • The same ATD study revealed that companies that invest in employee training and development have a 24% higher profit margin compared to those that don't.


2. Employee Engagement

  • Gallup's State of the Global Workplace report found that companies with engaged employees outperform those without by 202% in terms of profitability.
  • According to a study by the Harvard Business Review, organizations with highly engaged employees have a 21% higher productivity rate.


3. Employee Well-being and Work-Life Balance

  • The World Health Organization estimates that for every dollar invested in mental health treatment, there is a return of $4 in improved health and productivity.
  • A study by the American Psychological Association found that organizations that prioritize employee well-being and work-life balance experience higher employee satisfaction, reduced turnover, and improved performance.


4. Diversity and Inclusion

  • McKinsey's "Diversity Wins" report revealed that companies in the top quartile for ethnic and cultural diversity on executive teams are 36% more likely to have above-average profitability.
  • Deloitte's research suggests that companies that foster an inclusive culture are twice as likely to meet or exceed financial targets, three times as likely to be high-performing, and six times more likely to be innovative.

Enhancing your workplace culture and reducing turnover are just a few benefits of investing in your employees. So how do you do that? Keep reading to see a few simple ways.


1. Make Work/Life Balance a Priority

Top-level management is known for putting in long hours, but that shouldn’t be the expectation for all employees (or you, for that matter). Having a balanced work and life culture will go far when it comes to investing in employees.

Ensure that employees’ time-off requests are honored within reason, encourage annual vacation time and avoid frequent requests for overtime if possible. 

When you honor your employees as a whole person, not just the person who works for you, they will show up to work eager to succeed.


2. Offer Competitive Compensation

While money isn’t everything, when an employee is paid fairly for their work, they will feel valued. Most Americans have to wisely manage their finances and offering a competitive package will likely yield the best talent but also help retain them as well.

A simple way to stay competitive is to schedule annual reviews where performance is evaluated and there’s an opportunity for a raise. Companies can also reference online guides, like Glassdoor, to research similar pay for various industries and locations.


3. Invest in Professional Development

As professionals, we are never done learning, and providing avenues for professional development to your team goes a long way.

At Talent Magnet Institute, we provide a way to easily invest in your employees’ professional and personal development (as well as your own) through a digital membership created with leaders in mind. This membership provides opportunities to learn, receive expert training, and have leadership resources at your fingertips.

Not only does a focus on professional development mean value for your employees, but your organization will also become known as a company that values their people and one that is continually going above and beyond to grow!

That means you’re more likely to become a magnet for more talent and retain the talent you already have.


4. Recognize

Employees who work hard want to know they are making a difference, and recognition is an easy way to show them they are valuable. One of the top reasons people leave their job is not due to salary––it’s because they don’t feel appreciated!

Take time to honor work anniversaries, daily accomplishments to the team and recognition for a huge win with a client. Not all of these options require anything tangible. Sometimes an announcement at morning standups or a team email is more effective than a glass award that gathers dust on a shelf.



Investing in employees is a worthwhile venture that brings value to each staff member and to your organization as a whole. While it does take extra effort, cultivating your people is the key to a successful company, a healthy workforce, and so much more.

Are you looking for more ways to become a better leader? A great way to start is our Leadership Foundations course! Our premium intro course designed to build your leadership toolbox with foundational and transformational skills completely for free!

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