What Is An Exit Survey?

Did you know that replacing an entry-level employee can cost between 30% and 50% of their yearly salary? For mid-level staff, that jumps to 150% or more. And for high-level or specialised roles? We're talking closer to 400% of their annual pay.

These striking statistics lead many companies to focus on employee retention - you want to keep your best people for as long as possible.

However, some turnover is inevitable. Even companies with great perks and benefits will have some employees choose to move on eventually. The million-dollar question is: "Why are they leaving?"

If an employee moves because their spouse got transferred to another country, there may be nothing you can do. But if they are quitting due to issues within your control as an employer, you need to know. One way to find out the reasons behind employee turnover is through an exit survey.

This post will teach you all about exit surveys - what they are, why they matter, and how to conduct effective ones at your organisation. Let's start with the basics.

Defining the exit survey

Before we dive further, let's clarify what exactly an exit survey is. Many people confuse exit surveys with other types of employee feedback.

An exit survey is a type of HR survey that companies use to gather feedback from employees who are leaving the organisation. It's a way to understand their experiences, reasons for leaving, and thoughts on various aspects of the company. Think of it as a final check-in before an employee waves goodbye. The data is used to identify patterns behind turnover and areas for improvement.

Now, don't get this mixed up with other types of employee feedback. It's not the same as your annual job satisfaction survey or those quick employee pulse checks you might do throughout the year. Those are for current employees. Exit surveys are specifically for the ones who are on their way out.

Why exit surveys are crucial for businesses

Gathering feedback from departing employees may sound counterproductive. After all, they've already made up their minds to leave! However, exit surveys offer many benefits that impact current and future employees alike.

Identifying patterns and reasons for employee turnover

"You can't fix what you don't know." Without exit surveys, it's easy to overlook trends in why employees choose to leave. The departures may happen gradually over time. Then, suddenly, you realise your turnover is through the roof.

Exit surveys help you track common resignation drivers, like lack of career growth, low pay, or poor management. You can then dig deeper into problem areas instead of making assumptions. This leads to more impactful retention strategies.

Improving workplace culture and employee retention

Improving employee retention should be the number one priority. The patterns revealed in exit surveys directly affect company culture and retention. Recurring issues that make employees quit are likely causing disengagement among current staff.

Workplace culture has a massive impact on performance and attrition. In fact, 56% of employees rank culture as a top factor in job satisfaction, even higher than salary. Furthermore, 46% of employees believe their exit survey feedback is taken seriously, showing they care about culture even on the way out.

Enhancing recruitment and onboarding

While exit surveys indicate why employees leave, they also give insights into why employees stay and what draws them to your company. The feedback can profoundly improve recruitment and onboarding processes.

For example, your exit surveys may uncover that new hires felt overwhelmed and unsupported in their first few months. That's a clear sign that your onboarding process needs work. Once you improve it, you can tell potential recruits about your fantastic onboarding program. It shows that you listen to feedback and are always trying to get better.

Impact on overall business performance and success

It's proven that happy, motivated employees equal better performance. Companies with engaged cultures see 21% greater profitability. When you use exit surveys, you pinpoint areas for improvement and address issues that make employees unhappy. The result is higher employee satisfaction, stronger retention, and better business results.

Key components of an effective exit survey

Now you know what an exit survey is and why it's essential. But how do you actually do it? While each company's needs differ, some key components lead to quality data. Note that tools like SmartSurvey are here to help with every step.

Structuring the survey

First, determine the structure - which question types and response formats to use.

Some employers like open-ended questions. These are great for getting detailed feedback. For example: "What did you enjoy most about working here?" Others prefer multiple-choice questions. These are easier to analyse. Like: "How would you rate your work-life balance? A) Excellent B) Good C) Fair D) Poor"

And some use scaled responses. These ask people to rate things on a scale, usually from 1 to 5 or 1 to 10. For instance: "On a scale of 1-5, how satisfied were you with your job?"

But here's the thing: don't make your survey too long or complicated. Remember, these employees are leaving. They don't owe you anything. If they fill out the survey, it's because they want to help. So don't make them as long to complete as a Uni test! Keep it short and sweet but open enough for honest feedback.

Topics to cover

Since exit surveys are brief, focus on critical areas affecting retention and employee engagement. Things like:

• Job satisfaction
• Work-life balance
• Company culture
• Compensation and benefits
• Career growth opportunities
• Management and leadership
• Work environment

Anonymity and confidentiality

Departing employees may hesitate to share honest opinions if they fear repercussions. Protect respondent anonymity by using online survey tools like SmartSurvey that allow for anonymous survey responses. Next, make it crystal clear that their responses won't be linked to their names or personal info. Say it, mean it, and stick to it.

