Our Guide to Talent Retention in Renewable Energy Recruitment

A 2023 LinkedIn study revealed that 93% of employers are concerned about talent retention - a concern shared by the renewable energy industry, which is currently experiencing an ongoing talent shortage. Now more than ever, it's essential for companies in the renewables space to focus their efforts on retaining the people they have and avoid losing them to competitors. 

Within this guide, we’ll delve into the importance of talent retention, outlining why people leave their jobs and how an effective employee retention strategy can benefit your business. We’ll also detail our five steps for building a robust employee retention strategy to help you progress on your mission of retaining talent.

In this guide, we’ll explore:

• The importance of talent retention in renewable energy
• 5 steps for building a robust employee retention strategy

The importance of talent retention in renewable energy

While talent acquisition is always essential for ensuring the continued development of your organisation, talent retention is just as critical in regard to renewable energy recruitment and the future trajectory of your business. Understanding the importance of talent retention must start by acknowledging why employees seek new opportunities elsewhere. 

Why your renewable energy talent may leave your organisation

Employee retention can be attributed to many factors intrinsic to the employee's experience and your company's structure. These factors can include the following:

• Low staff morale: If an organisation has attracted a negative reputation, laid off staff, or suddenly shifted its organisational structure with no apparent warning, this can demotivate employees, causing low morale and prompting them to seek opportunities elsewhere. 
• Employees are disengaged: Often, in larger corporations, employees might feel alienated, disconnected from decision-making processes, and unable to have their voice heard amidst an expansive workforce and hierarchical layers. It's important to note that employees seek purpose in their roles. If they begin to see their tasks as monotonous or unimportant, they may feel unfulfilled and consider job alternatives.
• Overworked talent: Excessive workloads, leading to prolonged stress and potential burnout, can be detrimental to employee motivation and retention, leading to talent moving on to a new role elsewhere.
• Lack of career progression: The modern employee expects recognition and growth opportunities from their employer. Staff may contemplate leaving if they don't receive clear career progression pathways or discussions around development.
• Insufficient salary: As the renewable energy recruitment space is experiencing a talent shortage, one factor that is attractive to employees is receiving a competitive salary. Stagnant or inadequate salaries, especially when employees have developed their skill set and remain loyal to their employer, can drive talent to look for better-paying positions.
• Poor benefits packages: Similar to our previous point, a competitive benefits package, including health benefits, paid leave, and other perks, is pivotal to talent retention. If an organisation's benefits are considered below staff expectations, they may consider searching for roles with more comprehensive benefits.

How retaining renewable energy talent can impact your business

If you don’t already have an employee retention strategy in place, how can you build a business case to implement one? Let's highlight how retaining renewable energy talent can positively impact your business.

Talent retention boosts organisational efficiency

Employees are the catalysts for ensuring optimal efficiency levels of any successful, innovative and fast-growing business operating in the renewable energy industry. Talent retention is essential for ensuring you keep hold of your staff members who know the ins and outs of your operations and the way your business works. 

We understand that in order to grow, you'll need to make permanent hires. Although new hires will add value to your business in time, regardless of their background and experience, they often require a period of adjustment to familiarise themselves with your company and culture. 

On the other hand, your seasoned and loyal employees possess a deep-rooted understanding of the organisation's vision, values, and operational nuances. Their experience translates into enhanced job proficiency and streamlined workflows, fortifying and futureproofing your business's operational efficiency.

The costs of renewable energy recruitment play a factor

Renewable energy recruitment is essential to your company's growth; getting it right can save you money in the long term. For example, you may have recruited individuals who weren't the right fit for your organisation or who felt better opportunities lay elsewhere. Here, the costs of frequently replacing departed talent can add up. 

The costs can quickly escalate from advertising open renewable energy jobs to going through the interview process and putting new hires through comprehensive training and onboarding processes. Of course, this isn't an issue if you're actively looking to hire. However, it can be an ongoing problem if you weren't prepared for your talent to leave or you failed to implement an effective employee retention strategy to help retain them. 

Retaining talent over extended periods can mitigate these unnecessary expenses. By creating an environment where your people are motivated to stay, you can help your company avoid the recurrent costs associated with frequent hiring cycles.

Organisations that don't have the internal HR resources and struggle with attracting and retaining talent often partner with recruitment process outsourcing services to support them with their talent needs.

Retaining talent can positively impact morale

Our final point on how retaining talent can positively impact your business relates to its impact on morale. When an employee, especially an experienced or well-respected team member, decides to leave a company for a new opportunity, this echoes beyond your need to fill this newly vacant position. 

Particularly if multiple people move on from your organisation, it can lay the internal foundations of uncertainty, which can negatively impact the morale of remaining team members and potentially eradicate any sense of loyalty they feel towards the business. 

