How to Save $57,000 in HR Costs

The Cost of Losing Employees

Losing employees is expensive for your company. This is not a new revelation. Rather, it is a harsh reality that human resource professionals live with daily.

A recent study* underscored the importance of this fact by determining the value and the amount of money lost when employees of various seniorities leave your company in search of new opportunities.

Quantifying The Loss of an Employee:

$7,000 – Cost of replacing a salaried employee

+ $10,000 – Cost of replacing a mid-level employee

+ $40,000 – Cost of replacing a senior executive

$57,000 – Total Cost of losing one employee from each seniority level

How to Increase Employee Retention

When you put it into financial terms, you can save your organization $57,000 a year by retaining one salaried employee, one mid-level employee, and one senior executive. The most effective way to achieve these savings is to make an investment in employee incentive and employee recognition programs.

Implementing a program that allows you to foster higher levels of employee engagement and recognition can be a key to your success. In addition to adequately supporting an employee’s need for growth and stimulating work, rewards and incentives for high performance are excellent ways to increase employee retention. Non-cash incentives have been shown time and time again to be more cost effective and more memorable drivers of engagement than cash bonuses.

Non-cash rewards can include:

Incurring losses of $7,000, $10,000, and $40,000 every time an employee departs is simply too costly. It’s time to get proactive and make small investments in incentive programs. Your dividends in terms of reduced training costs and increased productivity will far exceed the expenses of the program.

For more information on how to retain your employees utilizing cost-effective incentives, rewards and recognition programs, please click here or send me an email at to discuss further.

*Source: Recruiting Times, U.S. Department of Labor, PricewaterhouseCoopers/Saratoga, Bureau of Labor Statistics

From “Me” to “We”: The Power of Corporate Social Responsibility in Incentive Programs


Recent years have illustrated an impressive shift in corporations’ primary focus from “me” to “we”. Today’s most successful corporations know they must perform as social entities, with responsibilities not only to their shareholders, but to employees, consumers and the communities in which they operate.

As the benefits of Corporate Social Responsibility become strikingly evident, adding CSR elements to incentive programs has become integral to a program’s success. Successful Meetings Magazine identifies socially responsible meetings as one of the top 10 trends of 2012. A strong CSR program can play a positive role in engagement by improving employee and customer morale, recruitment and retention, and earning a positive reputation within the community. As corporate incentive programs make a comeback as important tools for business success, the challenge is to design reward programs that not only provide a superior experience, but also fulfill employees’ desire to give back to society.

Companies participating in corporate incentive travel programs now place greater focus on selecting destinations where they can measurably contribute to the local community. Rather than solely focusing their budgets on lavish entertainment and over-the-top gifts, more and more progressive companies are choosing to make donations to local non-profit groups, or purchase gifts from local sources to support the community. The positive emotional reaction from participants is tremendous, filling them with a sense of pride and fulfillment.

When deciding whether or not to implement CSR into your next corporate incentive program, it’s important to note that 93 percent of Americans think about corporate citizenship when making purchase decisions (Successful Meetings, 2012). In addition to increasing consumer relationships, there is also a strong link between CSR and employee loyalty and recruitment. A recent Forbes report confirms that the newest generation of Millennial job seekers seek a higher value on social obligation, with 88 percent of new job seekers choosing employers based on strong CSR value (Forbes, 2012).

Become a part of the “we” movement. Develop a strategic CSR strategy for your company and for your corporate incentive programs to yield a rewarding experience for both program participants and the local community. For more information on how to integrate CSR into your next incentive program, feel free to contact JNR at


Kelly Woolsey
Marketing & Communications Manager, JNR Incorporated

Corporate Reality: Disengaged Employees


Real World–Corporate Edition
The popular phenomenon of Realty TV gives us all a chance to look at ourselves from a new vantage point—as viewers as well as participants. Corporate reality is no exception, and a lot can be learned by taking the time to observe the dynamics of your organization from an onlooker’s perspective. Envision your current office environment as a Reality TV series and look at it from the outside in. You might be surprised at what you discover about your employees and work mates!

It’s no secret that individuals within organizations have an impact on those around them. According to Gallup, 72% of US workers are not engaged in their work. This means that even the best companies run potentially become harmful to the organization’s overall success.

Disengaged employees are usually employees who were once high performers, who, for some reason or another, become uninterested in their job or feel disconnected from the organization they work for. As a result, their productivity decreases, their negativity increases, and their dissatisfaction can spread like wildfire throughout the workplace.

Gallup also reports that 18% of disengaged employees actually undermine the success of fellow employees. The havoc wreaked among coworkers further increases the level of disengagement of all employees, thus presenting the company with bigger issues to address.

Disastrous scenarios that can potentially play out include:

  • When a disengaged employee speaks disparagingly enough about the company and/or management on a regular basis, this may lead to other employees becoming less engaged.
  • When a disengaged employee’s work is mediocre and/or the level of productivity is so low that coworkers become irritated and more often than not, blame management for allowing this to happen.
  • When engaged employees depend on work performed by the disengaged employee, productivity of the engaged employees can suffer.
  • When a disengaged employee intentionally disrupts or sabotages the work of engaged employees.

