Right now, even with the downturn in employment, employees still receive more employment offers as your competitors compete to secure the best employees.
Retaining your best employees is not expensive but many employers think it is so they never offer benefits and they lose their employees.... you just have to make it so good to work for you that everyone talks about what a great employer you are.
#1 Compliment and Reward your best employees when they do anything exceptional. It's very inexpensive to take your best employees and spouse to dinner and make a big deal about your employee in front of their spouse... or buy a $100. Gift Certificate for them on their Birthday or Anniversary or when they go above and beyond the norm. It's essential to make them feel like a million bucks so don't talk on your Cell Phone... this is their time to glow in your praise.
#2 Unexpected Cash Bonuses are always mood lifters because it's a surprise and they will talk about it to their family, friends and other people in the same profession. Everyone wants to feel valued and they will tell everyone about how important they are to your business IF you make them feel important.
#3 Start a Retirement Plan with an Employer Contribution in addition to the Employee Contribution. They are absolute must haves if you want to have happy committed employees for many years.
#4 Profit Sharing Plans for Key Employees will lock them into your profitability and give them a feeling of being important to you.
#5 Key Man Life Insurance and/or Term Life Insurance payable to both the company and his family always provide a great hook to keep increase loyalty. If an employee quits prematurely, you can just cancel the payments and the policy will expire.
#6 A Child's 529 Education Account. It's easy to make a contribution to their child's College Education Account and it's something their spouse will not forget. This will build family unity and agreement on how generous an employer you are and it's so inexpensive.
#7 Golden Handcuffs. Key Workers are essential and it's wise to make an offer so good to those chosen employees that they will never want to leave. We can discuss this together.