However, if your organisation cultivates a stable and supportive work environment prioritising talent retention, it can foster a culture of trust, respect, and commitment that existing and future renewable energy talent will want to be a part of. Employees who feel valued and connected are more inclined to invest themselves wholeheartedly in your company's mission and remain loyal to you. Ultimately, retaining talent can positively impact morale and lower your employee turnover rate.

5 steps for building an employee retention strategy in renewables

We've established how retaining talent is an essential factor when it comes to the overarching topic of renewable energy recruitment. At this point, it's vital to start considering ways to improve talent retention for your business. Of course, you can't retain everyone, but with our advice, you can do everything in your power to retain your top talent.

From developing competitive benefits packages, providing training and development opportunities, rewarding your existing employees, ensuring you remain a frontrunner in renewable energy innovation and listening to your renewable energy talent and catering to their needs - here are the five steps you can take to build a robust employee retention strategy.

1. Retain renewable energy talent with competitive benefits packages

Now more than ever, as we see an increasing number of companies enter the renewable energy space, the sector faces a talent shortage and a supply and demand issue regarding highly skilled candidates - be it talent with experience in renewables and transferable skills from similar industries. It's, therefore, crucial to protect your talent from your competitors, and one way of doing so is by offering competitive benefits packages. 

When people think of benefits packages, monetary incentives often position themselves toward the top of the list. While money isn't always the sole motivator for renewable energy talent, it holds significant sway in a talent's decision-making regarding their future careers. 

To help you retain your top talent, you must offer compensation packages, ensure you structure base salaries, and provide annual bonuses to your most loyal professionals. When doing so, you should research competitors within your market to determine whether the salaries and bonus packages other talent receives are competitive.

As we all know, the pandemic has shaped how we work today, with most industries becoming accustomed to remote work. The same can be said for the renewable energy industry. Of course, the nature of renewable projects - often situated in remote locales - may require your talent to work more on-site. 

However, it's essential to strike a balance with your talent and allow for flexibility where possible - offering hybrid work models, even if for a day weekly, can tip the scales in favour of retaining your most loyal talent.

Here is a breakdown of the benefits you could include as a way to incentivise your existing talent to stay: 

• Monetary incentives, including competitive salaries, pay raises and bonuses
• Competitive amount of annual leave
• Comprehensive health insurance
• Robust pension plans
• Flexible and hybrid working arrangements
• Adequate paid sick leave
• Wellness programmes ensuring holistic well-being

Note: the above benefits can also be used to attract future talent.

Our 27-page Navigating the Inflation Reduction Act Talent Storm guide delves into this specific point. It offers advice on how to thrive among the hiring challenges created by the Inflation Reduction Act and attract top talent in the renewable energy sector.

2. Provide training and development opportunities

Across the renewable energy industry, technologies are continually evolving, and the need for a skilled workforce is paramount. While experience and credentials lay a foundational groundwork, the intricate nuances of managing projects, like establishing a wind farm, require specialised training - training your existing talent should be encouraged to enrol on. 

Therefore, one of the most proactive things your organisation can do to bolster employee retention is to invest in their professional growth through training and development opportunities. Below is a list of what you can do about training and development opportunities.

• Understand the aspirations of your renewable energy talent early

Retaining talent begins even before an individual joins your company. Engaging in conversations about career aspirations with prospective talent is invaluable during the interview and onboarding phases. Understanding their career trajectories and aspirations early into the working relationship allows you to tailor development initiatives that resonate with individual goals and make sense for your business growth. 

• The impact of training on engagement

Training has been proven to yield tangible returns in terms of employee engagement and retention. As highlighted by Zippia, a staggering 92% of employees believe that well-structured training and development programmes enhance their engagement levels. Similarly, Zavvy's findings underscore that 94% of professionals are likely to stay with employers who prioritise their learning and development.

• Future Proofing through internal growth

Beyond the immediate benefits of enhanced engagement and skill acquisition, training and development initiatives can be pivotal in futureproofing your company. Consider the scenario where a senior team member decides to retire. If you have diligently invested in the growth of your talent, you'll have an internal pool of nurtured professionals primed to step into more advanced roles.

• Fostering a culture of internal progression

Establishing clear pathways for career progression and consistently offering development opportunities will send a powerful message to your existing talent. That message you send is that you believe growth matters, and there's a tangible future here for your renewable energy talent. This culture bolsters employee retention and cultivates a workforce deeply invested in the organisation's success. Ultimately, they will invest in you if you invest in your talent.

3. Add reward schemes to your employee retention strategy

Next on our steps to building a robust employee retention strategy is the importance of making your staff feel valued and rewarding them for their work and commitment to your brand. Recognising and rewarding outstanding performance stands out as a cornerstone. It's a common belief that employees will naturally perform their roles diligently, driven by intrinsic motivation and professional pride.

