Employee Retention and Happiness

When searching for the highest employee retention rates, SAS is at the top of the list, and it has also been at or near the top of the list for best companies to work for many years (Fortune).  Their annual turnover rate is 2-3% while the industry average is 22%.  They are a successful company.  SAS has increased their profits every year for the past 37 years (Crowley).  This shows that a company that focuses on their employees can be a very successful company due to their employees.  It is helpful at understanding how to sustain high employee retention and happiness in order to have a successful organization.

SAS has four main areas of focus to achieve employee happiness and that is valuing employees, offering perks, a culture of trust and ensuring employees understand their significance in their contributions (Lane).  This happiness leads to high productivity and retention. During the economic downtown in the late 2000s, employees were concerned that there would be layoffs due to the reduction in revenue.  However, SAS announced in January 2009, to all of its employees that there would be no layoffs (Crowley).  Their productivity increased after that announcement, and while other companies were cutting costs, SAS's employees were working on new products. There are many onsite benefits for the employees and their familes including a massive gym, free on-site health care, deeply discounted child care, counseling for managing stress, and snacks are available for the employees during the day as well (Crowley).  These and many other perks are a reminder to the employees that the company values each employee.  The company works hard to have a culture of trust.  They are diligent in ensuring they have the right leadership team to keep this culture of trust.  Leaders must show that they naturally want to support and help people, and their role is to facilitate the career success of other employees, not their own.  These leaders that help others get rewarded the most.  To add to the trust, the company also gives employees freedom on the hours they work and when they use the campus services.  SAS also makes sure that employees understand how they each make a difference (Crowley).  This creates more fulfillment in the employees and inspires them to fully invest in their work.

The key thing to notice from SAS is that they value their employees.  They demonstrate to each employee that their contribution is important to the company and the company shows that they value each employee.  They show their employees that they value them by ensuring job security, offering perks, offering autonomy, and providing career planning and development opportunities.  Selecting the right leadership is an important part of employee happiness because the company thrives to have a culture of trust and trusted leadership.  Their leaders need to be authentic and work for the success of their employees.  SAS is a great example of a company that employee happiness leads to a successful business.

"Best Companies to Work For 2013". Fortune. CNNMoney. http://money.cnn.com/magazines/fortune/best-companies/2012/turnover/

Lane, A. "SAS on Fortune Best Companies to Work For list in US."  SAS Press Release.  January 2012.  http://www.sas.com/news/preleases/2012fortuneranking.html

Crowley, Mark. "How SAS Became the World's Best Place to Work."  Fast Company.  January 2013. http://www.fastcompany.com/3004953/how-sas-became-worlds-best-place-work