Leaving on a high note: How workplaces can benefit from exit interviews
Interview with Diana Lo, co-founder of Monday Morning.
It’s the day every manager dreads - Linda, your superstar employee, approaches you and announces she’s leaving for another opportunity.
Anyone who has ever been in this position knows this news doesn’t always sit well. Questions start swirling in your mind: Why is Linda leaving? She seemed happy - was I wrong? I thought she liked me - was it something I did? In your mind, things were going really well; Linda was a top performer and appeared engaged, and now you’re struggling to understand why she resigned.
The truth is, there are a multitude of reasons people leave companies to pursue other opportunities. In fact, a study conducted by Nielsen found that three quarters of respondents would consider leaving their current employer if the right opportunity presented itself. What employers may not realize is that staff departures actually present a real opportunity to gather insightful feedback on why they are moving on. And a great way to gather this insight is through an employee exit interview.
Exit interviews are a conversation held with a departing employee that help an employer understand why that person is leaving the company. This best practice is adopted by 91% of the Fortune 500 companies who were surveyed, citing exit interviews were part of their regular practice. I interviewed Diana Lo, our co-founder of Monday Morning, for her take on the importance of exit interviews, best practices, and how they help businesses use data to make better decisions.
Diana, please share with us why it’s important for employers to adopt an exit interview process.
One of the most interesting things about exit interviews is how much people are suddenly willing to open up once they decide to leave! You can learn so much about your organizational culture and what initiatives are well received. It also sheds light on the not-so-great things about a company that you may not have realized were a big deal to your staff. Most importantly, it gives the employee a real voice and ties back to a culture where feedback is valued and the opinions of staff play a role in how decisions are made.
What have you found to be some important best practices for exit interviews?
I think the most important best practice is to create an environment that makes the employee feel safe. You are asking someone for honest, candid feedback - this requires trust. The interviewer should always start the process by explaining how the exit interview works, where the responses are going to be stored, who has access to the notes, and how the information is going to be used. The second step is to ensure you respect the confidential nature of the conversation and that anything the employee wishes to not share is kept off the record. And lastly, give them an opportunity to ask questions before, during and after the interview.
Who is the best person to conduct the exit interview?
It’s incredibly important to have someone impartial conduct the exit interview. In most organizations, this would be HR as they offer an objective lens and are typically the ones using the data to enhance processes and practices. If you don’t have an HR person, consider outsourcing this service to ensure you end up with honest feedback.
What are some ‘must have’ questions for exit interviews?
You definitely want to include some standard questions such as what they liked the most when working at the company, what could have been done better, and how they perceived their relationship with their manager. If there are specific programs or initiatives in the organization you want insight on, feel free to ask about those as well. I personally like to ask if they would recommend the company to their family and friends as a good place to work - that one always produces some eye-opening responses!
How should employers analyze the results?
I always advise employers to refrain from hitting the panic button if someone provides negative feedback. The key to analyzing results is to look for trends in the data, and then use that information to drive changes to the business. Some good practices are to ensure questions continue to remain relevant, and to review data results on a bi-annual basis to see if any recurring themes from the previous year are no longer relevant. This can shed light on whether issues had been dealt with, or if they continue to be present.
And lastly, what advice do you have for employers?
In my experience, I have found that once an employee announces they are leaving, managers focus immediately on a plan to transition the work. Yes, work is important, but this person is still an employee until their last day - do not let this sudden to-do list make you lose sight of handling this transition professionally and respectfully. Take the time to celebrate them and their hard work. It doesn’t need to be expensive or public - just meaningful. Ask them how they want to be celebrated and then get busy being creative! I’d also encourage employers to stay in touch with their employees and vice versa. When the relationship is positive, you never know what the future holds. This employee may return to work for you again.
Losing top talent is very costly. Exit interviews can provide invaluable insights simply because you get a chance to ask the right questions at the right time. The information that is shared can shed light on what’s really going on in the workplace and how to make improvements that may prevent others from leaving. If you’re not already conducting exit interviews in your workplace, you should reconsider - it’s a simple, low cost, and effective way to get key insights to help you keep your current staff happy and engaged.
Interested in building an exit interview or off-boarding process, or need help conducting a sensitive exit interview? Get in touch via hello@mondaymorning.ca
About us: At Monday Morning, we are a team of HR consultants in the Toronto area supporting businesses with their HR needs. With over 15 years of experience, we provide expert HR advice, build people and culture programs for some of the best workplaces, and develop customized solutions to meet your needs. We take the worry out of HR so you can focus on your business