Employee engagement is a “real world” issue in every organization. It’s essential to have a human performance plan in place to support and reward employee engagement, to address employee disengagement, and to ensure that all members of your organization understand and support the company’s objectives and vision.

Which of these characters do you relate to in The Real World–Corporate Edition?
The “Go Getter”: A contented employee who over achieves and inspires others to reach for new heights
The “Listener”: A peacemaker who remains even-keeled no matter what flurry of emotions erupts
The “Gossip Queen”: A feisty employee who hears and sees all, and has a comfortable relationship with everyone
The “Noo-bee”: A new edition to the company, seeking to do their best to climb the corporate latter
The “Veteran”: A seasoned employee with all the tips and tricks of the trade
The “Slacker”: A distanced employee who appears neither here nor there but wants the paycheck

Stay tuned for the next episode!

Tracy Arvin
Marketing Assistant, JNR Incorporated

Leadership and Organizational Change: Creating and Sustaining a Winning Culture


This week Marissa Mayer, a longtime Web executive at Google, was named the new CEO of its struggling rival, Yahoo. As a professional woman, I am rooting for her. She joins the ranks of a small but growing number of female CEOs of Fortune 500 companies. According to Catalyst, a New York-based nonprofit research group on women’s issues, there are now 20 female CEOs at the helm of Fortune 500 companies.

But the hot topic for bloggers and tweeters is that Mayer is expecting her first child in the fall. It certainly caught my attention as a working mom. When I heard the news, I recalled becoming a mom for the first time four years ago to my little girl. Despite all the cautionary tales and experience babysitting for my nieces, nothing fully prepares you. It is always different when you experience parenthood for yourself. And, while this represents a legitimate concern for stakeholders, she faces a tremendous challenge apart from her pregnancy. She is Yahoo’s sixth CEO in five years, notwithstanding two interim CEOs. More pertinent will be how she will confront the mood at Yahoo and restore confidence both internally and externally.

Kevin Coyne, a management consultant who teaches business strategy at Emory University adds, “She’s spent her entire career at a company where almost everyone has felt the company is winning almost all the time.” At Yahoo, “it’s been beaten into them that the company is always losing.” Even with confidence in Mayer’s credentials as a veteran from Google and a computer-science Master’s degree from Stanford, there seem to be broad range emotions surrounding the management change. The Wall Street Journal reported that her appointment ranged from shock and delight among some of the company’s employees, to disappointment among those who were following a relatively new strategy initiated by Ross Levinsohn, who was overseeing Yahoo as the interim CEO.

At JNR Incorporated, where our focus is on creating employee engagement and motivating employees, I am particularly interested in how Mayer will turn the corner at Yahoo to create a winning culture. Understanding what your company needs is just part of the solution. Leading change requires the buy-in and support from enough change agents within the organization to reach a critical mass. How do you lead and motivate employees that have been on a losing team?

Improving business performance throughout a major change in business strategy requires creating a winning culture to support it. However, it doesn’t end there. Changing how people think about a company and altering habitual behavior is tough enough. Sustaining a new mindset and performance requires focus and the continual management and measurement of those drivers of change. In an article on creating and sustaining winning cultures from Harvard Management Update, the author clarifies that culture is only a means to an end, not an end in itself. The end is your business’s strategic agenda. For example, adding incentive programs is a significant but small step towards improving business performance and sustaining a winning culture. Keeping focus and alignment requires continual assessment and measurement. When partnering with incentive companies, it is important that they not only understand the strategy and process behind your incentive program objectives, but that they are also flexible enough to adapt to your company’s specific needs and challenges to achieve more successful results.

I always like a good comeback story. Time will tell how well Ms. Mayer’s leadership will be an effective agent for organizational change. As I said, I’m rooting for her.

Alice Park
Marketing, JNR Incorporated

GAMIFICATION: More Than a Trendy Buzz Word


Last week, I had the opportunity to participate in a very intriguing seminar regarding Gamification. This topic is very hot in our industry right now, as we are all looking for new and effective ways to engage and motivate our audiences.

Gamification is simple, really–a tool designed to be fun and interactive, that connects your product with your audience and drives desired behaviors. The development of your game tool is not so simple. There are many factors that must be considered in order to create a platform that will relate to your demographic and ultimately be successful.

The 5 Most Common Commercial uses of Gamification are:

  • To deepen engagement
  • To create internal collaboration between teams + employees
  • To create collaboration between customers
  • To sustain loyalty
  • To encourage new users (e.g. employees, customers)

Gamification creates access to resources and provides an effective call to action. It is an effective tool for getting people to begin to do something. From there, the user begins to realize the value of the gamified behavior, and meanwhile, the system platform discovers and rewards the user’s intrinsic motivation using audience-specific rewards.

I encourage you to read the full presentation at so that you can gain a deeper understanding and apply this fun tool to help achieve business objectives. JNR has had the opportunity to implement Gamification models for several of our clients and the results are impressive. In today’s fast-paced, technologically-rich world, this method works!

Nicole O’Sullivan
Director of Sales, JNR Incorporated

Gamification Deep-Dive Workshop
Michael Wu, PhD (@mich8elwu)
Principal Scientist of Analytics