When employees receive recognition or rewards for their accomplishments, it serves as a powerful affirmation of their value within the organisation. This simple act communicates to them that their efforts have not gone unnoticed and that they hold their work and commitment to your brand in high regard. Such acknowledgement can significantly boost an individual's morale and motivation, making them less inclined to seek other job opportunities.

Although the intrinsic drive to excel exists within most individuals, external recognition and rewards act as catalysts, solidifying an employee's commitment and fostering a sense of belonging. So, when it comes to retaining talent, incorporating a robust reward scheme becomes beneficial and imperative. 

Ensure that you consider your employees' opinions when determining what types of rewards you want to offer and how you present them to your renewable energy talent. Ultimately, you don't want to create a rewards scheme that your employees have no interest in. We'll discuss the importance of listening to your staff later in this piece. 

4. Remain a frontrunner in renewable energy innovation

As we touched on, the renewable energy industry is constantly evolving, with more businesses competing for talent - talent you've already acquired. To ensure your business retains its most valuable professionals, it's imperative that you strive to remain a frontrunner in the industry.

Renewable energy talent is always seeking to be a part of the biggest and most innovative companies - for example, those who operate on the top offshore wind projects and are equipped with the best talent and career support. Therefore, for organisations aiming to captivate and retain the most forward-thinking professionals, the lure isn't just in the pay or the prestige - it's in the promise of pioneering work.

Investing in state-of-the-art technology, partnering with fast-growing brands and working on innovative developments within the industry can embody your company's vision for the future. Ambitious renewable energy talents are inherently drawn to organisations where they can make a difference and be at the forefront of technological evolution, contributing to groundbreaking projects that shape the industry.

As we live in an era defined by swift technological advancements and a push to reach climate targets through the use of renewable processes, it's crucial that you remain constantly abreast of the latest technological trends and developments. By doing so, you bolster your appeal to top talent and position your organisation to lead, rather than follow, in the ever-progressing renewable energy industry.

5. Listen to your renewable energy talent and cater to their needs

Our last step to building a robust employee retention strategy is something we briefly mentioned in a previous point - the importance of listening to your renewable energy talent and catering to their needs. We’ve broken this final step into three points - from the power of having regular conversations with your talent, creating safe spaces for these candid conversations and harnessing feedback for continuous improvement. 

Whether you apply these points to your existing internal hires or talent you’ve acquired through contracting, these three points are essential to understanding how to retain talent.  

• Have regular conversations with your renewable energy talent

Initiating regular performance reviews or one-to-one discussions is a fundamental step toward building transparency and openness with your employees. These interactions serve dual purposes, whether scheduled monthly, quarterly, or annually. 

For employees, they offer a dedicated space to articulate their perspectives, aspirations, and any challenges they might be facing. Alternatively, for managers and HR representatives, these sessions provide invaluable insights into team dynamics, individual growth trajectories, and areas where support might be required.

• Create safe spaces for candid conversations

The setting for these discussions is crucial. The environment must exude trust and confidentiality, whether conducted in a quiet office or via a virtual platform. When your renewable energy talent feels their feedback - be it regarding their performance, innovative ideas, or personal concerns - is valued and acted upon, it fosters a sense of belonging and commitment that could entice them to stay loyal to you.

• Harness feedback for continuous improvement

Every organisation experiences turnover, but how departures are managed sets the tone for future relationships and talent acquisition. Exit interviews yield invaluable insights when approached with genuine curiosity and a positive attitude. Rather than viewing them as formalities, see them as opportunities to understand the employee experience comprehensively. 

By actively listening to feedback regarding their time with you, reasons for their departure, and suggestions for improvement, you gain actionable knowledge to refine and strengthen your retention strategies.

Final thoughts on retaining talent in renewable energy

The renewable energy industry's success and the success of your business hinges not just on acquiring the best people but also on knowing how to retain talent. Our comprehensive guide has underscored the various challenges and solutions associated with talent retention. 

We've outlined the various reasons employees may seek opportunities elsewhere, from low morale to a lack of career progression. With this, we've delved into the importance and value talent retention can bring to your business and highlighted the steps you can take to build a robust employee retention strategy.

By implementing strategies like competitive benefits, robust training and development, reward schemes, remaining a frontrunner within the industry and listening to your talent, you can foster a work environment where your professionals thrive and stay committed to your organisation. As the renewable energy industry evolves, investing in talent retention isn't just advisable - it's imperative for sustainable growth and industry leadership.

While talent retention is a must, there is always a need to hire talent to ensure the longevity of your business. Discover more about talent attraction by reading Our Guide to Talent Acquisition in Renewable Energy Recruitment.

Looking to grow in the renewable energy industry?

If you’re seeking to partner with experts who know how to improve talent retention and connect you with the top renewable energy talent on the global market, we can help. With over two decades of experience supporting the fastest-growing innovators in the renewables space, we’re best placed to help you reach your renewable energy recruitment goals. 

Contact us today if you’re looking for a partner to support your future renewable energy projects.