Why Employees Stay & Leave In 2026 - And What You Can Do To Fix It

UK employers have long felt the pressure of skills shortages, but in 2026 it’s more than a temporary recruitment headache. According to the British Chambers of Commerce, 75% of UK firms trying to recruit in Q4 2025 are struggling to find the right staff. In many cases, it’s not a lack of applicants; it’s a mismatch between roles and skills.

The shortage spans multiple industries and job types, and it’s costing the economy. But businesses aren’t powerless. By understanding what drives the issue and taking proactive steps, such as inclusive hiring and innovative training, employers can help close the gap and strengthen their workforce.

Why People Leave, and What You Can Control

While pay will always matter, it’s rarely the only reason employees walk away. In the CIPD’s Good Work Index (2022), over a third of workers considering a move cited better pay or benefits as their primary motivation, but just behind that came the need for career development, improved work-life balance, and stronger management support. These are issues employers can directly influence.

Front-line staff often describe feeling “stuck.” Only one in four employees earning under £20,000 believes they have opportunities for progression. Many leave not because they dislike the work, but because they see no future in it. Others quit because their schedules are unpredictable or their hours clash with family life; a quarter of those planning to resign cite work-life balance as a top reason. 

The takeaway is simple: most turnover isn’t inevitable. It reflects how employees experience their workday. Addressing those fundamentals, fairness, recognition, and opportunity pay off in retention.

Strategies to Reduce Staff Turnover

Hire for fit (and broaden where you look)

Retention starts long before an employee’s first day. Being transparent about the realities of a role ensures recruits know what they’re signing up for. Increasingly, UK businesses are also widening their hiring pools, recognising that some of the most committed employees come from backgrounds that traditional recruitment overlooks.

Companies such as Timpson have demonstrated that inclusive hiring can significantly improve stability. Around 10% of their workforce are prison leavers, and retention among this group stands at roughly 75%, which is higher than the company average (Timpson CSR Report 2023). 

Likewise, the Ministry of Justice found that 86% of employers who have hired ex-offenders rate them as loyal, motivated, and effective in their jobs. Giving someone a fair chance often leads to extraordinary commitment in return.

Looking to make a strong business case for inclusive hiring? Explore the financial benefits of hiring ex-offenders, from reduced recruitment costs to improved retention.

Strengthen onboarding and early support

Once hired, the first few weeks make or break retention. A well-structured onboarding process can improve first-year retention by up to 82% (Glassdoor Onboarding Survey 2023). Early mentoring, clear expectations, and scheduled check-ins help new starters feel confident and supported.

Front-line workers are more likely to leave when these basics are missing, so building a simple induction framework can immediately reduce turnover.

Create clear pathways for progression

People are far more likely to stay when they can see a future. Creating transparent routes, from entry-level to supervisory or training roles, helps to transform short-term jobs into long-term careers.

Manufacturers recognised as ‘Great Places to Work’ report that over 90% of their employees plan to stay long-term, mainly due to visible development opportunities (Great Place to Work 2024).

Recognise and Reward People Consistently

Recognition is one of the simplest and most cost-effective tools for retention. Research by Reward Gateway (2022) found that almost half of UK employees would leave a job where they felt unappreciated, while organisations with strong recognition cultures reported lower voluntary turnover rates.

Regular, specific praise from line managers, public recognition from senior leaders, and small, reliable reward schemes all contribute to strengthening a sense of belonging. In many cases, saying “thank you” is more powerful than giving another one-off incentive.

Offer flexibility and predictability

Not every job can be hybrid, but every job can be fairer. Publishing rotas early, honouring preferred shifts, and avoiding last-minute changes show respect for employees’ lives outside work.

Predictable scheduling isn’t just a perk; it directly reduces burnout, a leading cause of turnover in shift-based roles.

Develop supportive, people-focused managers

Leadership sets the tone. Training supervisors in communication and empathy improves engagement and retention. In companies recognised by Great Place to Work UK, turnover in manufacturing and transport averages 27–30%, compared with 40% or more sector-wide (GPTW 2024).

Good managers recognise effort, support flexibility, and listen to feedback. Poor management does the opposite, and it’s consistently cited as a top reason employees leave.

Foster a culture of inclusion and belonging

Finally, retention thrives in workplaces where people feel respected and valued. Inclusive companies, those that hire fairly, celebrate difference, and give second chances, tend to see stronger loyalty across the board.

At Offploy, we’ve seen this first-hand through employers who create opportunities for people with past convictions. That act of trust doesn’t just change one life; it can reshape a company culture.

Retention Through Respect and Opportunity

Reducing staff turnover isn’t about quick fixes in 2026. It’s about creating workplaces where people feel secure, valued, and empowered to grow. Employers who open doors to those eager for a second chance often find the loyalty they’ve been missing elsewhere.

If you’re ready to strengthen retention while creating measurable social impact, join our free 45-minute employer webinar.We’ll cover the practical steps to start hiring and keeping motivated, driven employees from untapped talent pools.

Secure your spot today and discover how inclusive hiring can help your organisation build a more stable, committed workforce.