What Does Onboarding Look Like In 2024?
Thanks to the digitalization of our world, many companies and employees now prefer remote or hybrid work instead of traditional in-office functions. Employee onboarding statistics show that the number of dissatisfied new hires is still higher than expected, meaning that it's not just being remote that creates bad feelings. Yes, sometimes the lack of human interactions can cause a sense of loneliness, but if the training material is engaging and interactive, employees can receive great satisfaction. Additionally, many companies are looking into implementing onboarding software that utilizes automation in certain HR sections. Therefore, HR professionals may free up 14 hours per week by delegating time-consuming tasks to the AI algorithm. However, bringing AI-powered tools into the onboarding game isn't an easy decision, and many organizations are carefully weighing the positives and negatives until they can find the right balance.
Top Employee Onboarding Statistics Of 2024
1. Automation
Around 25.5% of organizations say that they don't have the necessary onboarding tools to integrate AI-based solutions. However, 68% of HR professionals would like to follow the path of automation in the near future.
2. Remote Vs. In-Office
Today, 50% of employees choose hybrid work, 30% stick with remote arrangements, and 20% prefer going to the office. Unfortunately, both remote and on-site employees often find the onboarding process confusing, scoring 36% and 32% respectively. Meanwhile, 63% of remote employees are more likely to leave their employer compared to 29% of in-office workers.
3. Sustainability
According to a survey, 56% of professionals identify the existence of a sustainability plan as a crucial factor in staying with an employer. 30% of people have quit their jobs due to the absence of an actionable plan.
4. Virtual Reality
Employee onboarding statistics show that more companies are now using VR in their processes, increasing their number from 5% in 2020 to 11% in 2021.
5. Satisfaction
When employees go through effective onboarding training, they are 2.6 times more likely to be highly satisfied with their position and overall workplace experience. However, only 29% of respondents said that they felt ready to tackle their responsibilities after onboarding was complete.
6. Profit
Another interesting employee onboarding statistic shows that companies that onboard new hires effectively have 2.5 times more revenue growth and a 1.9 times better profit margin than companies that don't invest too much effort in training employees.
7. Connection And Loyalty
89% of professionals say that great onboarding made them feel engaged at work, and statistics show that such an effect makes people 18 times more committed to their employer. Not only that, but 99% of those who work in innovative companies would definitely recommend the organization to an acquaintance.
8. Active Manager And Buddy
Research shows that about 70% of employee engagement depends on how connected they feel with their manager. When professionals are happy, they are 3.5 times more likely to stay with the company and perform well. Also, new hires admit that they are 23% happier with their onboarding experiences when they are assigned a buddy.
9. Support
44% of employees mention that they don't know who their direct manager is, while 65% note that they don't even know who to contact when they have a question. About 50% say that they don't have a guide while going through onboarding.
10. Reasons For Quitting
One of the most daunting employee onboarding statistics is that 31% of employees typically quit within the first 6 months. 23% revealed that they needed clearer guidelines, 21% said that their training wasn't effective, and 17% said that they didn't have anyone being friendly to them.
11. Access To Resources
A survey found that 77% of new hires believe that easy access to resources is essential. That is because a new employee searches for information 35 times per week, meaning that they lose over 7 hours of work.
12. Information Overload
81% of respondents mentioned that they felt overwhelmed due to the plethora of information, while their companies used at least 6 digital tools or apps. Even worse, 33% of companies use up to 11 tools.
13. Learning And Development
31% of Gen Z and millennial professionals admit that they are looking for opportunities that offer career growth within the same organization.
14. Cost
The average onboarding cost per person is around $4,700 but can skyrocket up to $28,000. Usually, 30–40% of the total cost goes to hard costs (recruiting and interviewing) and 60% to soft costs (loss of productivity and morale).
15. Infrastructure Access
Official data shows that over 47% of businesses struggle while onboarding new hires due to difficulty accessing infrastructure. Too many paper processes and unnecessary tasks drag out the whole procedure.
16. Benefits
Providing as many benefits as possible is crucial for attracting qualified talent. 70% of professionals mention that they utilize all their benefits. Also, research showed that employees are 2.6 times more likely to stay with your company if the benefits are satisfactory.
17. Human Connection
Almost 70% of professionals mention that they would be happier at work if they could foster deep connections with their colleagues. This makes sense if you think that 84% are more productive when they feel close to their teams.
18. Problems
One of the most common issues is making bad hires, as 95% of companies admit that they have been guilty of it. Not only that, but 9 out of 10 people believe that their employers' onboarding processes are inadequate.
19. Onboarding Duration
Among the most unfortunate employee onboarding statistics is that many companies train new hires during the first week. However, 90 days is the optimal duration, as successful onboarding helps people become fully productive 34 times faster than those with poor training experiences.
20. Offboarding
Some people will inevitably quit. About 45% say that they are unhappy with the way their employer handled the situation, with only 24% being satisfied. These numbers are disappointing since happy ex-employees are 2.9 times more likely to speak highly of your company.
Advantages Of Effective Employee Onboarding
Engagement is one of the key not-so-secret ingredients of any successful onboarding process, and it should be your first goal. Make your process interactive by adding games, videos, and quizzes to keep new hires intrigued and happy. But happiness may not be enough in this day and age. People are looking for opportunities to grow and achieve their personal goals. Show them that you care about their progression by discussing their career paths from the early stages. Thus, retention will increase, and time to productivity will decrease as new team members are ready to bring their A-game. Reducing turnover rates is another plus, as not only do you avoid spending extra resources on recruiting, but you also maintain highly efficient employees. Moreover, you should foster impeccable communication between new hires and their colleagues to create an understanding and encouraging environment. Don't forget about asking everyone's feedback regarding your onboarding and implementing changes to improve mishaps. As a result, you strengthen your company's culture and actively prove how much you value people's opinions.
What Are The Challenges Of Employee Onboarding?
While employee onboarding statistics tell very accurate stories, there are certain challenges you need to keep in mind to improve your process. Firstly, don't bombard new hires with loads of information; they still need to learn how your company operates and may not clearly understand their fit. Gathering feedback is another step many organizations need to take to elevate their onboarding procedure. Do your employees even know what you expect of them, though? Unfortunately, not all businesses define goals and responsibilities clearly, leaving employees alone and trying to figure out what they must do. Even if goals are mentioned, they are not always clear. Therefore, employees are disengaged from the start and have no one to talk to because feedback is not encouraged. Last but not least, not everyone working for you is from the same country. They may need time to learn the language and get used to your cultural cues. Making your workplace a safe and understanding environment is a challenge you should proactively tackle.
Conclusion
Employee onboarding statistics are proof that employees need more than just a decent paycheck and a good environment to work in. Ethical and emotional satisfaction are pivotal in an era where remote working is slowly taking over. Your new hires are not your benchwarmers but your all-stars, and you should showcase how important they are to you from day one. Don't wait until they submit their resignation to acknowledge and value them.