Also, avoid asking for specific details like department or team name in the survey. The more general you keep it, the more comfortable people will feel. But here's the most important part: actually follow through on your promise of anonymity. If word gets out that you're not keeping responses anonymous, it can be disastrous for employee morale and trust.

Timing and frequency

Emotions can run high when someone's leaving. So perhaps the day they hand in their notice or their very last day isn't the best time for a survey. You want to give them some time to reflect on their experience.

But wait too long, and they might have already moved on mentally. They might not want to give feedback or might forget essential details. As such, you should send the survey shortly after the employee's last day when they've had time to process their thoughts. A week or two is usually long enough.

Include all leavers in the process, whether resigning voluntarily or not. This allows a holistic view of turnover drivers.

Common challenges and how to overcome them

Conducting effective exit surveys does present some challenges. Here are common issues and tips to address them:

Negative responses

First up, let's talk about the elephant in the room: dealing with negative or critical responses. Some employees might just be mad and vent their frustrations. Others might raise fair points that are hard to hear. The key is not to get defensive, even when hearing inflammatory comments. Take all feedback as a chance to improve, even if it stings a bit. Also, focus on patterns from multiple respondents, not isolated incidents.

Encouraging honesty

Even if anonymity is assured, some may worry about backlash for honest feedback. Emphasise speaking freely for the greater good. Share positive changes made from past responses to show you act on insights.

Determining the interviewer

This is a more challenging question than you might think. Should it be the boss? The supervisor they might have had issues with? A co-worker they got along with? According to one study, 70.9% of companies have their HR departments handle it, while 19% use the departing employee's direct supervisor. There's no one-size-fits-all answer, but generally, someone neutral who the employee trusts is a good bet.

Boosting response rates

You can't force participation. Sweeten the deal with gift cards or raffles for completed surveys. Send a few friendly reminders, as well. Conduct surveys quickly after departure before ex-employees move on.

The role of technology in exit surveys

The right software takes the headache out of exit survey logistics and delivers the best data possible. Solutions like SmartSurvey allow you to:

• Create customisable white label surveys that reflect your branding
• Send survey links via email to departing staff
• Enable anonymous online responses
• Analyse results using an interactive employee survey dashboard
• Identify trends and patterns in data
• Securely store sensitive information

Digital surveys are more efficient, effective, and environmentally friendly than paper. Streamline your entire process while gaining rich insights with a dedicated platform.

Wrapping up

Losing employees can be disheartening. But take the opportunity to learn why workers leave through exit surveys. These questionnaires help identify patterns behind turnover, strengthen workplace culture, enhance recruitment tactics, and boost overall performance.

While developing an effective survey presents challenges, the payoff in data and insights is immense.

Don't wait until turnover becomes unmanageable. Get started today using solutions like our exit interview template. Let technology simplify data collection so you can focus on retaining top talent and driving your organisation forward.

Key takeaways

High cost of employee turnover: Replacing employees is costly, with entry-level replacements costing 30-50% of their annual salary, mid-level at 150%, and high-level or specialised roles potentially costing up to 400%. This underscores the importance of employee retention.

Purpose of exit surveys: Exit surveys are tools used to gather feedback from employees who are leaving an organisation. They help identify reasons for departure, providing valuable insights into areas for improvement within the company.

Difference between exit surveys and exit interviews: While exit interviews are face-to-face meetings with departing employees, exit surveys offer anonymity and can capture feedback from a broader range of employees, making them a more flexible and often more candid tool.

Benefits of exit surveys: These surveys are crucial for identifying patterns in employee turnover, improving workplace culture, and enhancing employee retention. They can also provide insights into recruitment and onboarding processes by highlighting both why employees leave and why they stay.

Key components of effective exit surveys: Effective exit surveys should include a mix of open-ended questions, multiple-choice questions, and scaled responses. They should focus on critical areas like job satisfaction, work-life balance, company culture, and management.

Anonymity and confidentiality: Ensuring anonymity is vital to obtaining honest feedback. Organisations must clearly communicate the confidentiality of responses and avoid asking for identifiable details that could compromise anonymity.

Challenges and best practices: Conducting exit surveys can be challenging due to potential negative responses and ensuring honesty. Best practices include clearly communicating the purpose of the survey, creating a comfortable environment, following up on feedback, and using technology to streamline the process and analyse results effectively.