Staff Turnover in Retail?
How Tailored Benefits Can Help You Keep Your Best People

In South Africa’s retail and hospitality sectors, high staff turnover is always a challenge. According to Ebnet, the FMCG/Retail/Manufacturing industries experience the highest permanent labour turnover by industry at 16.4%. This leads to increased recruitment costs, training expenses, and disruptions in customer service. What if the fix is offering tailored employee benefits to create better employee satisfaction?

The Retail Retention Challenge

 Long hours, weekend shifts, and physically demanding tasks. Coupled with part-time contracts and limited growth opportunities, it’s no surprise that the industry struggles with burnout. A study published in ‘Problems and Perspectives in Management’ found that the optimal functional voluntary employee turnover rate for South African organisations is between 14% and 19%. Performance is dwindling.

What Do Retail Workers Value?

Traditional benefits like corporate medical aid or retirement annuities may not appeal to part-time or shift-based retail workers. Instead, many may prioritise:

• Medical cover and gap insurance: Affordable options that provide access to quality, private care.
• Funeral cover: A culturally significant benefit that offers peace of mind for employees and their families.
• Short-term disability or income protection: Essential for roles with higher physical demands.
• Employee Assistance Programmes: Providing mental health support, financial counselling, etc.

These employee benefits not only support employees’ well-being but also demonstrate that employers value their contributions – are you doing enough?

How Will These Benefits Improve Business?

• Reduced turnover: Lower recruitment and training costs.
• Improved morale: Employees feel happy, valued and supported.
• Better productivity: Healthier employees are more engaged.
• Better customer service: Experienced staff provide consistent service.

Stats SA also reports that employers spend around 14% of total expenditure on employees (salaries, training, and benefits). Investing in meaningful benefits can be a strategic move for the business to optimise these expenses.

Leap SA: Your Partner in Employee Benefits

We specialise in creating employee benefit solutions tailored to the unique needs of the industry, and some of our products include:

• Flexibility: Suitable for full-time, part-time, and shift-based workers
• Affordability: Designed to fit different budgets and lifestyles
• Relevant benefits: Focused on what employees value and use the most

From basic medical cover to funeral cover, Leap provides solutions that reduce turnover and spark loyalty. In a competitive retail landscape, retaining top talent is important, and by offering benefits that align with employees’ needs, you are not only enhancing their well-being but strengthening your company’s performance.

Let us help guide you to a benefits package that supports your team and business! Get in touch here.