While recent news of layoffs and concerns over artificial intelligence’s impact on jobs might give the impression that employers aren’t as concerned about retention, a long-term global talent shortage keeps employee loyalty a top concern. About 75 percent of employers globally report difficulty filling roles, a 2024 report by the ManpowerGroup found.

“[The talent shortage] makes it tougher to find talent, but it also makes it that much more important to retain great talent,” says Tracy Brower, PhD, sociologist and author of The Secrets to Happiness at Work. “It is expensive and time-consuming to find the right people and train them. In addition, it can be a drain on teams and the culture to have too much attrition.” 

Research shows that top performers outperform average performers by 400 percent, and they even increase the performance of the coworkers who sit around them. However, with all the competition to hire them, keeping top talent is a challenge.

“There’s a reason why retention, from an employment HR perspective, is one of the top focus areas,” says Dan Schawbel, managing partner of Workplace Intelligence and author of Back to Human. “[Prioritizing retention] is the smartest strategy because if you spend all your time trying to keep replacing your employees because they keep leaving, it’s impossible to grow.”

So, the million-dollar question: How can employers keep top talent?

A multifaceted approach built on trust

There is no single practice that ensures employee loyalty. A strong retention strategy is a multifaceted approach that includes enhancing employee engagement, culture, wellness, benefits, and growth and development opportunities.

Employers are realizing that trust is the foundation of many of these best practices. Research from The Workforce Institute and UKG found that about two thirds of global employees said feeling trusted had a direct impact on their sense of belonging at work and their productivity, and more than half reported a lack of trust impacts their career choice and mental health. 

Trust can be demonstrated by offering employees autonomy over their day and letting them decide how — and where — they get their work done. About 65 percent of US workers surveyed by The Conference Board rank workplace flexibility, including location and hours, as an important non-salary compensation element. And more than 20 percent of global workers surveyed by Workhuman say they would be willing to take a pay cut to be able to keep or obtain their preferred way of working. 

Wellesley-based benefits company, Sun Life US, embraced the concepts of trust and flexibility during the pandemic and never looked back. 

“Allowing employees that flexibility and empowering them to balance their work with their outside lives has become ingrained in our culture,” says Tammi Wortham, senior vice president of human resources at Sun Life. “Our employees have given us every reason to trust them, and in return we see strong levels of productivity and employee engagement.”

And the proof is in the retention data.

“We are experiencing historically low attrition rates,” Wortham says. Sun Life’s voluntary turnover rate is between 5 and 6 percent per year, including front line roles like call center staff. “Our teams have also seen a significant decrease in the amount of turnover for newer employees, those who have been here two years or less. I think it means that people feel included and are easily able to embrace our culture.”

The employee experience

During her first year working full time at Sun Life, Natalee Rozon found out just how important a culture of trust and flexibility can be. Rozon, a product marketing consultant, suddenly became a caretaker for her mom when she was diagnosed with stage three lung cancer. With up to 16 weeks of paid caregiver leave at her disposal, Rozon had the support she needed to be able to accompany her mom to appointments and continue working when her schedule allowed.

“That took so much off my shoulders,” Rozon says. “If your job can take care of you at your lowest moments really, really well, then it’s like, ‘oh my gosh,’ I don’t ever want to leave.” 

Today, Rozon chooses to primarily work from home, but regularly goes to Sun Life’s recently renovated office to see coworkers, attend events, or use the office’s barista bar, yoga room, ping pong table, or walking treadmill desks.

“There is always something fun and interesting going on at the office,” says Rozon. “It could be a catered lunch to celebrate a holiday, or a special guest speaker. Just last month the Celtics [a Sun Life US corporate partner] brought the championship trophy to the office and we were all able to take pictures!”

“This flexible culture makes me not overwhelmed when it comes to work,” Rozon says. “I can still do all the things in my life that I love and work full time, without feeling stressed.”

Benefits and well-being: Real support, real trust

While work can be a healthy source of meaning in employees’ lives, the benefits that employees want are those that recognize and enhance their lives outside work. Paid time off and paid family leave rank among the top five most desired non-insurance benefits, according to a 2024 PeopleKeep survey.

Only about 25 percent of workers in the United States have access to paid family leave as of 2023. Amid this landscape, companies that step up and lead the way in paid family leave are not only doing the right thing, but gaining employees’ trust and loyalty in the process. 

For all employees who have been with Sun Life for over a year, the company offers 16 weeks of fully paid family leave to bond with a new child or care for a loved one, and an additional eight weeks of fully paid medical leave for those recovering from childbirth. 

“Being able to take 24 weeks off to bond with my child, to see her grow, to see her develop, and also for me to be able to take the time for myself to heal from postpartum was amazing,” says Matty Jobarteh, a DE&I coordinator at Sun Life. “They are walking the talk when they say they care about their employees’ well-being and their work-life balance.” 

During her paid leave, Jobarteh was even able to travel to introduce her daughter to her grandparents.

Sun Life also offers a sabbatical program, giving employees up to six weeks of leave for personal or professional development, or to simply take time away. When employees return from sabbatical, they typically share photos and commentary on the company’s internal social platform.

“What always strikes me about our employees’ sabbatical posts is the gratitude they share for Sun Life allowing them to take that time away,” Wortham says. “It not only shows the employees that we care about their well-being, it gives them a recharge that lets them come back to work energized and ready to work. The enthusiasm people show for both their jobs and their colleagues is a really special thing to see. It means we’re doing something right.”

Rozon feels that hers is not an atypical experience at Sun Life. “Everyone feels valued, so they want to be productive, more committed to their work,” she says. “We can see it in our business results. We’re doing well because people actually want to work for Sun Life, and they feel good about the work they do.”

Belief in company purpose

Over the last decade, Sun Life has transitioned into the health ecosystem, plugging employee benefits into health care and helping people access the care they need. This focus on health, and helping people experience better outcomes when they are sick or injured, has been at the forefront of Sun Life’s strategy, and it has resonated with its employees.

“We are very cognizant of the fact that employees need to feel invested in what they’re doing, and feel proud of the work they do, to be their best selves at work,” says Wortham. “Our focus on broadening access to care and addressing issues in the healthcare system has become a real beacon of our culture, and it gives people true purpose in their work. You’d be amazed how committed people are to their jobs and their company when they really believe in what the company is doing and feel like they’re making a difference.”

“I have been a part of some really exciting projects, which has been a great experience,” adds Rozon. “This year we launched a partnership with a company that does medical infusions at people’s homes, saving people money and hours of discomfort. I was so honored to be part of that.”

Trust in leadership

Sun Life executives try to lead by example, including emphasis on employee mental health, a regular topic during bi-weekly town hall meetings led by company president, Dan Fishbein. The town halls give employees consistent updates on company news and important employee information, as well as a forum to ask questions of business leaders.

Sun Life leadership has also been transparent in efforts to build an increasingly diverse and inclusive workforce, working with organizations like NAAIA (National African American Insurance Association) and CEO Action to improve representation at all levels, enhance career growth opportunities for professionals of color, and serve clients equitably.

“We set out with aspirational goals to increase our diverse population representation, and we’re really, really proud of the results we’ve seen,” Wortham says.

Sun Life also fosters a strong culture of belonging through more than 10 employee resource groups, including an Asian Alliance, Black Excellence Alliance, BrightWomen, Hispanic & Latin-American Alliance, Sun Life Pride, and DiverseAbility. These groups organize highly attended, company-wide events, offer mentorship programs, and provide leadership and skill development opportunities.

“Being part of an inclusion network gives me a sense of community and leadership,” says Rozon, who is on the board of the Emerging Professionals Network. “It exposes me to different things that I probably otherwise wouldn’t have the chance to do.”

Trust the process

While building a comprehensive retention strategy based on trust takes significant investment, the results speak for themselves. 

“We really focused on the idea that if we took this opportunity to provide what our employees needed when they needed it, that it would actually come back to us in spades, and we are seeing that,” says Wortham. 

“I love my job,” Jobarteh says. “A lot of people are here [at Sun Life] for 20 or 30 or more years because of the work culture, so we’re clearly doing a lot right.”